RCN Corp., a telecommunications provider that filed for bankruptcy in May, on Monday announced filing a joint plan of reorganization designed to slash its debt.
The company says the plan would cut its debt by $1.2 billion through a debt for equity swap. As part of its restructuring, several additional non-operating subsidiaries have filed a petition for reorganization under Chapter 11 bankruptcy law.
The reorganization plan is subject to creditor approval and confirmation by the U.S. Bankruptcy Court for the Southern District of New York, the Princeton, N.J., company said.
RCN provides phone service, cable TV and high-speed Internet access to consumers in Boston, Chicago, eastern Pennsylvania, Los Angeles, New York and San Francisco. The company is working to emerge from its restructuring in the fourth quarter.
