Fresh Start Accounting (Tables)	12 Months Ended
Dec. 31, 2021
Fresh Start Accounting [Abstract]
Reconciliation Of Enterprise And Reorganization Value	‎ The following table reconciles the enterprise value to the estimated fair value of the Successor common stock as of the Effective Date: ($ in millions and shares in thousands, except per share data) Enterprise value $ 12,500 Plus: Cash and cash equivalents and restricted cash 940 Less: Fair value of debt and other liabilities (7,267)Less: Pension and other postretirement benefits (1,774)Less: Deferred tax liability (291)Fair value of Successor stockholders’ equity $ 4,108 Shares issued upon emergence 244,401 Per share value $ 17 The reconciliation of the Company’s enterprise value to reorganization value as of the Effective Date is as follows: ($ in millions) Enterprise value $ 12,500 Plus: Cash and cash equivalents and restricted cash 940 Plus: Current liabilities (excluding debt, finance leases, and non-operating liabilities) 1,179 Plus: Long term liabilities (excluding debt, finance leases, deferred tax liability) 307 Reorganization value $ 14,926
Fresh Start	The following table reflects the reorganization and application of ASC 852 on our consolidated balance sheet as of April 30, 2021: ($ in millions) Predecessor Reorganization Fresh Start Successor April 30, 2021 Adjustments Adjustments April 30, 2021 ASSETS Current assets: Cash and cash equivalents $ 2,059 $ (1,169)(1) $ - $ 890 Accounts receivable, net 516 - - 516 Contract acquisition costs 91 - (91)(8) - Prepaid expenses 92 - - 92 Income taxes and other current assets 45 - (3)(8) 42 Total current assets 2,803 (1,169) (94) 1,540 Property, plant and equipment, net 13,020 - (4,473)(9) 8,547 Other intangibles, net 578 - 3,863(10) 4,441 Other assets 526 (8)(1) (120)(8)(11) 398 Total assets $ 16,927 $ (1,177) $ (824) $ 14,926 LIABILITIES AND EQUITY (DEFICIT) Current liabilities: Long-term debt due within one year $ 5,782 $ (5,767)(3) $ - $ 15 Accounts payable 518 (6)(2) - 512 Advanced billings 208 - - 208 Accrued other taxes 185 - - 185 Accrued interest 81 (1)(2) - 80 Pension and other postretirement benefits 48 - - 48 Other current liabilities 309 53(2) (36)(11) 326 Total current liabilities 7,131 (5,721) (36) 1,374 Deferred income taxes 389 70(14) (168)(14) 291 Pension and other postretirement benefits 2,163 - (437)(13) 1,726 Other liabilities 440 - (28)(11) 412 Long-term debt - 6,738(3) 277(12) 7,015 Total liabilities not subject to compromise 10,123 1,087 (392) 10,818 Liabilities subject to compromise 11,570 (11,570)(7) - - Total liabilities 21,693 (10,483) (392) 10,818 Equity (Deficit): Shareholders' equity of Frontier: Successor common stock - 2(5) - 2 Predecessor common stock 27 (27)(4) - - Successor additional paid-in capital - 4,106(5) - 4,106 Predecessor additional paid-in capital 4,818 (4,818)(4) - - Retained earnings (deficit) (8,855) 10,028(6) (1,173)(15) - Accumulated other comprehensive income (loss), net of tax (741) - 741(16) - Treasury common stock (15) 15(4) - - Total equity (deficit) (4,766) 9,306 (432) 4,108 Total liabilities and equity (deficit) $ 16,927 $ (1,177) $ (824) $ 14,926 Reorganization AdjustmentsIn accordance with the Plan of Reorganization, the following adjustments were made: (1) Reflects net cash payments as of the Effective Date from implementation of the Plan as follows: ($ in millions) Sources: Net proceeds from Incremental Exit Term Loan Facility $220 Release of restricted cash from other assets to cash 8Total sources 228 Uses: Payments of Excess to Unsecured senior notes holders (1,313) Payments of pre-petition accounts payable and contract cure payments (62) Payments of professional fees and other bankruptcy related costs (22)Total uses (1,397)Net uses of cash $(1,169) (2) Reflects the reinstatement of accounts payable and accrued expenses upon emergence, as well as payments made on the Effective Date. (3) Reflects the conversion of our DIP-to-Exit term loan facility, DIP-to-Exit First Lien Notes, and DIP-to-Exit Second Lien Notes. Also represent the reclassification of the debt from current liabilities during bankruptcy to non-current liabilities based on the maturity of the debt recorded by the Company. (4) Reflects the cancellation of Predecessor common stock, additional paid in capital and treasury stock. (5) Reflects the issuance of Successor common stock and additional paid in capital to the unsecured senior note holders. (6) Reflects the cumulative impact of reorganization adjustments. ($ in millions) Gain on settlement of