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Chanin Capital Partners acted as financial advisor to the Ad-Hoc Committee of Unsecured Creditors (the Noteholders) of Alamosa Holdings, Inc. (Alamosa), the largest of the Sprint affiliates, with approximately 693,000 subscribers as of September 30, 2003.

As a result of a competitive market, struggling economy and the general wireless industry downturn, Alamosa had an overleveraged balance sheet and was facing potential liquidity and covenant issues.

Chanin was retained by the Noteholders in April 2003 to facilitate a restructuring solution for $350 million face amount 12.875% senior discount notes due 2010, $250 million 12.5% senior notes due 2011 and $150 million 13.625% senior notes due 2011 (collectively, the 'Notes'). Negotiations led to an exchange offer that would exchange the Notes for a combination of i) convertible preferred stock and ii) new notes. The exchange offer was launched in September 2003 and was completed in November 2003 with an overall 97.2% tender rate.

Highlights of the transaction include:

• Noteholders received:

• 65% of current accreted amount in new notes.
• Senior noteholders received new 11.0% senior notes due 2010.
• Discount noteholders received new 12.0% senior discount notes due 2009.

• 25% of current accreted amount in 7.50% new Series B Convertible Preferred Stock with a conversion price of $3.40.
• Alamosa's agreements with Sprint PCS were amended; the Company believes these amendments will result in approximately $15 million of savings annually.
• Alamosa's senior secured credit facility was amended to restructure covenants to fit the Company's current business plan.
• The transaction resulted in a deleveraging (Total Debt / Projected 2003 EBITDA) of Alamosa from 9.8x to 7.2x.

At closing, the new senior notes and preferred stock were trading at approximately 105 and 120 ($300 vs. a liquidation preference of $250), respectively, implying a 98% recovery for the noteholders.

• This implied recovery represents an 85% increase from the blended trading price of 53 on the day of Chanin's engagement (April 15, 2003).