(Reuters) – Frontier Communications Corp has filed for bankruptcy protection in the United States, the high-speed internet company said on Tuesday, as it restructures finances to cut down its borrowings by more than $10 billion.
The company, which warned on its ability to continue as a going concern last month, had been in discussions with some of its lenders and was also mulling restructuring options.
Frontier said it has entered an agreement with its bondholders and received $460 million in debtor-in-possession financing.
“With this agreement with our bondholders, we can now focus on executing our strategy to drive operational efficiencies and position our business for long-term growth,” President and Chief Executive Officer Bernie Han said.
The Norwalk, Connecticut-based company estimated its assets and liabilities both in the range of $10 billion to $50 billion, according to a filing in the U.S. Bankruptcy Court for the Southern District of New York.
Frontier also said it would continue with the sale process of its operations and assets in Washington, Oregon, Idaho, and Montana to Northwest Fiber, and will also continue services and paying its vendors.
Reporting by Pushkala Aripaka in Bengaluru, Editing by Sherry Jacob-Phillips