Windstream Says It Wants to Keep Paying Uniti’s Lease for Now

Windstream Holdings Inc. intends to pursue changes in its crucial lease agreement with Uniti Group Inc., but rejected demands from bondholders that it stop payments now.

The bankrupt telecom company said in court papers filed July 2 it has a “compelling” claim to back its case for revising the Uniti lease, which it has said is overpriced, and that it’s discussing potential changes with Uniti.

But a motion from the bondholders’ trustees to cut off payments of more than $54 million a month “is an attempt to end-run well-established procedures meant to protect a Chapter 11 debtor’s right to control ...