Schedule of acquisition-date fair value of consideration to be received from the transaction


(In thousands)	May 1, 2023
Working capital payments made to the Seller, net of severance reimbursements (a)	$	37,532
Purchase Agreement payment to be received from the Seller, net of discount of $8,392 (b)		19,723
Amounts due from the Seller – IP Transit Services Agreement, net of discount of $79,610 (c)		620,390
Total to be received from the Seller		640,113
Total net consideration to be received from the Seller (d)		602,581

(a)	Includes $61.1 million paid to the Seller on the Closing Date and $5.0 million paid in April 2024. Additionally, includes an offsetting $28.6 million in total severance reimbursement payments received from the Seller recorded as measurement period adjustments of :

●

$16.2 million during the three months ended December 31, 2023;

●

$4.3 million during the three months ended March 31, 2024; and

●

$8.0 million during the three months ended June 30, 2024.

(b)

Under the Purchase Agreement, 50.0% of the assumed short-term operating lease liabilities totaling $28.1 million are to be paid to the Company from the Seller in four equal installments in months 55-58 from the Closing Date which were recorded at their present value resulting in a discount of $8.4 million. During the three months ended March 31, 2024, the Working Capital Adjustment, net of discount, was adjusted by $17.0 million to reflect the conclusion of the determination of amounts due from the Seller from the Short-term Lease Payment.

(c)

The IP Transit Services Agreement payments totaling $700.0 million were recorded at their present value resulting in a discount of $79.6 million. The $700.0 million is to be paid to the Company from the Seller in equal monthly payments of $29.2 million in months 1-12 and $8.3 million in months 13-54.

(d)	Cash consideration was $1.

Schedule of diluted weighted average shares


	Three Months	Three Months
	Ended	Ended
	March 31, 2025	March 31, 2024
Weighted-average common shares - basic	47,676,735	47,416,268
Dilutive effect of stock options	—	—
Dilutive effect of restricted stock	—	—
Weighted-average common shares - diluted	47,676,735	47,416,268

Schedule of stockholders' (deficit) equity

The following details the changes in stockholders’ (deficit) equity for the three months ended March 31, 2025 and 2024, respectively (in thousands except share data):


						Accumulated
				Additional		Other				Total
	Common Stock			Paid-in		Comprehensive		Accumulated		Stockholders’
	Shares	Amount		Capital		Income (Loss)		Equity (Deficit)		Equity
Balance at December 31, 2023	48,608,569	$	49	$	606,755	$	(14,385)	$	17,137	$	609,556
Forfeitures of shares granted to employees	(37,379)		—		—		—		—		—
Equity-based compensation	—		—		7,616		—		—		7,616
Foreign currency translation	—		—		—		(5,034)		—		(5,034)
Issuances of common stock	439,090		—		—		—		—		—
Exercises of options	3,207		—		164		—		—		164
Dividends paid	—		—		—		—		(46,351)		(46,351)
Net loss	—		—		—		—		(65,307)		(65,307)
Balance at March 31, 2024	49,013,487	$	49	$	614,535	$	(19,419)	$	(94,521)	$	500,644


	Common Stock			Paid-in		Comprehensive		Accumulated		Stockholders’
	Shares	Amount		Capital		Loss		Deficit		Equity
Balance at December 31, 2024	49,034,925	$	49	$	629,829	$	(30,685)	$	(376,345)	$	222,848
Forfeitures of shares granted to employees	(10,260)		—		—		—		—		—
Equity-based compensation	—		—		9,298		—		—		9,298
Foreign currency translation	—		—		—		11,752		—		11,752
Issuances of common stock	310,598		—		—		—		—		—
Exercises of options	2,047		—		121		—		—		121
Dividends paid	—		—		—		—		(49,133)		(49,133)
Net loss	—		—		—		—		(52,042)		(52,042)
Balance at March 31, 2025	49,337,310	$	49	$	639,248	$	(18,933)	$	(477,520)	$	142,844

Schedule of lease cost


	Three Months		Three Months
	Ended		Ended
(Amounts in thousands)	March 31, 2025		March 31, 2024
Finance lease cost
Amortization of right-of-use assets	$	13,916	$	11,564
Interest expense on finance lease liabilities		11,106		10,411
Operating lease cost		17,444		24,251
Total lease costs	$	42,466	$	46,226


	Three Months			Three Months
	Ended			Ended
	March 31, 2025			March 31, 2024
Other lease information (amounts in thousands)
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from finance leases	$	(9,723)		$	(10,419)
Operating cash flows from operating leases		(18,665)			(24,729)
Financing cash flows from finance leases		(8,003)			(23,235)
Right-of-use assets obtained in exchange for new finance lease liabilities		38,961			54,423
Right-of-use assets obtained in exchange for new operating lease liabilities		7,873			5,151
Weighted-average remaining lease term — finance leases (in years)		17.2			14.2
Weighted-average remaining lease term — operating leases (in years)		11.1			12.3
Weighted-average discount rate — finance leases		8.1	%		7.7	%
Weighted-average discount rate — operating leases		7.6	%		8.1	%

Schedule of future minimum payments under and finance lease agreements

The future minimum payments under operating lease and finance lease agreements are as follows (in thousands):


	Operating		Finance
For the Twelve Months Ending March 31	Leases		Leases
2026	$	63,812	$	65,639
2027		59,932		61,187
2028		57,551		61,327
2029		55,098		59,928
2030		39,579		59,748
Thereafter		245,191		759,496
Total minimum lease obligations		521,163		1,067,325
Less—amounts representing interest		(169,326)		(498,788)
Present value of minimum lease obligations		351,837		568,537
Current maturities		(55,973)		(24,685)
Lease obligations, net of current maturities	$	295,864	$	543,852

Schedule of fair value of accounts receivable at the acquisition date


	Three Months		Three Months
	Ended		Ended
(in thousands)	March 31, 2025		March 31, 2024
Net bad debt expense	$	2,064	$	2,595
Bad debt recoveries		1,987		296