Alaska Communications Systems Holdings, Inc., as borrower, entered into an amended and restated Credit Agreement with Alaska Communications Systems Group, Inc. and certain of the Parent’s direct and indirect subsidiaries, as guarantors, ING Capital LLC, as Administrative Agent, and the lenders party thereto to provide debt financing in the form of a revolving facility in an aggregate amount at any one time outstanding not to exceed $20,000,000, an initial term loan facility in the aggregate amount not to exceed $180,000,000, and a delayed-draw term loan facility in the aggregate amount not to exceed $25,000,000. The Delayed-Draw A Facility will be available for a twenty-four-month period beginning January 15, 2019.

The Initial Term A Facility proceeds are to be used to refinance Alaska Communications’ outstanding Term A-1 Facility in the amount of $112,500,000, plus accrued and unpaid interest, and outstanding Term A-2 Facility in the amount of $59,250,000, plus accrued and unpaid interest, pay fees and expenses associated with this transaction, and for general corporate purposes. Proceeds of the Revolving Facility are to be used, subject to certain limitations, for working capital and other general corporate purposes. Proceeds from draws on the Delayed-Draw Term A Facility can only be made substantially contemporaneously with, and for the purpose of, funding costs incurred in connection with specified projects.

The Credit Facility also provides for incremental term loans up to an aggregate principal amount of the greater of $60,000,000 and trailing twelve month EBITDA, subject to the Company meeting certain conditions.