Research Update: Windstream Holdings Inc. Upgraded To 'CCC+'; Outlook Developing; $1.2B Second-Lien Notes Rated 'CCC' (Recovery: 5)

We have completed our review of U.S. telecommunications provider Windstream Holding Inc. following its exchange of about $1 billion in face value of subsidiary Windstream Services LLC's senior notes maturing in 2021 through 2024 at a discount to par. We are raising our issuer credit rating on Windstream to 'CCC+' from 'SD' (selective default) based on risks around upcoming debt maturities, including about $1 billion of debt maturing in 2020 and $1.2 billion maturing in 2021. We are also raising the issue-level ratings on Windstream's senior notes exchanged at a discount to 'CCC-' from 'D' and are lowering the issue-level rating on the company's senior notes exchanged at par to 'CCC-' from 'CCC'. In addition, we are lowering the issue-level

...+ We have completed our review of U.S. telecommunications provider Windstream Holding Inc. following its exchange of about $1 billion in face value of subsidiary Windstream Services LLC's senior notes maturing in 2021 through 2024 at a discount to par. + We are raising our issuer credit rating on Windstream to '###+' from '##' (selective default) based on risks around upcoming debt maturities, including about $1 billion of debt maturing in 2020 and $1.2 billion maturing in 2021. + We are also raising the issue-level ratings on Windstream's senior notes exchanged at a discount to '###-' from 'D' and are lowering the issue-level rating on the company's senior notes exchanged at par to '###-' from '###'. + In addition, we are lowering the issue-level ratings on subsidiaries Windstream Services LLC's and Windstream Holding of the Midwest Inc.'s first-lien debt to 'B' from 'B+'. + Furthermore, we are assigning our '###' issue-level rating and '5' recovery rating to Windstream Holdings Inc. subsidiaries...

Research Update