Fairpoint Communications, Inc. and Fairpoint Communications Solutions Corp. Announce Amendments to Their Respective Senior Credit Facilities

* FairPoint Communications, Inc.:



* Obtains commitments to increase its term tranches by $64 million and

an ability to increase its term tranches by an additional $86 million

* Revises loan amortization of its revolving credit facilities under its

senior credit facility

* Resets certain financial covenants



* FairPoint Communications Solutions Corp.:



* Reduces facility commitment to $200 million from $250 million

* Improves liquidity and funding for potential future growth

* Resets certain financial covenants



Apr 11, 2001, 01:00 ET from FairPoint Communications, Inc.

    CHARLOTTE, N.C., April 11 /PRNewswire/ -- FairPoint Communications, Inc.
 ("FairPoint" or the "Company"), an integrated communications provider, and
 FairPoint Communications Solutions Corp. ("Solutions"), the Company's
 competitive communications subsidiary, have successfully amended their
 respective senior credit facilities, it was announced today.
     The amendment to FairPoint's senior credit facility was effective March
 30, 2001.  The amendment revised the loan amortization schedules of the
 revolving facilities such that no payments are required until September 2004,
 and revised various financial covenants.  Additionally, the amendment allows
 the Company the opportunity to increase, through December 31, 2001, its term
 loan tranches by an amount up to $150 million.
     On April 9, 2001, the Company received new commitments to increase its
 term loan tranches by $64 million.  Cash proceeds will be used to reduce the
 current outstanding amounts under the Company's revolving credit facilities,
 thereby effectively increasing the availability under these commitments.
 These changes increase the Company's liquidity and create greater capacity to
 pursue attractive acquisition opportunities of traditional telephone companies
 serving rural communities across the United States.  Deutsche Bank Alex Brown
 acts as the Administrative Agent to the FairPoint credit facility.  A
 representative from the Deutsche Bank commented, "We continue to be pleased
 with the Company's stable financial performance, business plan execution and
 growth prospects.  In the face of an extremely difficult capital market
 condition for telecom companies, we consider the amendment and term loan
 increase to be a significant achievement."
     Solutions, the Company's competitive communications business, also
 completed an amendment to its senior secured credit facility effective
 March 21, 2001.  In December 2000, and January 2001, Solutions announced the
 scaling back of its growth strategy which significantly reduced its capital
 requirements.  This amendment reduces the facility size to $200 million from
 $250 million and resets various financial covenants based on Solutions'
 revised business plan.  This amendment incorporates changes that take into
 account Solutions' pro-active response to the deterioration in the capital
 markets and its decision to redirect its efforts from rapid new market growth
 to a more measured, high quality revenue growth strategy in Solutions'
 existing markets.  As before, Solutions maintains a fully funded business
 plan.
     "We are pleased that our lenders, in both credit facilities, continue to
 be very supportive of our unique business strategy as indicated by their
 actions in approving the changes to the respective credit facilities,"
 commented FairPoint CEO Jack Thomas.  "These improvements will give us added
 flexibility to continue implementing our business plan."
 
     ABOUT FAIRPOINT
     FairPoint Communications is an integrated communications provider offering
 voice, Internet, data, Web-enabled and other related communication services to
 customers served by its traditional telephone companies.  It provides similar
 services to small and medium size businesses in targeted ex-urban markets
 through execution of a competitive local exchange communications business that
 utilizes the network and infrastructure of its traditional telephone companies
 to service these adjacent markets.
     FairPoint Communications was incorporated in 1991 to take advantage of the
 consolidation opportunities in the highly fragmented rural independent
 telephone industry.  Since 1993, the Company has completed 28 acquisitions and
 serves customers in 17 states across the United States.  In 1998, the Company
 established its competitive communications subsidiary, FairPoint
 Communications Solutions Corp., to pursue new market opportunities created by
 the deregulation of the local exchange carrier markets.  Solutions is pursuing
 a regional "edge-out" facilities-based strategy entering markets near its
 traditional telephone companies and competing with the incumbent local
 exchange carrier.  As of February 28, 2001, FairPoint and Solutions together
 served approximately 357,000 access lines in 22 states across the United
 States. The company reported consolidated revenue of approximately
 $246 million for its fiscal year ended December 31, 2000.
 
     FORWARD LOOKING STATEMENTS
     The statements in this news release that are not historical facts are
 forward-looking statements that are subject to material risks and
 uncertainties.  Investors are cautioned that any such forward-looking
 statements are not guarantees of future performance or results and involve
 risks and uncertainties, and that actual results or developments may differ
 materially from those in the forward-looking statements as a result of various
 factors which are discussed in previous FairPoint Communications, Inc.,
 filings with the Securities and Exchange Commission.   These risks and
 uncertainties include, but are not limited to, uncertainties relating to
 economic conditions, acquisitions and divestitures, growth and expansion
 risks, the availability of equipment, materials, inventories and programming,
 product acceptance, and the ability to construct, expand and upgrade its
 services and facilities.   FairPoint does not undertake to update any forward-
 looking statements in this news release or with respect to matters described
 herein.
 
