Westminster, U.S.A. — September 8, 2012: The exterior of a Sprint retail building. The logo and sign are located on the entrance door and larger above the door on the buildings face. Advertisements for Sprint are in the windows.

Sprint (NYSE:S) has announced that the company will raise $1.1 billion in cash through a lease and sale buyback deal. The deal will be refinanced by Softbank Group Corp., the company’s majority owner. Sprint recently revised its full-year forecasts, reducing the company’s EBITDA down to $6.8 billion – $7.1 billion revised down from $7.2 billion – $7.6 billion.

The company is trying to reduced its overall costs to help alleviate the lost revenue caused by refinancing plans for the company’s phones. Traditionally, Sprint has allowed customers to enter into a two-year plan where they would pay for their new phone. Under a new two-year contract, the company and now allows for monthly payments to be made under the financing plan.

The change in financing has cost the company immediate funds as they now need to make upfront payments to manufacturers while being repaid by consumers monthly.

Analysts believe that the measures taken by Sprint are not enough to cause the company to stop its declining cash flow. Sprint also announced this Wednesday that customers that switch to the company from rivals Verizon (V), T-Mobile (NYSE:TMUS) and AT&T (NYSE:T) will have their bill cut in half.

Sprint’s measures are major concern for investors as the company’s aggressively trying to lure in subscribers, while reducing their cash flow greatly.