Exhibit 99.1
NextWave in Discussions with
Noteholders Regarding Forbearance
Waiver obtained from Holders of
Senior Notes
SAN DIEGO – July 18, 2011
– NextWave Wireless Inc. (OTCQB: WAVE-News) (the
“Company” or “NextWave”) today announced
that the holders of the Company’s Senior Secured Notes (the
“First Lien Notes”), having an aggregate principal
amount of approximately $129 million at June 30, 2011, have
provided a limited waiver of the Company’s obligation to pay
such notes in full on July 17, 2011. The limited waiver will expire
on August 1, 2011. NextWave is in active negotiations with the
holders of all series of its secured notes regarding an agreement
whereby such holders would forbear for a longer period of time from
exercising their respective rights and remedies relating to certain
potential defaults under the agreements relating to each class of
notes.
NextWave has been engaged in
discussions with the holders of its secured notes relating to a
maturity extension and related amendments to its note agreements
since January 2011. These discussions have not resulted in a
maturity extension. An independent committee of NextWave’s
Board of Directors has authorized the Company’s financial
advisor to seek alternative sources of financing to repay the
Senior Notes and Second Lien Notes. At this time, alternative
financing has not been identified and cannot be assured. During the
term of a forbearance agreement, if such an agreement is obtained,
NextWave would seek to complete a refinancing transaction,
negotiate a maturity extension or pursue another alternative with
respect to its pending debt maturities.
In addition to the First Lien Notes,
the Company also has outstanding Senior-Subordinated Secured Second
Lien Notes due 2011 (the “Second Lien Notes”), having
an aggregate principal amount of $179 million at June 30, 2011,
which will mature in November 2011 and Senior-Subordinated
Secured
