Avaya is implementing a Financial Restructuring that will accelerate our ongoing business transformation and significantly enhance our ability to invest in our innovative cloud-based communications portfolio.
On March 22, 2023, we received confirmation (approval) of our prepackaged restructuring plan on an accelerated basis. Implementing this plan will enable us to:
- Reduce Avaya’s total debt by more than 75%
- Substantially increase our liquidity position to over $650 million
- Move forward with one of the strongest balance sheets in our industry
- Position Avaya and our iconic brand for long-term success
As we announced on February 14, 2023, we are utilizing an expedited prepackaged court-supervised restructuring process to efficiently implement the Financial Restructuring. Avaya and all of our U.S. subsidiaries filed voluntary Chapter 11 cases in the U.S. Bankruptcy Court for the Southern District of at that time. Our subsidiaries outside of the U.S. are not included in this process.
The Court’s confirmation of our plan marks the last major milestone of our Financial Restructuring, and we expect to formally emerge from this process in the coming weeks.
The Financial Restructuring process has no impact on Avaya’s stakeholders – including customers, channel and strategic partners, suppliers, vendors and employees.
We are operating normally and continuing to serve the Avaya ecosystem with outstanding communications solutions, service and support.
All of Avaya’s vendors and suppliers are being paid in full in the normal course of business, regardless of when goods or services were delivered.