Thread regarding Windstream Corp. layoffs

Windstream and Uniti still far apart on any settlement; seek mediation

Bloomberg News reported 2 days ago that Windstream and Uniti were working on a revised lease deal:
https://www.thelayoff.com/t/100mqLXV

It sort of sounded like they were making progress.

Friday evening, Windstream filed a motion saying they were far apart. They requested the judge appoint a mediator. They said Uniti concurred in the request:
http://www.kccllc.net/windstream/document/1922312190712000000000110

Windstream said if a deal wasn’t reached, they intended to challenge the lease as not being a true lease but instead just a financing deal.

If Windstream won, some have said it would supposedly put Uniti at the back of the money line with all the rest of the unsecured creditors. Or maybe not. I don’t know what would happen to the actual assets (poles, wires, fiber, etc) and their ownership.

Different parties have said different things at different times in different courtrooms about what that deal is or isn’t. It’s confusing.

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| 964 views | | 1 reply (July 13, 2019) | Reply
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My guess is that Uniti is sticking to their company line:
“It’s our stuff. We have a lease. You can rent it. Take it or leave it”.

Maybe it is or isn’t fair. Maybe the whole spin off was or wasn’t a good idea. Whatever it is, I think by now Uniti probably has a pretty good case.

Windstream management put the original deal together, telling regulators it was a lease. Then they told the judge in the Aurelius case that it mostly was but kind of wasn’t. Then that judge said it most definitely was. Now they’re saying they intend to file a motion to declare its not really a lease.

The bond indenture trustees, working with Aurelius, successfully sued to get the deal declared a lease. That judge even cited “walks like a duck, talks like a duck” to declare it a lease. Now those trustees have filed to get it declared not a lease in bankruptcy court.

“example of chutzpah is a man who murders his parents and then asks for sympathy because he is an orphan. “

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