The bankruptcy filings follow delays in closing the spectrum sale to AT&T, which DISH DBS said left it unable to cover $2 billion of debt payments due July 1. The restructuring would enable DISH DBS to repay more debt early without penalty, while bringing in a court-supervised process for DISH Wireless to sell assets from the terrestrial network it had been building with the spectrum.<\/p>\n
DISH DBS said it and certain subsidiaries, including DISH Wireless, filed the cases in the U.S. Bankruptcy Court for the Southern District of Texas. The reorganization plan leaves untouched a $2.4 billion escrow that EchoStar must set aside to cover disputes over its abandoned terrestrial wireless buildout, a condition the Federal Communications Commission attached to its approval of spectrum sales totaling more than $40 billion.<\/p>\n
Satellite broadband provider Hughes Satellite Systems and entities that operate the Boost Mobile and Gen Mobile brands are not part of the bankruptcy process. According to EchoStar, creditors representing most DISH DBS notes and more than $8.8 billion of DISH Wireless debt have already agreed to support the plan, putting the subsidiaries on track to emerge from bankruptcy before the end of September.<\/p>\n
“EchoStar has been at the forefront of telecommunications for over 45 years, and these steps will position the business for an even stronger future,” EchoStar cofounder and chairman Charlie Ergen said in a statement. “We are operating as usual throughout this process, delivering the same high-quality services that our customers expect.”<\/p>\n
DISH DBS said the move allows the company to focus on ongoing operations and provides more strategic flexibility for future initiatives it did not disclose. The company emphasized that the filing does not affect active customer services.<\/p>\n
The subsidiaries are on track to emerge from bankruptcy before the end of September, with creditor support already secured for the prepackaged plan. The court-supervised process for DISH Wireless will govern the sale of assets from the terrestrial network the company had been building.<\/p>\n","protected":false},"excerpt":{"rendered":"
The bankruptcy filings follow delays in closing the spectrum sale to AT&T, which DISH DBS said left it unable to cover $2 billion of debt payments due July 1. The restructuring would enable DISH DBS to repay more debt early without penalty, while bringing in a court-supervised process for DISH Wireless to sell assets from […]<\/p>\n","protected":false},"author":1,"featured_media":21187,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":"","_links_to":"","_links_to_target":""},"categories":[2],"tags":[],"class_list":["post-21186","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"acf":[],"_links":{"self":[{"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/posts\/21186"}],"collection":[{"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/comments?post=21186"}],"version-history":[{"count":0,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/posts\/21186\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/media\/21187"}],"wp:attachment":[{"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/media?parent=21186"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/categories?post=21186"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/starpath.global\/blog\/wp-json\/wp\/v2\/tags?post=21186"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}