Level 3 Communications


said Thursday that it received a $400 million incremental loan through an expansion of its existing credit facility.

The Broomfield, Colo., bandwidth merchant said the seven-year loan increases the total amount of its senior secured credit facility to about $1.78 billion from $1.38 billion.

J.P. Morgan


Goldman Sachs


Morgan Stanley Dean Witter

arranged the loan, Level 3 said.

Networking and telecom companies have lately run into some cash flow problems amid the downturn in debt and equity markets, as well as the slowdown in telecom spending, which has

hit a slew of networking gear suppliers like


(GLW) - Get Report


JDS Uniphase




recently wrote a story exploring Level 3's

financial health.

Shares of Level 3 closed Wednesday at $15.50 on the


sharply off the 52-week high of $115.25.