Level 3 Communications, Inc. (NASDAQ: LVLT) today announced that its
wholly owned subsidiary, Level 3 Financing, Inc., has commenced a
consent solicitation (the “Consent Solicitation”) with respect to an
amendment to the indenture governing Level 3 Financing’s outstanding
12.25% Senior Notes due 2013 (the “12.25% Senior Notes”).
Level 3 Financing is seeking consents to amend the indenture relating to
the 12.25% Senior Notes to provide that Level 3 may incur debt that is
permitted based upon a multiple of cash flow available for fixed charges
on a “pro forma” basis giving effect to any investment, acquisition,
merger or consolidation. The amendment would calculate this incurrence
test in the same manner as the test is calculated under all of the other
existing indentures of Level 3 Financing. The Consent Solicitation will
expire at 5:00 p.m., New York City time, on July 15, 2009, unless
extended (such date, as it may be extended, the “Consent Date”).
On the terms and subject to the conditions of the Consent Solicitation,
if Level 3 Financing receives the requisite consents, the other
customary conditions specified in the Consent Solicitation Statement are
satisfied or waived and the supplemental indenture that contains the
amendment is executed, Level 3 Financing will pay, promptly following
the Consent Date, to each Holder who has validly delivered (and has not
revoked) a valid consent on or prior to the Consent Date, $7.50 for each
$1,000 in principal amount of 12.25% Senior Notes with respect to which
a consent has been delivered.
The complete terms and conditions of the Consent Solicitation are set
forth in the Consent Solicitation Statement that is being sent to
holders of the 12.25% Senior Notes. Holders are urged to read the
Consent Solicitation documents carefully. Copies of the Consent
Solicitation Statement and related Consent Letter may be obtained from
Global Bondholder Services Corporations, at 212-430-3774 and (866)
389-1500 (toll free).
Banc of America Securities LLC and Citigroup Global Markets Inc. are the
Solicitation Agents for the Consent Solicitation. Questions regarding
the Consent Solicitation may be directed to Banc of America Securities
LLC at (888) 292-0070 (toll free) or 646 855-3401 Attn: Liability
Management Group or Citigroup Global Markets Inc. at (800) 558-3745.
About Level 3 Communications
Level 3 Communications, Inc. (NASDAQ: LVLT) is a leading international
provider of fiber-based communications services. Level 3 services are
provided by wholly owned subsidiaries of Level 3 Communications, Inc.
