Sprint (S) announced a long signaled plan to utilize valuable wireless spectrum to help the company finance money losing operations. The move allows the wireless company to obtain $3.5 billion in cash for wireless spectrum-backed notes. Per the company:Sprint Corporation (S) announced today that three wholly owned special purpose subsidiaries (the “Issuers”) have commenced an offer of up to $3.5 billion of wireless spectrum-backed notes in three series with varying maturities (the “Notes”) in a private transaction...The Issuers’ directly owned subsidiaries will acquire a portfolio of FCC licenses and a small number of third-party leased license agreements (the “Spectrum Portfolio”) from subsidiaries of Sprint, which comprise a portion of Sprint’s 2.5GHz and 1.9GHz spectrum holdings, representing approximately 14 percent of Sprint’s total spectrum holdings on a MHz-pops basis.Basically, Sprint created subsidiaries to issue Notes to allow the company to borrow money against specific spectrum that in this case involves 2.5GHz and 1.9 GHz spectrum. Despite all of the positive headlines surrounding the ability to borrow a large amount of funds is that Sprint continues burning cash flows requiring this complex move. Good companies don't need to leverage up their top assets. The momentum is behind the stock lately as the market sees a turnaround that isn't necessarily happening. Today's price actions suggests at least a short-term top so be careful staying long. Disclosure: No position