Staff Report
Published Jan. 10, 2011
 
Windstream Corp., which acquired Greenville-based NuVox Inc. in early 2010, announced Friday that it will offer a $200 million private placement of senior notes due 2020.
 
The 7.75% notes are to be issued as additional securities under an existing indenture of Windstream pursuant to which Windstream previously issued $500 million in aggregate principal amount of 7.75% Senior Notes due 2020, the Arkansas-based company said. The notes to be issued in this offering and the previously issued notes will be treated as a single class of notes under the indenture. The offering is expected to be completed in late January, subject to market and other conditions.
 
Windstream expects to use the net proceeds of the offering, together with borrowings under its revolving line of credit, to pay the consideration in connection with a tender offer to purchase for cash any and all of the $400 million in aggregate outstanding principal amount of 7.75% Senior Notes due 2015 issued by Windstream's subsidiaries Valor Telecommunications Enterprises LLC and Valor Telecommunications Enterprises Finance Corp., together with related fees and expenses.
 
Windstream is a communications and technology company with operations in 29 states and the District of Columbia and about $4 billion in annual revenues. Windstream provides IP-based voice and data services, networking, data center and managed hosting services and communication systems to businesses and government agencies. The company also delivers broadband, digital phone and high-definition television services to residential customers primarily located in rural areas, and it operates a local and long-haul fiber network spanning approximately 60,000 route miles.