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This article was updated at 6:00 p.m. PT on August 13, 2003.

LONDON — Barclay Knapp has quit as prexy-CEO of NTL, seven months after leading the Nasdaq-listed U.K. cabler out of Chapter 11 bankruptcy.

Knapp had been expected to depart once he completed the company’s financial restructuring, which involved $6.9 billion of debt being swapped for equity. That deal left NTL’s original shareholders with less than 1% of the company.

Last week, Knapp signaled the imminent announcement of his exit by notifying the stock exchange that he intended to sell his remaining $1.4 million stake.

He built up the company over the past decade from a minor U.S. cell-phone outfit into the U.K.’s biggest cabler, but the pace of acquisitions crushed NTL under vast debt.

Knapp will be replaced by Simon Duffy, who joined the company in April as chief operating officer from cell-phone giant Orange. Duffy’s biggest task is expected to be guiding NTL toward a merger with rival U.K. cabler Telewest, itself in the final stages of a debt-for-equity swap.

“With this quarter’s positive results and the favorable conditions I see ahead for NTL, I believe my mission in bringing NTL through its reorganization has been accomplished,” Knapp said. “Further, in Simon Duffy, the company has a strong new leader who is clearly up to the challenges.”

NTL cut its pretax loss to £153 million ($245 million) for the second quarter of 2003, compared with $427 million in the same period last year. Revenues were virtually flat at $882 million.

Churn — the rate at which subscribers leave the company — has been cut to 12.9% from 17.1% last year. The number of broadband subs rose 15% to 764,200, out of NTL’s total 1.25 million TV subs.