Web Provider Files for Bankruptcy
ENGLEWOOD, Colo. (AP) _ Rhythms NetConnections Inc., a high-speed Internet service provider, has filed for Chapter 11 bankruptcy protection.
The Englewood-based company’s petition, filed Thursday in U.S. Bankruptcy Court in Southern District of New York, listed assets of $698.6 million and debts of $847.2 million.
Rhythms plans to reorganize, but failing that will sell its assets, the company said in a statement.
Rhythms said it has suffered from the decline in the telecommunications sector.
Spokeswoman Ali Perry declined to comment Thursday.
Rhythms chairman and chief executive Catherine Hapka, who founded the company in 1997, resigned April 2.
Shares of Rhythms fell less than a penny to 4 cents per share on the OTC Bulletin Board.
On the Net:
Rhythms NetConnections: http://www.rhythms.com/