Liabilities Subject to Compromise $ 5,274 Cancellation of Predecessor equity 4,754 Net impact on accumulated deficit $ 10,028 (7) As part of the Plan of Reorganization, the Bankruptcy Court approved the settlement of claims reported within Liabilities subject to compromise in the Company’s Consolidated balance sheet at their respective allowed claim amounts. The table below indicates the disposition of Liabilities subject to compromise: ($ in millions) Liabilities subject to compromise pre-emergence $ 11,570 Reinstated on the Effective Date: Accounts payable (66) Other current liabilities (59) Less: total liabilities reinstated (125) Amounts settled per the Plan of Reorganization Issuance of take back debt (750) Payment for settlement of unsecured senior noteholders (1,313) Equity issued at emergence to unsecured senior noteholders (4,108) Total amounts settled (6,171) Gain on settlement of Liabilities Subject to Compromise $ 5,274 ‎ Fresh Start AdjustmentsIn accordance with the application of fresh start accounting, the following adjustments were made: (8)Reflects unamortized deferred commissions paid to acquire new customers that are eliminated upon emergence as this is not a probable future benefit for the Successor. Costs to obtain customers have been reflected as part of intangible assets. Adjustment also reflects the elimination of certain contract assets and contract liabilities. (9)Property Plant & Equipment – Reflects the decrease in net book value of property and equipment to the estimated fair value as of the Effective Date. Personal property valued consisted of outside and inside plant network equipment, computers and software, vehicles, office furniture, fixtures and equipment, computers and software, and construction-in-progress. The fair value of our personal property was estimated using the cost approach, while the income approach was considered to assess economic sufficiency to support asset values. As a part of the valuation process, the third-party advisors’ diligence procedures included using internal data to identify and value assets. Real property valued consisted of land, buildings, and leasehold improvements. The fair value was estimated using the cost approach and sales comparison (market) approach, with consideration of economic sufficiency to support certain asset values. The following table summarizes the components of property and equipment, net as of April 30, 2021, and the fair value as of the Effective Date: Predecessor Fair Value Successor ($ in millions) Historical Value Adjustment Fair Value Land $ 209 $ 40 $ 249 Buildings and leasehold improvements 2,134 (958) 1,176 General support 1,635 (1,462) 173 Central office/electronic circuit equipment 8,333 (7,364) 969 Poles 1,359 (843) 516 Cable, fiber, and wire 11,824 (8,755) 3,069 Conduit 1,611 (282) 1,329 Construction work in progress 1,048 18 1,066 Property, plant, and equipment $ 28,153 $(19,606) $ 8,547 Less: Accumulated depreciation (15,133) 15,133 - Property, plant, and equipment, net $ 13,020 $(4,473) $ 8,547 (10)Reflects the fair value adjustment to recognize trademark, trade name and customer relationship. For purposes of estimating the fair values of customer relationships, the Company utilized an Income Approach, specifically, the Multi-Period Excess Earnings method, or MPEEM. The MPEEM estimates fair value based on the present value of the incremental after-tax cash flows attributable only to the subject intangible assets after deducting contributory asset charges. The cash flows attributable to the customer relationships were adjusted for contributory asset charges related to the working capital, fixed assets, trade name/trademarks and assembled workforce. The discount rate utilized to present-value the after-tax cash flows was based on the overall weighted cost of capital of the Company as well as the asset specific risks of the intangible assets. Changes in these inputs could have a significant impact on the fair value of the customer relationships intangible assets. For purposes of estimating the fair value of trademarks and tradenames, an Income approach was used, specifically, the Relief from Royalty Method. The estimated royalty rates were historical third-party transactions regarding the licensing of similar type of assets as well as a review of historical assumptions used in prior transactions. The selected royalty rates were applied to the revenue generated by the trademarks and tradenames to determine the amount of royalty payments saved as a result of owning these assets. The