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Assets and Liabilities Held for Sale
6 Months Ended
Jun. 30, 2019
Discontinued Operations And Disposal Groups [Abstract]  
Assets and Liabilities Held for Sale

Note 6. Assets and Liabilities Held for Sale

 

On May 23, 2019, the Company completed the sale of substantially of its U.S. ground lease business. See Note 5.  As of June 30, 2019, the sale of the remaining ground lease is expected to close during the third quarter and has met the criteria to be classified as held for sale.  As a result, the Company classified $2.8 million of net property, plant and equipment to assets held for sale on the Condensed Consolidated Balance Sheet. 

 

On January 15, 2019, the Company entered into an operating company/property company (“OpCo-PropCo”) transaction with Macquarie Infrastructure Partners (“MIP”) to acquire Bluebird Network, LLC (“Bluebird”). MIP operates within the Macquarie Infrastructure and Real Assets division of Macquarie Group.  In the transaction, Uniti has agreed to purchase the Bluebird fiber network and MIP has agreed to purchase the Bluebird operations. In addition, Uniti has agreed to sell Uniti Fiber’s Midwest operations to MIP, while Uniti will retain its existing Midwest fiber network.  As of June 30, 2019, the sale of the Midwest operations met the criteria to be classified as held for sale.  As a result, the Company classified $13.9 million of net property, plant and equipment to assets held for sale and $4.3 million of other accrued liabilities to liabilities held for sale on the Condensed Consolidated Balance Sheet as of June 30, 2019.  The Midwest operations that will be sold to MIP are currently reported in our Fiber Infrastructure segment.  The sale does not represent a strategic shift that will have a major effect on operations and financial results and, therefore, did not qualify for presentation as a discontinued operation.  These transactions are subject to regulatory and other closing conditions and are expected to close by the end of the third quarter of 2019.

The Company had no assets or liabilities classified as held for sale as of December 31, 2018.