 

SOURCE FairPoint Communications, Inc.
    CHARLOTTE, N.C., April 11 /PRNewswire/ -- FairPoint Communications, Inc.
 ("FairPoint" or the "Company"), an integrated communications provider, and
 FairPoint Communications Solutions Corp. ("Solutions"), the Company's
 competitive communications subsidiary, have successfully amended their
 respective senior credit facilities, it was announced today.
     The amendment to FairPoint's senior credit facility was effective March
 30, 2001.  The amendment revised the loan amortization schedules of the
 revolving facilities such that no payments are required until September 2004,
 and revised various financial covenants.  Additionally, the amendment allows
 the Company the opportunity to increase, through December 31, 2001, its term
 loan tranches by an amount up to $150 million.
     On April 9, 2001, the Company received new commitments to increase its
 term loan tranches by $64 million.  Cash proceeds will be used to reduce the
 current outstanding amounts under the Company's revolving credit facilities,
 thereby effectively increasing the availability under these commitments.
 These changes increase the Company's liquidity and create greater capacity to
 pursue attractive acquisition opportunities of traditional telephone companies
 serving rural communities across the United States.  Deutsche Bank Alex Brown
 acts as the Administrative Agent to the FairPoint credit facility.  A
 representative from the Deutsche Bank commented, "We continue to be pleased
 with the Company's stable financial performance, business plan execution and
 growth prospects.  In the face of an extremely difficult capital market
 condition for telecom companies, we consider the amendment and term loan
 increase to be a significant achievement."
     Solutions, the Company's competitive communications business, also
 completed an amendment to its senior secured credit facility effective
 March 21, 2001.  In December 2000, and January 2001, Solutions announced the
 scaling back of its growth strategy which significantly reduced its capital
 requirements.  This amendment reduces the facility size to $200 million from
 $250 million and resets various financial covenants based on Solutions'
 revised business plan.  This amendment incorporates changes that take into
 account Solutions' pro-active response to the deterioration in the capital
 markets and its decision to redirect its efforts from rapid new market growth
 to a more measured, high quality revenue growth strategy in Solutions'
 existing markets.  As before, Solutions maintains a fully funded business
 plan.
     "We are pleased that our lenders, in both credit facilities, continue to
 be very supportive of our unique business strategy as indicated by their
 actions in approving the changes to the respective credit facilities,"
 commented FairPoint CEO Jack Thomas.  "These improvements will give us added
 flexibility to continue implementing our business plan."
 
     ABOUT FAIRPOINT
     FairPoint Communications is an integrated communications provider offering
 voice, Internet, data, Web-enabled and other related communication services to
 customers served by its traditional telephone companies.  It provides similar
 services to small and medium size businesses in targeted ex-urban markets
 through execution of a competitive local exchange communications business that
 utilizes the network and infrastructure of its traditional telephone companies
 to service these adjacent markets.
     FairPoint Communications was incorporated in 1991 to take advantage of the
 consolidation opportunities in the highly fragmented rural independent
 telephone industry.  Since 1993, the Company has completed 28 acquisitions and
 serves customers in 17 states across the United States.  In 1998, the Company
 established its competitive communications subsidiary, FairPoint
 Communications Solutions Corp., to pursue new market opportunities created by
 the deregulation of the local exchange carrier markets.  Solutions is pursuing
 a regional "edge-out" facilities-based strategy entering markets near its
 traditional telephone companies and competing with the incumbent local
 exchange carrier.  As of February 28, 2001, FairPoint and Solutions together
 served approximately 357,000 access lines in 22 states across the United
 States. The company reported consolidated revenue of approximately
 $246 million for its fiscal year ended December 31, 2000.
 
     FORWARD LOOKING STATEMENTS
     The statements in this news release that are not historical facts are
 forward-looking statements that are subject to material risks and
 uncertainties.  Investors are cautioned that any such forward-looking
 statements are not guarantees of future performance or results and involve
 risks and uncertainties, and that actual results or developments may differ
 materially from those in the forward-looking statements as a result of various
 factors which are discussed in previous FairPoint Communications, Inc.,
 filings with the Securities and Exchange Commission.   These risks and
 uncertainties include, but are not limited to, uncertainties relating to
 economic conditions, acquisitions and divestitures, growth and expansion
 risks, the availability of equipment, materials, inventories and programming,
 product acceptance, and the ability to construct, expand and upgrade its
 services and facilities.   FairPoint does not undertake to update any forward-
 looking statements in this news release or with respect to matters described
 herein.
 
 SOURCE  FairPoint Communications, Inc.