On December 15, 2020, S&P Global Ratings lowered its issuer credit rating on GTT Communications, Inc. to CCC from CCC+. The downgrade reflects that GTT's near-term liquidity position is deteriorating, according to the ratings agency. The Company has no availability under its revolving credit facility and S&P Global believes it needs to obtain additional liquidity by December 31, 2020, to bridge the gap until the $2.15 billion sale of its infrastructure division to I Squared Capital closes. Furthermore, GTT's forbearance agreement with lenders is set to expire by December 28, 2020 and it is unclear whether lenders will be willing to grant the Company an extension. The ratings agency believes there is greater likelihood that the Company may also pursue a distressed exchange or restructuring to address pro forma debt levels, given uncertainty regarding the actual level of EBITDA as a result of the accounting issues.

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