forecasted cash flows were based on the Company’s projected revenues and the resulting royalty savings were discounted using a rate based on the overall weighted cost of capital of the Company as well as the asset specific risks of the intangible assets. (11)Reflects the fair value adjustment to the right of use assets and lease liabilities. Upon application of fresh start accounting, the Company revalued its right-of-use assets and lease liabilities using the incremental borrowing rate applicable to the Company after emergence from bankruptcy and commensurate with its new capital structure. In addition, the Company decreased the right-of-use assets to recognize $4 million related to the unfavorable lease contracts. (12)Reflects the fair value adjustment to adjust Long-term debt as of the Effective Date. This adjustment is to state the Company's debt at estimated fair values. (13)Reflects a remeasurement of pension and Other Postretirement Benefits related accounts as part of fresh start accounting considerations at emergence. (14)Reflects the impact of fresh start adjustments on deferred taxes. Frontier purchased the assets, including the stock of subsidiaries, of Frontier Communications Corporation (“Predecessor’s Parent”) at the time of emergence. The Predecessor’s Parent’s federal and state net operating loss carryforwards are expected to have been utilized as a result of the taxable gain realized upon emergence. To the extent not utilized to offset taxable gain, such net operating loss carryforwards are expected to be reduced in accordance with Section 108 of the U.S. Internal Revenue Code of 1986, as amended (the “Code”). As part of the taxable purchase, elections were made under Code section 338(h)(10) to step up the value of assets in certain subsidiaries to fair market value. All other subsidiaries carried over their deferred taxes. The adjustments reflect a $1.5 billion reduction in deferred tax assets for federal and state net operating loss carryforwards, a reduction in valuation allowance and a reduction in deferred tax liabilities. (15)Reflects the cumulative impact of the fresh start adjustments as discussed above and the elimination of Predecessor accumulated earnings. (16)Reflects the derecognition of accumulated other comprehensive loss.

Fresh Start Accounting (Tables)

12 Months Ended

Dec. 31, 2021

Reconciliation Of Enterprise And Reorganization Value

‎ The following table reconciles the enterprise value to the estimated fair value of the Successor common stock as of the Effective Date: ($ in millions and shares in thousands, except per share data) Enterprise value $ 12,500 Plus: Cash and cash equivalents and restricted cash 940 Less: Fair value of debt and other liabilities (7,267)Less: Pension and other postretirement benefits (1,774)Less: Deferred tax liability (291)Fair value of Successor stockholders’ equity $ 4,108 Shares issued upon emergence 244,401 Per share value $ 17 The reconciliation of the Company’s enterprise value to reorganization value as of the Effective Date is as follows: ($ in millions) Enterprise value $ 12,500 Plus: Cash and cash equivalents and restricted cash 940 Plus: Current liabilities (excluding debt, finance leases, and non-operating liabilities) 1,179 Plus: Long term liabilities (excluding debt, finance leases, deferred tax liability) 307 Reorganization value $ 14,926

Fresh Start

The following table reflects the reorganization and application of ASC 852 on our consolidated balance sheet as of April 30, 2021: ($ in millions) Predecessor Reorganization Fresh Start Successor April 30, 2021 Adjustments Adjustments April 30, 2021 ASSETS Current assets: Cash and cash equivalents $ 2,059 $ (1,169)(1) $ - $ 890 Accounts receivable, net 516 - - 516 Contract acquisition costs 91 - (91)(8) - Prepaid expenses 92 - - 92 Income taxes and other current assets 45 - (3)(8) 42 Total current assets 2,803 (1,169) (94) 1,540 Property, plant and equipment, net 13,020 - (4,473)(9) 8,547 Other intangibles, net 578 - 3,863(10) 4,441 Other assets 526 (8)(1) (120)(8)(11) 398 Total assets $ 16,927 $ (1,177) $ (824) $ 14,926 LIABILITIES AND EQUITY (DEFICIT) Current liabilities: Long-term debt due within one year $ 5,782 $ (5,767)(3) $ - $ 15 Accounts payable 518 (6)(2) - 512 Advanced billings 208 - - 208 Accrued other taxes 185 - - 185 Accrued interest 81 (1)(2) - 80 Pension and other postretirement benefits 48 - - 48 Other current liabilities 309 53(2) (36)(11) 326 Total current liabilities 7,131 (5,721) (36) 1,374 Deferred income taxes 389 70(14) (168)(14) 