Qwest halts network sale

9 Jun 2009

US wireline operator Qwest Communications International has announced that following a strategic review it has decided not to divest its long-distance network. As reported by CommsUpdate on 2 April the telco considered selling the network, worth between USD2 billion-USD3 billion, to pay maturing debts, but has now decided against the sale as it had not received a high enough bid. Qwest now says that the network assets hold more value to its shareholders and are strategically important to the company. Qwest reportedly has USD560 million of debt maturing in 2009 and USD2.2 billion maturing in 2010. Edward A. Mueller, chairman and CEO of Qwest, said, ‘Qwest remains confident in its outlook for 2009 and the ability of its business to continue to perform, at the same time, we are committed to taking steps that will benefit our shareholders, customers and employees in every decision we make. The review we conducted confirmed that our nationwide network is a tremendous asset and delivers best in class telecoms services to businesses and government agencies throughout the country.’

United States, Qwest Communications International