Clear Channel lenders refuse further funding-NY Post

Oct 7 (Reuters) - Banks have refused any funding assistance to the private equity firms that own Clear Channel Communications Inc, which means the radio operator may default on its loans by year-end or early next year, the New York Post said, citing two sources close to the situation.

According to the paper, private equity firms Bain Capital and THL Partners are now desperate enough to offer business from their other portfolios to the banks in exchange for financial assistance.

The Post said Bain and THL spokesmen insisted their firms had not reached out to banks, and Clear Channel declined to comment.

The lenders involved in the transaction, which took place in 2006, include Citigroup (C.N), Credit Suisse (CSGN.VX) and Deutsche Bank (DBKGn.DE).

However, one of the banks said it felt "mistreated" during the deal, the paper said.

Reuters was unable to immediately reach representatives of Bain Capital, THL Partners and Clear Channel for comment outside regular U.S. business hours. (Reporting by Biswarup Gooptu in Bangalore; Editing by Lisa Von Ahn)