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A comment on Musk orders Twitter to cut infrastructure costs by $1B – sources. Parent comment

Re:Musk orders Twitter to cut infrastructure costs by $1B – ... by humanizersequel on Saturday November 05, 2022 @02:27PM (#33484199)
>yearly interest payments of roughly 1bn

This is on top of the principal? They pay 1bn every year and none of it counted against their debt?

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Re:Musk orders Twitter to cut infrastructure costs by $1B – ... by trowawee on Sunday November 06, 2022 @12:08AM (#33488866)
Yes, that's just for the interest.
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Re:Musk orders Twitter to cut infrastructure costs by $1B – ... by hnfong on Sunday November 06, 2022 @12:56AM (#33489150)
That's about right.

1bn/18.3bn = 5.4%

"Risk free" treasury bond yields are ~4.x%

1% premium for the risk seems reasonable given that Twitter is not known for making profits. Presumably some of the debt were incurred before the rate hikes so it's kind of on the low side.

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