NEW YORK (S&P Global Ratings) May 9, 2022--S&P Global Ratings today assigned its 'B' issue-level rating and '2' recovery rating to Frontier Communications Holdings LLC's proposed $800 million first-lien secured notes due 2030. The '2' recovery rating indicates our expectation for substantial (70%-90%; rounded estimate: 80%) recovery in the event of a payment default. The company is also upsizing its revolving credit facility by $275 million to $900 million in conjunction with the notes issuance. Frontier plans to use the net proceeds from these notes to fund the capital expenditure (capex) and operating costs associated with the upgrade of its network to fiber-to-the-home (FTTH), as well as for other general corporate purposes. At the same time, we lowered our issue-level
