Troubled telco Windstream Communications says that the US Bankruptcy Court for the Southern District of New York has confirmed its reorganisation plan. Windstream, the eleventh largest US fixed broadband and voice provider by users according to TeleGeography’s GlobalComms Database, now expects to complete its financial restructuring process and emerge from Chapter 11 bankruptcy protection as a privately held company in late August 2020. In a statement the telco confirmed that: ‘Upon emergence, the Company will reduce its debt by more than USD4 billion or approximately two-thirds and have access to approximately USD2 billion in new capital to expand 1 Gig Internet service in rural America and maintain its product and software leadership in SD-WAN and UCaaS for enterprise customers. This deleveraging and new financing will allow Windstream to re-focus its allocation of resources on growing the business and better positioning the Company for the long term.’
Tony Thomas, president and CEO of Windstream, commented: ‘We look forward to beginning this new chapter for Windstream. When we emerge, our lenders will become our new owners and strategic partners and are aligned with our long-term strategy and mission to deliver quality and reliable services. As a private company, Windstream will have increased flexibility to invest in our network, accelerate our transformation and return to growth. Together, we will emerge from this process as a stronger company able to successfully compete in the communications marketplace.’