291 Pension and other postretirement benefits 2,163 - (437)(13) 1,726 Other liabilities 440 - (28)(11) 412 Long-term debt - 6,738(3) 277(12) 7,015 Total liabilities not subject to compromise 10,123 1,087 (392) 10,818 Liabilities subject to compromise 11,570 (11,570)(7) - - Total liabilities 21,693 (10,483) (392) 10,818 Equity (Deficit): Shareholders' equity of Frontier: Successor common stock - 2(5) - 2 Predecessor common stock 27 (27)(4) - - Successor additional paid-in capital - 4,106(5) - 4,106 Predecessor additional paid-in capital 4,818 (4,818)(4) - - Retained earnings (deficit) (8,855) 10,028(6) (1,173)(15) - Accumulated other comprehensive income (loss), net of tax (741) - 741(16) - Treasury common stock (15) 15(4) - - Total equity (deficit) (4,766) 9,306 (432) 4,108 Total liabilities and equity (deficit) $ 16,927 $ (1,177) $ (824) $ 14,926 Reorganization AdjustmentsIn accordance with the Plan of Reorganization, the following adjustments were made: (1) Reflects net cash payments as of the Effective Date from implementation of the Plan as follows: ($ in millions) Sources: Net proceeds from Incremental Exit Term Loan Facility $220 Release of restricted cash from other assets to cash 8Total sources 228 Uses: Payments of Excess to Unsecured senior notes holders (1,313) Payments of pre-petition accounts payable and contract cure payments (62) Payments of professional fees and other bankruptcy related costs (22)Total uses (1,397)Net uses of cash $(1,169) (2) Reflects the reinstatement of accounts payable and accrued expenses upon emergence, as well as payments made on the Effective Date. (3) Reflects the conversion of our DIP-to-Exit term loan facility, DIP-to-Exit First Lien Notes, and DIP-to-Exit Second Lien Notes. Also represent the reclassification of the debt from current liabilities during bankruptcy to non-current liabilities based on the maturity of the debt recorded by the Company. (4) Reflects the cancellation of Predecessor common stock, additional paid in capital and treasury stock. (5) Reflects the issuance of Successor common stock and additional paid in capital to the unsecured senior note holders. (6) Reflects the cumulative impact of reorganization adjustments. ($ in millions) Gain on settlement of Liabilities Subject to Compromise $ 5,274 Cancellation of Predecessor equity 4,754 Net impact on accumulated deficit $ 10,028 (7) As part of the Plan of Reorganization, the Bankruptcy Court approved the settlement of claims reported within Liabilities subject to compromise in the Company’s Consolidated balance sheet at their respective allowed claim amounts. The table below indicates the disposition of Liabilities subject to compromise: ($ in millions) Liabilities subject to compromise pre-emergence $ 11,570 Reinstated on the Effective Date: Accounts payable (66) Other current liabilities (59) Less: total liabilities reinstated (125) Amounts settled per the Plan of Reorganization Issuance of take back debt (750) Payment for settlement of unsecured senior noteholders (1,313) Equity issued at emergence to unsecured senior noteholders (4,108) Total amounts settled (6,171) Gain on settlement of Liabilities Subject to Compromise $ 5,274 ‎ Fresh Start AdjustmentsIn accordance with the application of fresh start accounting, the following adjustments were made: (8)Reflects unamortized deferred commissions paid to acquire new customers that are eliminated upon emergence as this is not a probable future benefit for the Successor. Costs to obtain customers have been reflected as part of intangible assets. Adjustment also reflects the elimination of certain contract assets and contract liabilities. (9)Property Plant & Equipment – Reflects the decrease in net book value of property and equipment to the estimated fair value as of the Effective Date. Personal property valued consisted of outside and inside plant network equipment, computers and software, vehicles, office furniture, fixtures and equipment, computers and software, and construction-in-progress. The fair value of our personal property was estimated using the cost approach, while the income approach was considered to assess economic sufficiency to support asset values. As a part of the valuation process, the third-party advisors’ diligence procedures included using internal data to identify and value assets. Real property valued consisted of land, buildings, and leasehold improvements. The fair value was estimated using the cost approach and sales comparison (market) approach, with consideration of economic