FairPoint To Offer Up To $300M Of Senior Secured Notes

FairPoint Communications

announced today that it intends to offer up to $300 million aggregate principal amount of senior secured notes. FairPoint intends to use the net proceeds of the offering, together with financing under its proposed new credit agreement and cash on hand, to repay all amounts owed under its existing term loan. It is anticipated that the new credit agreement would include a $650 million term loan and a $75 million revolving credit facility. As of January 30, 2013, FairPoint had $955 million principal amount outstanding under its existing term loan. The notes will not be registered under the Securities Act of 1933, as amended (the "Securities Act") or any state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. The notes will be offered only in the United States to qualified institutional buyers pursuant to Rule 144A under the Securities Act and outside the United States in compliance with Regulation S under the Securities Act. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of notes in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. About FairPoint Communications, Inc. FairPoint Communications, Inc.

is a leading communications provider of broadband Internet access, local and long-distance phone, television and other high-capacity data services to customers in communities across 18 states. Through its fast, reliable fiber network, FairPoint delivers high-quality data and voice networking communications solutions to residential, business and wholesale customers. FairPoint delivers VantagePointSM services through its resilient IP-based network in northern New England. This state-of-the-art fiber network provides carrier Ethernet connections to support the surging bandwidth and performance requirements for cloud-based applications like network storage, disaster recovery, distance learning, medical imaging, video conferencing and CAD/CAM along with traditional voice, VoIP, video and Internet access solutions.