Level 3 Communications Inc. said Tuesday it is looking to buy back about $550 million in debt and reaffirmed its adjusted profit forecast for 2009.
The company, which provides Internet networking services, said it has launched a tender offer for $550 million in 12.25 percent notes due in 2013. It will pay bond holders who accept by the Jan. 19 deadline $1,080 for every $1,000 in notes they hold.
The company plans to fund the buyback by selling $640 million in new notes that will come due in 2018.
Level 3 said it still expects earnings before interest, taxes depreciation and amortization, or EBITDA, of $900 million to $950 million for 2009. The company is scheduled to report financial results for the year in February.