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Frontier Communications' Debt Refinancing: What Just Happened?
Mar. 19, 2019 2:36 AM ET|
16 comments
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About: Frontier Communications Corporation (FTR)
Summary
Frontier Communications announced a refinancing of two secured tranches, combining them into a single tranche with a February 2027 maturity.
This announcement created much debate about whether the unfavorable terms heralded a quick bankruptcy filing or whether this was the step needed to ensure the company's survival.
This analyst was interested in whether the new maturity schedule would enable Frontier to "run the table", using internally generated cash to redeem successfully the upcoming maturities.
The "new", modeled maturity schedule is offered, incorporating upcoming changes, to be used as a basis for discussing the impact upon the company's ability to remain sustainable.
Mar. 19, 2019 2:36 AM ET|
16 comments
|
About: Frontier Communications Corporation (FTR)
Summary
Frontier Communications announced a refinancing of two secured tranches, combining them into a single tranche with a February 2027 maturity.
This announcement created much debate about whether the unfavorable terms heralded a quick bankruptcy filing or whether this was the step needed to ensure the company's survival.
This analyst was interested in whether the new maturity schedule would enable Frontier to "run the table", using internally generated cash to redeem successfully the upcoming maturities.
The "new", modeled maturity schedule is offered, incorporating upcoming changes, to be used as a basis for discussing the impact upon the company's ability to remain sustainable.