FairPoint Communications 2004 Annual Report Download - page 55

121/2% Notes Issued in 2000
The Company issued $200.0 million aggregate principal amount of the 12 1/2% notes in 2000. In March 2003, we repurchased
$7.0 million aggregate principal amount of the 12 1/2% notes. The 121/2% notes bear interest at the rate of 121/2% per annum payable semi-
annually in arrears.
The 121/2% notes mature on May 1, 2010. We may redeem the 12 1/2% notes at any time on or after May 1, 2005 at the redemption
prices stated in the indenture under which the 121/2% notes were issued, together with accrued and unpaid interest, if any, to the redemption
date. In the event of a change of control, we must offer to repurchase the outstanding 121/2% notes for cash at a purchase price of 101% of the
principal amount of such notes, together with all accrued and unpaid interest, if any, to the date of repurchase.
The 121/2% notes are general unsecured obligations of the Company, subordinated in right of payment to all existing and future senior
indebtedness of the Company, including all obligations under our credit facility.
The indenture governing the 121/2% notes contains certain customary covenants and events of default.
In connection with the offering, on January 5, 2005, we commenced a tender offer and consent solicitation for all of the outstanding
principal amount of the 121/2% notes. On January 20, 2005, we executed a supplemental indenture, which became effective as of the
closing of the offering, with respect to the indenture governing the 12 1/2% notes which eliminated substantially all of the covenants and the
events of default in such indenture. On February 9, 2005, we repurchased $173.1 million principal amount of the 121/2% notes tendered
pursuant to the tender offer for such notes. We intend to redeem the remaining outstanding 12 1/2% notes on May 1, 2005.
117/8% Notes Issued in 2003
The Company issued $225.0 million aggregate principal amount of the 11 7/8% notes in 2003. The 117/8% notes bear interest at the rate
of 117/8% per annum payable semi-annually in arrears.
The 117/8% notes mature on March 1, 2010. We may redeem the 117/8% notes at any time on or after March 1, 2007 at the redemption
prices stated in the indenture under which the 117/8% notes were issued, together with accrued and unpaid interest, if any, to the redemption
date. In the event of a change of control, we must offer to repurchase the outstanding 11 7/8% notes for cash at a purchase price of 101% of the
principal amount of such notes, together with all accrued and unpaid interest, if any, to the date of repurchase.
The 117/8% notes are general unsecured obligations of the Company, ranking  in right of payment with all existing and future
senior debt of the Company, including all obligations under our credit facility, and senior in right of payment to all existing and future
subordinated indebtedness of the Company.
The indenture governing the 117/8% notes contains certain customary covenants and events of default.
In connection with the offering, on January 5, 2005, we commenced a tender offer and consent solicitation for all of the outstanding
principal amount of the 117/8% notes. On January 20, 2005, we executed a supplemental indenture, which became effective as of the closing
of the offering, with respect to the indenture governing the 117/8% notes which eliminated substantially all of the covenants and the events of
default in such indenture. On February 9, 2005, we repurchased $223.0 million principal amount of the 117/8% notes tendered pursuant to
the tender offer for such notes.
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