The financial wizards in Broomfield have been busy lately. In a press release today, Level 3 Communications (NYSE:LVLT, news, filings) announced yet another series of balance sheet moves. It's always a bit dizzying to read one of these PRs, but it all boils down to this.
- They made a deal with an institution that held some $282M of their convertibles due in 2010, exchanging $200M in new converts plus $78M in cash.
- They have also been very busy in the debt markets lately, and have repurchased some $248M in debt due over the next few years at various discounts for $223M.
What does that mean in the short term? Mainly that Level 3 has made further progress toward lowering the hurdles it has to jump if the debt markets remain stingy for a long time. The new maturity profile: [Read more →]