EchoStar subsidiary Dish DBS reportedly plans to file for Chapter 11 bankruptcy by June 30, 2026. The Wall Street Journal first reported the move, citing sources familiar with the situation.
The filing facilitates a restructuring deal announced in March that holds support from a majority of debt holders. This move aims to resolve pending litigation with bondholders and manage substantial corporate debt.
The restructuring allows EchoStar to separate declining satellite liabilities from its core assets. It also helps finalize multi-billion dollar spectrum sales to AT&T and SpaceX.
EchoStar currently faces significant overall debt and consistent subscriber losses in its pay-TV sector.