“And we expect this dynamic will persist for the next several quarters.”

In context

“ervice revenues to grow 5% plus this year with EBITDA growth of 6% plus. Legacy service revenues declined about 25% year-over-year, which is consistent with our outlook for 20% plus decline in 2026. We stopped taking new orders for legacy services last year in most of our wireline footprint, and we now have approval to discontinue legacy services in more than 30% of our [indiscernible]. We're actively working with customers in these areas and helping them upgrade to more advanced services like Internet Air and [ Phone Advance ]. There is a lag between when customers migrate to more advanced services and when we are able to discontinue operations [indiscernible] infrastructure. This is the primary reason why the decline in legacy EBITDA of about 40% was greater than the decline in revenue. And we expect this dynamic will persist for the next several quarters. We ended the first quarter with net debt to adjusted EBITDA of 2.71x, which is up from 2.53x at the end of the fourth quarter last year. This was primarily due to the close of the transaction with [ Lumen ]. We continue to expect that our net leverage ratio will increase to approximately 3.2x following our transaction with EchoStar, then declined to approximately 3x by the end of 2026, and return to a level consistent with our target in the 2.5x range within approximately 3 years following the transaction. We ended the first quarter with $12 billion in cash and with $19 billion available to draw under term loans. So we are in a strong liquidity position as we prepare to close our transaction with EchoStar. We also continue to expect that we will close the transaction with an equity invest”