Subject: [NEXTEL-1] SpectraSite Holdings Files Expected Chapter 11 Reorganization; Reaches Agreement with Cingular

From: Marcel <[email-masked]>
Date: Fri, 15 Nov 2002 18:36:21 -0500

SpectraSite Holdings Files Expected Chapter 11 Reorganization; Reaches Agreement with
Cingular

http://www.businesswire.com/cgi-bin/f_headline.cgi?bw.111502/223192119&ticker=SITE
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BW2119 NOV 15,2002 6:34 PACIFIC 09:34 EASTERN

( BW)(NC-SPECTRASITE)(SITE) SpectraSite Holdings Files Expected
Chapter 11 Reorganization; Reaches Agreement with Cingular

Business Editors/High-Tech Writers

CARY, N.C.--(BUSINESS WIRE)--Nov. 15, 2002--SpectraSite Holdings,
Inc. (Nasdaq: SITE):

--

Plan incorporates previously announced agreement with
bondholders

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Will receive $73.5 million in net proceeds

SpectraSite Holdings, Inc. (Nasdaq: SITE), one of the largest
wireless tower operators in the United States, announced today that it
has filed a voluntary petition for relief under Chapter 11 of the U.S.
Bankruptcy Code in the United States Bankruptcy Court for the Eastern
District of North Carolina, Raleigh Division.

The filing is intended to implement a restructuring plan
negotiated with certain bondholders and announced November 6. The
Company expects to file additional information, including a Plan of
Reorganization, next week.

The Chapter 11 Plan involves a restructuring of only the debt and
equity securities of SpectraSite Holdings, which is a holding company
without any business operations of its own. SpectraSite
Communications, the operating subsidiary, is an independent legal
entity that generates its own cash flow and has access to its own
credit facility. SpectraSite Communications will continue to operate
normally and without interruption, and its customers and creditors
will be unaffected. The Company expects that the Chapter 11 case will
be completed in 90 days.

In addition, SpectraSite has amended the agreements previously
announced on May 16, 2002, with Cingular and SBC. Under the amended
agreements, the Company will, subject to certain conditions, including
completion of the Chapter 11 case, 1) transfer the Company's interest
in 545 SBC towers to Cingular, 2) reduce its future sublease
commitment with SBC by 294 towers and, 3) extend the closings for the
remaining SBC towers through the third quarter of 2004. The Company
will receive $73.5 million, which it will use to repay a portion of
the indebtedness outstanding under SpectraSite Communications' senior
credit facility.

Steve Clark, President and CEO of SpectraSite, stated, "The
Chapter 11 filing brings us another step closer to completing the
financial restructuring process. Throughout this process there should
be no impact on our day-to-day operations and we will serve our
customers and property owners without interruption. It is our plan to
emerge from Chapter 11 in the first quarter of 2003 with a solid
balance sheet and a strong future. Our agreements with Cingular and
SBC will further enhance our financial flexibility and strength."

Completion of the restructuring plan is subject to certain
conditions, including its acceptance by affected classes of claim
holders, whose votes will be solicited as part of the court process.
Having already reached agreement with the holders of approximately
two-thirds of its outstanding notes, the Company believes it will
receive the votes required for approval of the plan.

About SpectraSite Communications, Inc.

SpectraSite Communications, Inc. (www.spectrasite.com), based in
Cary, North Carolina, is one of the largest wireless tower operators
in the United States. At Sept. 30, 2002, SpectraSite owned or managed
approximately 20,000 sites, including 7,999 towers primarily in the
top 100 markets in the United States. SpectraSite's customers are
leading wireless communications providers and broadcasters, including
AT&T Wireless, ABC Television, Cingular, Nextel, Paxson
Communications, Sprint PCS, Verizon Wireless and Voicestream.

Safe Harbor

This press release and oral statements made from time to time by
representatives of the Company may contain "forward-looking
statements" concerning SpectraSite's future expectations, financial
and operating projections, plans, strategies and the trading markets
for its securities. These forward-looking statements are subject to a
number of risks and uncertainties. The Company wishes to caution
readers that certain factors may impact the Company's actual results
and could cause results for subsequent periods to differ materially
from those expressed in any forward-looking statements made by or on
behalf of the Company. Such factors include, but are not limited to
(i) SpectraSite's ability to complete the proposed restructuring plan,
(ii) SpectraSite's substantial capital requirements and leverage, even
after the proposed restructuring is completed, (iii) market
conditions, (iv) the Company's dependence on demand for wireless
communications and related infrastructure, (v) competition in the
communications tower industry, including the impact of technological
developments and (vi) future regulatory actions and conditions in its
operating areas. These and other important factors are described in
more detail in Item 1a "Risk Factors" of the Company's Annual Report
on Form 10-K for the year ended December 31, 2001 and in the Company's
other SEC filings and public announcements. The Company undertakes no
obligation to update forward-looking statements to reflect
subsequently occurring events or circumstances.

--30--CG/ch*

CONTACT: SpectraSite, Cary
Tabitha Zane, 919/466-5492
[email-masked]

KEYWORD: NORTH CAROLINA
INDUSTRY KEYWORD: TELECOMMUNICATIONS
SOURCE: SpectraSite Communications, Inc.

©2002