XO Communication expects to file for bankruptcy

[Joe Blanchard <jblanchard () wyse com>]

FYI


> XO Communication expects to file for bankruptcy--report
>
> NEW YORK, Feb 21 (Reuters) - Voice and data services firm XO
> Communications 
> Inc. (OTC BB:XOXO.OB - news) expects to file for Chapter 11 bankruptcy 
> protection within the next two weeks, Business Week magazine reported on 
> Thursday.
>
> XO, founded by wireless pioneer Craig McCaw, said on Nov. 29 that buyout 
> firm Forstmann Little and Mexican telecommunications firm Telefonos de 
> Mexico S.A. de C.V. planned to invest $400 million each in XO.
>
> But XO said the restructuring, if completed, would essentially leave 
> current stockholders with nothing.
>
> Business Week reported that XO expects to file for bankruptcy protection
> in 
> order to convince debtholders to agree to the restructuring plan.
>
> ``It could happen in days; it could be two weeks,'' a source close to XO 
> told the magazine.
>
> XO was not immediately available for comment.