| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers S > Headlines for Sprint Corp. > News item |
Sprint may issue more debt, retires $2 billion debt in third quarter
By Devika Patel
Knoxville, Tenn., Feb. 2 – Sprint Corp. plans to issue additional debt under a $7 billion program for Spectrum-backed notes and will possibly look at raising funds in other markets as well.
Sprint paid down $2 billion of debt in the third quarter, retiring the Clearwire exchangeable notes early, since they were callable in December.
“We continued to strengthen our balance sheet, and we retired $2 billion of debt during the third quarter,” president and chief financial officer Michel Combes said on the company’s third quarter earnings conference call on Friday.
“This included the early retirement of the Clearwire exchangeable notes that were callable on Dec. 1.
“Subsequent to the end of the quarter, we made the final payments under our network lease co-facility in January and have now terminated that facility,” he said.
The company plans to issue more debt to finance its capital deployment plans.
“Moving forward, we would expect to raise additional capital in the coming months to pre-fund our capital deployment plans,” Combes said.
“This activity would include issuing the second tranche of Spectrum-backed notes under the existing $7 billion program however, given the strength of global capital markets, we may look at other markets opportunistically as well,” he said.
The company reported an adjusted EBITDA of $2.7 billion for the quarter, “the highest fiscal third quarter in 11 years,” Combes said, was an 11% increase from the prior year.
Adjusted free cash flow was $397 million, an improvement of more than $1 billion year-over-year.
Sprint is an Overland Park, Kan.-based communications services company.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.