LITTLE ROCK, Ark., Sept. 30, 2016 (GLOBE NEWSWIRE) -- Windstream today announced it completed the redemption of all of its outstanding 7.875% senior notes due 2017 and amended its existing senior secured credit agreement.
Under the credit agreement amendment, Windstream upsized the principal amount of its existing tranche B-6 term loans from approximately $597 million to $747 million and decreased the interest rate by 100 basis points to LIBOR plus 4.00% per annum (with a minimum LIBOR rate of 0.75%). Windstream used the proceeds from the $150 million incremental term loans, together with revolver borrowings, to retire the remaining $369 million in aggregate principal amount of the 2017 notes.
“We were very pleased to see strong investor demand, enabling us to save interest and upsize our term loans to further optimize our balance sheet,” said Christie Grumbos, Windstream treasurer. “As a result of our debt reduction and refinancing activities, we have no maturities until 2019 and have significantly improved 2017 cash interest expectations to approximately $325 million.”
Windstream Holdings, Inc. (NASDAQ:WIN), a FORTUNE 500 company, is a leading provider of advanced network communications and technology solutions for consumers, small businesses, enterprise organizations and carrier partners across the U.S. Windstream offers bundled services, including broadband, security solutions, voice and digital TV to consumers. The company also provides data, cloud solutions, unified communications and managed services to business and enterprise clients. The company supplies core transport solutions on a local and long-haul fiber-optic network spanning approximately 125,000 miles. Additional information is available at windstream.com. Please visit our newsroom at news.windstream.com or follow us on Twitter at @Windstream.
Certain statements contained in this press release may constitute forward-looking statements. Forward-looking statements are subject to uncertainties that could cause actual future events and results to differ materially from those expressed in the forward-looking statements. These forward-looking statements, including expectations for 2017 cash interest, are based on estimates, projections, beliefs, and assumptions that Windstream and Windstream Services believe are reasonable but are not guarantees of future events and results. Actual future events and results may differ materially from those expressed in these forward-looking statements as a result of a number of important factors, including those described in filings by Windstream and Windstream Services with the Securities and Exchange Commission, which can be found at www.sec.gov.
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