NL Short Takes
News | 02/26/2002 5:00 am EST
Call-Net negotiates recapitalization plan
Call-Net Enterprises Inc. has negotiated a new plan with its noteholders and shareholders that will see the CLEC’s debt reduced by over $2 billion. All of Call-Net’s $2.6 billion of senior notes will be exchanged for US$377 million of new 10.625% debt, US$81.9 million in cash and 80% equity in Call-Net. A day earlier, the telco released its FY2001 numbers. Revenue dropped to $928.4 million from $1.25 billion the previous year, primarily due to a decline in LD revenue.