ONEONTA, Ala.--(BUSINESS WIRE)--Nov. 9, 2006--Otelco Inc. (AMEX:
OTT) (TSX: OTT.un), the sole wireline telephone services provider in
several rural communities in Alabama, Maine and Missouri, today
announced that its Board of Directors has declared a distribution of
$0.42 per Income Deposit Security (each an "IDS"), which will be made
on January 2, 2007 to holders of record at the close of business on
December 15, 2006.
Each IDS is comprised of one share of Class A Common Stock and
$7.50 principal amount of 13% senior subordinated notes due 2019.
The distribution consists of a dividend of $0.17625 per share of
Class A common stock and an interest payment on the senior
subordinated notes for the period from September 30, 2006 through
December 29, 2006 of $0.24375 per note.
Otelco Inc., headquartered in Oneonta, Alabama, is the sole
wireline telephone services provider in several rural communities in
Alabama, Maine and Missouri. The Company's services include local and
long distance telephone, network access, transport, digital high-speed
and dial-up Internet access, cable television and other telephone
related services. With more than 62,000 access line, cable modems and
digital subscriber lines, which are collectively referred to as access
line equivalents, Otelco is among the top 40 largest local exchange
carriers in the United States based on number of access line. Otelco
operates six incumbent telephone companies serving rural markets, or
rural local exchange carriers, each of which can trace its history as
a local telecommunications provider as far back as the early 1900s. It
also provides competitive telephone services through several
subsidiaries. For more information, visit the Company's web site at
CONTACT: Otelco Inc.
Curtis Garner, 205-625-3571
Chief Financial Officer
SOURCE: Otelco Inc.