Windstream Gets Access to $four hundred Million in Bankruptcy Financing
Broadband and telecom provider Windstream has gotten the OK from financial disaster court docket to access “up to $400 million of its $1 billion in debtor-in-possession (“DIP”) financing” so it may preserve “commercial enterprise as ordinary” whilst it reorganizes underneath Chapter 11.
Among that ordinary business is apparently bidding in the FCC’s millimeter wave spectrum (24 GHz) inside the FCC auction that begins March 14. At least it’s miles a qualified bidder and has furnished an upfront charge to the FCC as of Feb. 19.
A Windstream spokesperson had no longer again a call for comment at press time approximately whether and how the financial disaster might affect its bidding at the spectrum that’s being freed up for 5G. The company had said whilst announcing it become reorganizing — following a courtroom choice that didn’t cross its manner (a bondholder dispute) — that the $1 billion financing dedication from Citigroup Global Markets, plus coins from ongoing operations, might allow it to hold working “enterprise as normal.”
As traditional for Windstream, more of that commercial enterprise is constructing out broadband with government subsidies thru the Universal Service Fund, something a few in Washington have been urging the organization to maintain thru the financial ruin system. “Despite its financial ruin repute, the weight of Windstream’s economic issues can not fall at the shoulders of taxpayers who rely on their services to get entry to the Internet,” stated Rep. Doug Collins (R-Ga.). “Windstream need to preserve to meet its responsibilities under the Connect America Fund to provide broadband service to rural communities like northeast Georgia.”