DefaultJun 1, 2026, 08:31 AM
EchoStar Defaults on $183M Interest Payments for DBS Notes
AI Summary
EchoStar Corporation announced its decision not to make approximately $183 million in cash interest payments due on June 1, 2026, for its DISH DBS Corporation subsidiary's 2026, 2028, and 2029 notes. This non-payment is considered a default, though the company has a 30-day grace period. The company stated this action was taken to defer liquidity utilization while awaiting the net closing proceeds of $20.25 billion from the AT&T Transactions, which have received regulatory approvals but are still subject to certain closing conditions.
Key Highlights
- EchoStar elected not to make approximately $183 million in cash interest payments due June 1, 2026.
- Payments include $72.2 million for 2026 Notes, $71.9 million for 2028 Notes, and $38.4 million for 2029 Notes.
- Non-payment constitutes a default, with a 30-day grace period before becoming an Event of Default.
- Decision made to defer liquidity utilization pending $20.25 billion from AT&T Transactions.
- AT&T Transactions received FCC and DOJ approvals, but FCC order is not yet final.
Price Impact
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