Frontier Tells Creditors It Seeks a March Bankruptcy

Frontier Communications Corp., the provider of telecom services in 29 states, is asking creditors to help craft a turnaround deal that includes filing for bankruptcy by the middle of March, according to people with knowledge of the matter.

Company executives including Bernie Han, Frontier’s new chief executive officer, met with creditors and advisers Thursday and told them the company wants to negotiate a pre-packaged agreement before $356 million of debt payments come due March 15, the people said. They asked not to be identified because the meeting was private.

Certain Frontier creditors signed confidentiality documents that restrict their ability to trade in preparation for the negotiations, the people said.

-snip-

A Frontier bankruptcy would rank as one of the biggest telecom reorganizations since Worldcom Inc. in 2002. Frontier has been in talks with advisers about possible solutions to its $17.5 billion debt load, which has become a heavy burden as people stop using land lines.

https://www.bloomberg.com/news/articles/2020-01-16/frontier-said-to-tell-creditors-it-seeks-a-mid-march-bankruptcy