Level 3 Financing Announces $1.415 Billion Term Loan Refinancing

Level 3 Communications, Inc.

today announced that Level 3 Financing, Inc., its wholly owned subsidiary ("Level 3 Financing"), has completed the marketing of the two new senior secured tranches under its existing senior secured credit facility to fully refinance its existing $1.4 billion senior secured Tranche A Term Loan and, in connection with the refinancing, completed the process of seeking of consents to amend the existing senior secured credit facility to, among other things, allow the refinancing. The first tranche will be $600 million aggregate principal amount, will bear interest at LIBOR plus 3.25 percent, with a minimum LIBOR of 1.50 percent, and will mature in 2016. This first tranche is being priced to the lenders at 99.5 percent of par. The second tranche will be $815 million aggregate principal amount, will bear interest at LIBOR plus 3.75 percent, with a minimum LIBOR of 1.50 percent, and will mature in 2019. This second tranche is being priced to the lenders at 99.0 percent of par.