The Path Forward

Lumen is transforming for growth

We continue to take deliberate actions to optimize our cost structure, improve financial performance, and position the company to deliver sustainable value. We are pleased to have reached an agreement with creditors to extend maturities and give the company more runway for our turnaround. We believe our proactive approach to refinance our debt and divest parts of our business will improve our agility and efficiency, enabling us to better compete in the markets we serve.

We believe our customers will benefit from the changes we have made, as the changes will give us significantly more flexibility to innovate for growth and bring new capabilities to the market. They will provide greater agility and efficiency to meet customer needs.

We have a stronger foundation, long-term prospects and a deep commitment to serving our customers. We are confident we will execute a successful transformation to better serve our customers well into the future.

We have a purposeful journey ahead, and we are confident in our future.

Snapshot
Q&As

Here’s the value this brings to Lumen, and to you:

Additional Resources to Fuel our Strategy: The transactions extend near-term debt maturities to primarily 2029 and beyond. They also provide us with $1.325 billion of financing through new long-term debt and put the company in a strong liquidity position.  

Flexibility to Innovate: This milestone agreement gives us time and resources to continue disrupting the telecom industry with next-generation network solutions that will help drive your growth.  We are investing in new innovations such as NaaS and ExaSwitch, and more. We are also making our physical network and internal systems digital, simplifying our product portfolio, and investing in our ultra-low-loss intercity network with enhanced capabilities.

Focus on our transformation: We have a clear strategy focused on driving commercial excellence, securing our base and innovating in order to create a world-class digital experience. We’re already seeing momentum, adding more than 3,000 enterprise customers in North America last year.

Download the letter from Chris Stansbury

Q&As

What did Lumen announce today?

Lumen successfully closed the TSA transactions. This shows that we are making progress in our transformation journey and taking steps to deliver on our pivot to growth timeline.
We have established a solid foundation for the company to advance our financial and capital structure objectives.
Crossing this hurdle allows us to fully focus on serving our customers rather than addressing rumors and speculation.

What does this mean about the state of Lumen's business operations?

The closing of these transactions allows us to focus on our path to pivot to growth. Our path forward continues to be simplifying the business, strengthening our financials, and transforming Lumen.

What does this mean for Lumen's financial situation?

We are in a solid position from both a cash and debt perspective. An important part of our growth story is investing in ourselves. In new products. In our people. In innovation.
The transactions we closed today extend near-term debt maturities to primarily 2029 and beyond, provide $1.325 billion of financing to the Company through new long-term debt and put the company in a strong liquidity position including as a result of access to a new approximately $1 billion revolving credit facility.
Lumen’s near-term debt maturity profile has significantly improved, with the amount of maturities outstanding for 2025 to 2026 reduced from approximately $2.1 billion to approximately $600 million and total maturities outstanding for 2027 reduced from approximately $9.5 billion to approximately $800 million.
We expect to see EBITDA stabilization in late 2025, and revenue growth to follow after that..

What happens next?

With the successful closing of the TSA transactions, Lumen has strengthened its liquidity position and extended the maturity of our near-term debt obligations primarily to 2029 and beyond.
We are confident and excited about our future.

What does this mean for vendors and business partners?

Lumen successfully closed the TSA transactions. This shows that we are making progress in our transformation journey and taking steps to deliver on our pivot to growth timeline.
This successful closing positions us to continue executing on our transformation strategy and delivering on our pivot to growth timeline.
It is business as usual at Lumen, and we are focused on working as a team to meet and exceed our customers’ expectations.
We value our relationship and look forward to continuing our work with you.

What does this mean for customers?

It is business as usual at Lumen, and we are laser-focused on meeting your needs.
We are confident and excited about our future.
Thank you for your continued support.

This may include forward-looking statements (as defined by the federal securities laws), which are subject to the “safe harbor” protections thereunder. These forward-looking statements are not guarantees of future results and are based on current expectations only, are inherently speculative, and are subject to a number of assumptions, risks and uncertainties, many of which are beyond our control. Actual events and results may differ materially from those anticipated, estimated, projected or implied by us in those statements. Factors that could affect actual results include, but are not limited to, each of the matters and risks referenced from time to time in our filings with the U.S. Securities and Exchange Commission. We undertake no obligation to publicly update or revise any forward-looking statements for any reason, which speak only as of the date made.