American Broadband Secures $200 Million Acquisition Facility

Charlotte, NC: American Broadband Communications (ABB) announced today that it has secured a $200 million acquisition facility from Ares Capital Corporation (NASDAQ: ARCC) to fund its continued acquisition initiatives in rural communities across the United States.

“We are very pleased to be working with Ares and view this financing as a strong validation of our business plan” said Patrick Eudy, president and chief executive officer of American Broadband. “This financing significantly advances our long-term plan to invest in the growth of advanced communications network infrastructure in rural America. We believe this capital, combined with resources provided by CoBank, RTFC and other senior lenders committed to the rural LEC sector, will enable us to make a meaningful difference in the communities we serve today, as well as those operations we acquire in the future.”

Redwood Capital Group acted as exclusive financial advisor to ABB in connection with the transaction.

About American Broadband:
American Broadband Communications LLC acquires and operates local exchange carriers and related businesses in rural markets nationwide. The company’s strategy is distinguished by a long-term focus on growth in rural America. By investing in its telecommunications network, local employees and management, and community organizations, American Broadband ensures continued customer service satisfaction and works to realize the growth potential of its markets. The company and its affiliated operations now serves more than 31,000 customers in Colorado, Georgia, Nebraska, Kansas, Pennsylvania, Illinois, Mississippi, and Missouri.

About Ares Capital Corporation:
Ares Capital Corporation is a specialty finance company that is a closed-end, non-diversified management investment company regulated as a business development company under the Investment Company Act of 1940. Its investment objective is to generate both current income and capital appreciation through debt and equity investments. Ares Capital Corporation invests primarily in first and second lien senior loans and mezzanine debt, which in some cases includes an equity component, and, to a lesser extent, in equity investments in private U.S. middle market companies.

About Redwood Capital Group:
Redwood Capital Group is an investment banking firm serving the technology, communications and media industries. The firm focuses on mergers and acquisitions and corporate finance advisory and private equity. Please visit www.redcapgroup.com for more information.