Otelco Inc. plans to seek support for a pre-packaged chapter 11 filing from its senior subordinated notes holders in an effort to reduce its overall debt by roughly $135 million, MarketWatch.com reported today. The wireline telecommunication services provider said that it currently has more than $32 million in cash and sufficient liquidity to consummate the transaction. Otelco ended the third quarter with total liabilities of roughly $330.1 million. The company said that its senior lenders have agreed to amend and extend the company's current senior financing through April 2016.
