Obtains Interim Approval to Access up to $400 Million in DIP Financing
LITTLE ROCK, Ark., Feb. 26, 2019 (GLOBE NEWSWIRE) -- Windstream Holdings, Inc. (NASDAQ: WIN) (the “Company”) today announced that the Company has received approvals from the U.S. Bankruptcy Court for the Southern District of New York (the “Court”) for the “First Day” motions related to the voluntary Chapter 11 petitions filed on February 25, 2019.
Notably, the Court granted Windstream interim approval to access up to $400 million of its $1 billion in debtor-in-possession (“DIP”) financing. This financing, combined with access to the cash generated by the Company’s ongoing operations, is available to meet Windstream’s operational needs and continue operating its business as usual.
“We are pleased to have received approval of our First Day motions, which will enable Windstream to continue normal business operations as we continue paying our employees, maintaining our relationships with our vendors and business partners and serving our customers as usual,” said Tony Thomas, president and chief executive officer. “Our focus going forward is on serving our customers and maintaining the strong operational momentum we are seeing across our business. We appreciate the prompt action by the Court in approving our First Day motions.”
In addition to interim approval to access up to $400 million of the $1 billion in DIP financing, Windstream received Court approval to, among other things, operate in the normal course of business without interruption or disruption to its relationships with its customers, vendors, channel partners and employees. Windstream will pay vendors in full for all goods received and services provided to the Company after the filing date, February 25, 2019.