Exhibit 99.1
Contacts:
Michael B. Moneymaker Wesley B. Wampler
Senior VP & Chief Financial Officer Director of Investor Relations
Phone: 540-946-3531 Phone: 540-949-3447
Fax: 540-946-3595 Fax: 540-946-3595
e-mail: moneymakerm@ntelos.com e-mail: wamplerwes@ntelos.com
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NTELOS ANNOUNCES SENIOR CREDIT FACILITY AMENDMENT
Waynesboro, Va. - March 7, 2002 - NTELOS Inc. (NASDAQ: NTLO) today announced
that the Company's $325 million senior credit facility has been amended.
Specifically, the covenants defining minimum EBITDA requirements for the year
2002 have been revised, as have certain other financial covenants and terms of
the agreement.
"We are pleased to have this amendment in place", said James S. Quarforth, chief
executive officer of NTELOS. "We had remained in compliance with all covenants
under the agreement and we projected continued compliance this year with all
covenants except the minimum EBITDA requirement beginning with the quarter ended
March 31, 2002. Transition of the acquired PrimeCo operations caused a shift of
costs planned for 2000 into 2001, straining 2001 EBITDA. This amendment
recognizes these timing issues and other market conditions with a revised EBITDA
covenant."
The amendment resets covenant levels for trailing 12-month EBITDA in 2002 to
take into account the Company's current business plan. For 2003, debt to EBITDA
leverage ratios have been modified to reflect levels in line with the Company's
current business plan. Since the Company has regularly exceeded minimum PCS
subscriber covenant levels, these requirements have been increased - essentially
accelerated by one quarter. The amendment also calls for the partial paydown of
the credit facility if the Company were to sell certain excess PCS spectrum
holdings or other non-strategic assets in excess of $50 million. An amendment
fee of 0.375%, or $1.2 million has been paid to consenting lenders.
The credit agreement amendment will be filed as a public document.
NTELOS Inc. (NASDAQ: NTLO) is an integrated communications provider with
headquarters in Waynesboro, Virginia. NTELOS provides products and services to
customers in Virginia, West Virginia, Kentucky, Tennessee and North Carolina,
including wireless digital PCS, dial-up Internet access, high-speed DSL
(high-speed Internet access), and local and long distance telephone services.
Welsh, Carson, Anderson & Stowe, a New York investment firm with $12 billion in
private capital, is a leading shareholder of NTELOS. Detailed information about
NTELOS is available online at www.ntelos.com.
Forward-looking statements made by the Company are based on a number of
assumptions, estimates and projections. These statements are not guarantees of
future performance and involve risks and uncertainties, including those set
forth in documents filed by the Company with the Securities and Exchange
Commission, and any significant deviations from these assumptions could cause
actual results to differ materially from those in forward-looking statements.
The Company undertakes no obligation to revise or update such statements to
reflect current events or circumstances after the date hereof or to reflect the
occurrence of unanticipated events.
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