HASTINGS – Windstream Holdings, Inc. announced Monday that they have filed for Chapter 11 bankruptcy after a subsidiary lost a case in New York.
The judge in the case ordered the subsidiary to pay $310 million to Aurelius Capital Management. Windstream Services LLC had failed to repay the debts owed to Aurelius.
Tony Thomas, the president and CEO of Windstream, said, “With approval from the Court, we will continue paying our employees, maintaining our relationships with our vendors and business partners and serving our customers as usual.”
Windstream has received a commitment from Citigroup Global Markets Inc. for $1 billion in debtor-in-possession financing.
And according to Windstream, the financing and their access to cash generated by the company, will be available to meet their operational needs and continue operating its business as usual.