Shenandoah Telecommunications Company Announces Positive Adjustment to Financial Results

Shenandoah Telecommunications Company Announces Positive Adjustment to
Financial Results

EDINBURG, Va., Dec. 28, 2012 (GLOBE NEWSWIRE) -- Shenandoah Telecommunications
Company (Shentel) (Nasdaq:SHEN) announced today that it will record an
adjustment to its operating results for the current quarter and fiscal year to
reflect a reduction of approximately $11.8 million in expense related to
Shentel's participation in Sprint Nextel's program for the sale of prepaid
wireless plans. The expense reduction reflects the recalculation of certain
expenses, including the cost of handsets, costs per gross addition, and cash
cost per user, associated with the program. The adjustment will be reflected
in Shentel's operating results for the fourth quarter of its fiscal year
ending December 31, 2012 and will be recorded in Shentel's financial
statements for fiscal 2012.

Through its agreements with Sprint Nextel, the Company began selling Virgin
Mobile and Boost prepaid services in July 2010.As part of an ongoing review
of the financial results of its prepaid business, the Company engaged in
discussions with Sprint Nextel regarding the Company's prepaid results and the
appropriate allocation of Sprint Nextel's cost to the Company under the
general terms of its agreements.While the Company receives the outcome of the
allocation on a monthly basis, it does not have access to the cost data and
other metrics Sprint uses to calculate the allocation.In December 2012, these
discussions resulted in a redetermination of the costs allocated by Sprint
Nextel to the Company, resulting in the positive adjustment to the Company's
financial results and receipt by the Company of a cash payment in
reimbursement of $11.8 million of previously-charged expense for the period
from July 2010 to September 30, 2012.Had these revised cost allocations been
effective for fiscal years 2010 and 2011 and the first three quarters of 2012,
the operating expense would have been reduced by $1.2 million, $4.9 million,
and $5.7 million, respectively.The Company expects that the revised
methodology for calculating expense allocable to the Company under the Sprint
Nextel prepaid services program will contribute to improved profit margins for
its wireless segment in future fiscal periods.

About Shenandoah Telecommunications

Shenandoah Telecommunications Company is a holding company that provides a
broad range of telecommunications services through its operating
subsidiaries.The Company is traded on the NASDAQ Global Select Market under
the symbol "SHEN."The Company's operating subsidiaries provide local and long
distance telephone, Internet and data services, cable television, wireless
voice and data services, alarm monitoring and telecommunications equipment,
along with many other associated solutions, in the Mid-Atlantic United States.

This release contains forward-looking statements, including statements with
respect to management's expectations regarding future profit margins for its
wireless segment, that are subject to various risks and uncertainties.The
Company's actual results could differ materially from those expressed or
implied in these forward-looking statements as a result of unforeseen
factors.A discussion of factors that may cause actual results to differ from
management's projections, forecasts, estimates and expectations is available
in the Company filings with the SEC.Those factors may include changes in
general economic conditions, increases in costs, changes in regulation and
other competitive factors.

CONTACT: For further information, please contact:
         Adele M. Skolits
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