Overbuilder WINfirst filed for Chapter 11 bankruptcy protection Monday.
Its financial problems -- which came to light last week, after the company
halted an overbuild of AT&T Broadband's Sacramento, Calif., system -- appear
much deeper than the company had indicated.
The company said it will utilize existing resources to continue operating and
growing its Sacramento business.
Its initial plan is to conserve capital by scaling back new construction,
evaluating its business plan and actively pursuing new investors.
'This is strictly a financial restructure,' WINfirst
president and CEO Frank Casazza said in a prepared statement. 'The operating
dynamics of the business work.'