LITTLE ROCK, Ark. – Windstream Corporation (NYSE: WIN) has entered into an agreement to sell the non-affiliate operating assets of the company’s product distribution subsidiary, Windstream Supply LLC, to Walker and Associates, Inc., based in Welcome, N.C.
“This transaction provides a better strategic path for our supply business and allows Windstream to focus on our core communications business,” said Brent Whittington, chief operating officer for Windstream.
Virginia Walker, CEO of Walker, stated, “For nearly 40 years, Walker has been an innovator in customer-oriented supply and services to network operators. Our storied market strength is a great platform for leveraging this added scale and customer reach.”
The transaction primarily includes product inventory and customer accounts. The sale is expected to close later this month. Terms were not disclosed. The transaction is expected to have virtually no effect on the company’s operating income before depreciation and amortization (OIBDA) performance in 2009. Windstream Supply was expected to generate roughly $75 million in sales from external customers for 2009.
