COGENT COMMUNICATIONS HOLDINGS, INC. (CCOI) presents a deeply negative liquidation posture at March 31, 2026. Consolidated stockholders' equity is $(104.2)M on a GAAP basis, but the liquidation recovery to equity is materially worse once haircuts are applied to assets and liabilities are held at face value. Total assets are $3.06B; total liabilities are $3.16B, yielding a $104.2M book deficit before any haircuts. Applying the liquidation lens: cash of $140.3M recovers at 100%; restricted cash of $39.0M is subject to release conditions tied to IPv4 indenture covenants and may not be freely available in a wind-down — treat as uncertain; accounts receivable of $91.1M (net of $5.3M allowance) recovers at roughly 90-95%, yielding approximately $86M. Property, plant and equipment gross is $3.70B with accumulated depreciation of $1.96B, net $1.73B; at a 50-70% recovery on telecom PP&E (dominated by dark fiber IRU leasehold improvements, network equipment, and converted data center assets), liquidation value is approximately $865M-$1.21B — the midpoint is roughly $1.04B. Intangible assets include $458M of IPv4 addresses (tagged as IndefiniteLivedIntangibleAssetsExcludingGoodwill) and $10.8M of other intangibles; under the standard liquidation framework intangibles are zeroed, but IPv4 addresses are an unusual case — they are marketable property with an active secondary market and the company has issued $380M of asset-backed notes against them, implying a lender-assigned value well above zero. The filing does not separately disclose fair value of the IPv4 addresses in XBRL. On the liability side: total debt at par is $2.4B per MD&A, including $628.9M of finance lease obligations (IRU dark fiber), $750M of 2027 Notes and 2027 Mirror Notes maturing June 2027, $600M of 2032 Notes, and $380.4M of IPv4 Notes. Operating lease obligations total $317.4M at present value ($469.2M undiscounted). Deferred tax liabilities of $321.7M survive on wind-down to the extent they represent real tax exposures. The $39.5M remaining receivable from T-Mobile under the IP Transit Services Agreement (tagged as a non-XBRL concept in MD&A; the Holdings-only balance sheet shows $24.6M 'Due from T-Mobile') has genuine recoverable value at close to face. Net: haircutted assets are insufficient to cover face-value liabilities by a wide margin. MFFAIS CLV of $(954.5)M, LLV of $(863.4)M, and OLV of $(863.4)M are consistent with this assessment. Since the prior filing (10-K for December 31, 2025), key changes include: interest expense increased 28.2% QoQ driven by the June 2025 $600M 2032 Notes issuance at a higher rate replacing the 2026 Notes, and the April 2025 $174.4M New IPv4 Notes; operating cash flow dropped from $36.4M in Q1 2025 to $14.8M in Q1 2026, reflecting reduced T-Mobile IP Transit receipts (static at $25M/quarter but interest income component declining as the receivable amortizes), higher interest cash payments ($28M in Q1 2026 vs. $4.1M in Q1 2025 due to 2032 Notes initial coupon payment), and revenue erosion from Cogent Fiber customer churn. The $628.9M finance lease obligation for dark fiber IRUs is a material contingent liability that does not extinguish on wind-down. The 2027 Notes and Mirror Notes ($750M combined) mature June 2027 and represent an imminent refinancing requirement that materially pressures any recovery scenario.
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