Ergen Wraps Up Deal Financing


EchoStar Communications Corp. chairman Charlie Ergen has secured the final
piece of financing for his pending $25.8 billion acquisition of Hughes
Electronics Corp.

On Monday, EchoStar said it obtained $2.75 billion in financing from Credit
Suisse First Boston Corp. The short-term loan was the final piece of a $5.5
billion cash component in EchoStar's bid for DirecTV Inc.'s parent.

Earlier, Deutsche Bank AG committed $2.75 billion, but Hughes parent General
Motors Corp. had to provide the other half through a short-term bridge loan
secured by Ergen's personal holdings in EchoStar.

EchoStar had lined up UBS Warburg LLC for the other half of the $5.5 billion
cash requirement, but it rejected the loan after Warburg insisted on a standard
clause that would allow it to back out of the deal in the case of a 'material
adverse change.'

The CS First Boston commitment replaces GM's bridge loan. It is expected that
both the CS First Boston and Deutsche Bank bridge loans will be replaced with
long-term financing.