sufficiency to support certain asset values. The following table summarizes the components of property and equipment, net as of April 30, 2021, and the fair value as of the Effective Date: Predecessor Fair Value Successor ($ in millions) Historical Value Adjustment Fair Value Land $ 209 $ 40 $ 249 Buildings and leasehold improvements 2,134 (958) 1,176 General support 1,635 (1,462) 173 Central office/electronic circuit equipment 8,333 (7,364) 969 Poles 1,359 (843) 516 Cable, fiber, and wire 11,824 (8,755) 3,069 Conduit 1,611 (282) 1,329 Construction work in progress 1,048 18 1,066 Property, plant, and equipment $ 28,153 $(19,606) $ 8,547 Less: Accumulated depreciation (15,133) 15,133 - Property, plant, and equipment, net $ 13,020 $(4,473) $ 8,547 (10)Reflects the fair value adjustment to recognize trademark, trade name and customer relationship. For purposes of estimating the fair values of customer relationships, the Company utilized an Income Approach, specifically, the Multi-Period Excess Earnings method, or MPEEM. The MPEEM estimates fair value based on the present value of the incremental after-tax cash flows attributable only to the subject intangible assets after deducting contributory asset charges. The cash flows attributable to the customer relationships were adjusted for contributory asset charges related to the working capital, fixed assets, trade name/trademarks and assembled workforce. The discount rate utilized to present-value the after-tax cash flows was based on the overall weighted cost of capital of the Company as well as the asset specific risks of the intangible assets. Changes in these inputs could have a significant impact on the fair value of the customer relationships intangible assets. For purposes of estimating the fair value of trademarks and tradenames, an Income approach was used, specifically, the Relief from Royalty Method. The estimated royalty rates were historical third-party transactions regarding the licensing of similar type of assets as well as a review of historical assumptions used in prior transactions. The selected royalty rates were applied to the revenue generated by the trademarks and tradenames to determine the amount of royalty payments saved as a result of owning these assets. The forecasted cash flows were based on the Company’s projected revenues and the resulting royalty savings were discounted using a rate based on the overall weighted cost of capital of the Company as well as the asset specific risks of the intangible assets. (11)Reflects the fair value adjustment to the right of use assets and lease liabilities. Upon application of fresh start accounting, the Company revalued its right-of-use assets and lease liabilities using the incremental borrowing rate applicable to the Company after emergence from bankruptcy and commensurate with its new capital structure. In addition, the Company decreased the right-of-use assets to recognize $4 million related to the unfavorable lease contracts. (12)Reflects the fair value adjustment to adjust Long-term debt as of the Effective Date. This adjustment is to state the Company's debt at estimated fair values. (13)Reflects a remeasurement of pension and Other Postretirement Benefits related accounts as part of fresh start accounting considerations at emergence. (14)Reflects the impact of fresh start adjustments on deferred taxes. Frontier purchased the assets, including the stock of subsidiaries, of Frontier Communications Corporation (“Predecessor’s Parent”) at the time of emergence. The Predecessor’s Parent’s federal and state net operating loss carryforwards are expected to have been utilized as a result of the taxable gain realized upon emergence. To the extent not utilized to offset taxable gain, such net operating loss carryforwards are expected to be reduced in accordance with Section 108 of the U.S. Internal Revenue Code of 1986, as amended (the “Code”). As part of the taxable purchase, elections were made under Code section 338(h)(10) to step up the value of assets in certain subsidiaries to fair market value. All other subsidiaries carried over their deferred taxes. The adjustments reflect a $1.5 billion reduction in deferred tax assets for federal and state net operating loss carryforwards, a reduction in valuation allowance and a reduction in deferred tax liabilities. (15)Reflects the cumulative impact of the fresh start adjustments as discussed above and the elimination of Predecessor accumulated earnings. (16)Reflects the derecognition of accumulated other comprehensive loss.