ATN International, Inc.

Previous wording

On June 2, 2026 (the “Initial Closing Date”), we completed the initial closing of the Tower Portfolio Transaction (the “Initial Closing”), and we currently anticipate that we will complete the Tower Portfolio Transaction in one or more Subsequent Closings (as defined below) over the next eleven months. The Transaction Agreement sets forth certain conditions that must be satisfied prior to the conveyance of tower sites at a closing. In connection with the Initial Closing, we and Everest entered into an amendment to the Transaction Agreement to waive certain conditions to the Initial Closing and restate (i) the schedule of tower sites that were conveyed to Everest on the Initial Closing Date (the “Assigned Sites”), (ii) the list of tower sites that will be managed by Everest but still subject to certain managed site conditions prior to conveyance (the “Managed Sites”), and (iii)the list of tower sites that are still subject to certain managed site conditions and consideration has not been paid to date (the “Deferred Sites”). Everest will manage the Managed Sites until the conditions to their conveyance are satisfied, and such Managed Sites are transferred to Everest at one or more subsequent closings (each, a “Subsequent Closing”). At any Subsequent Closing at which one or more Deferred Sites are transferred, Everest will pay a portion of the Aggregate Consideration that is attributable to each Deferred Site. At the Initial Closing, we and Everest entered into, among other ancillary agreements, (i) the management agreement for the Managed Sites, (ii) master lease agreements, pursuant to which the Sale Site Subsidiary (as defined in the Transaction Agreement) will lease to the applicable Commnet Party the requisite ground, tower, or other space of the Assigned Sites (the “Leaseback”) for our continued use, and (iii) a preferred backhaul agreement whereby Commnet and/or one or more of our affiliates will become the preferred backhaul provider for Everest with respect to the Assigned Sites.

Current wording

On June 2, 2026 (the “Initial Closing Date”), we completed the initial closing of the Tower Portfolio Transaction (the “Initial Closing”), and we currently anticipate that we will complete the Tower Portfolio Transaction in one or more Subsequent Closings (as defined below) on or before June 2027. The Transaction Agreement sets forth certain conditions that must be satisfied prior to the conveyance of tower sites at a closing. In connection with the Initial Closing, we and Everest entered into an amendment to the Transaction Agreement to waive certain conditions to the Initial Closing and restate (i) the schedule of tower sites that were conveyed to Everest on the Initial Closing Date (the “Assigned Sites”), (ii) the list of tower sites that will be managed by Everest but still subject to certain managed site conditions prior to conveyance (the “Managed Sites”), and (iii) the list of tower sites that are still subject to certain managed site conditions and consideration has not been paid to date (the “Deferred Sites”). Everest will manage the Managed Sites until the conditions to their conveyance are satisfied, and such Managed Sites are transferred to Everest at one or more subsequent closings (each, a “Subsequent Closing”). At any Subsequent Closing at which one or more Deferred Sites are transferred, Everest will pay a portion of the Aggregate Consideration that is attributable to each Deferred Site. At the Initial Closing, we and Everest entered into, among other ancillary agreements, (i) the management agreement for the Managed Sites, (ii) master lease agreements, pursuant to which the Sale Site Subsidiary (as defined in the Transaction Agreement) will lease to the applicable Commnet Party the requisite ground, tower, or other space of the Assigned Sites (the “Leaseback”) for our continued use, and (iii) a preferred backhaul agreement whereby Commnet and/or one or more of our affiliates will become the preferred backhaul provider for Everest with respect to the Assigned Sites.

Previous wording

At the Initial Closing, Everest paid us $267.7 million in aggregate cash consideration (the “Initial Closing Cash Consideration”), of which $153.4 million is attributable to the Assigned Sites and $114.3 million is attributable to the Managed Sites. Of the Initial Closing Cash Consideration, $255.7 million was recorded as sale consideration and $12.0 million of such amount was deferred in advanced payments and deposits on our balance sheet as it is subject to our completion of certain conditions related to the Managed Sites. We can receive up to an additional $29.6 million of the Aggregate Consideration at Subsequent Closings for the Deferred Sites when and if closing conditions are satisfied or otherwise waived.

Current wording

At the Initial Closing, Everest paid us $267.7 million in aggregate cash consideration (the “Initial Closing Cash Consideration”), of which $153.4 million is attributable to the Assigned Sites and $114.3 million is attributable to the Managed Sites. Of the Initial Closing Cash Consideration, $255.7 million was recorded as sale consideration and $12.0 million of such amount was deferred (the “Deferred Amount”) in advanced payments and deposits on our balance sheet as it is subject to our completion of certain conditions related to the Managed Sites (the “Managed Sites Conditions”). During the three months ended September 30, 2026, we satisfied certain Managed Sites Conditions and recognized $0.8 million of the Deferred Amount, as sale consideration. We can receive up to an additional $29.6 million of the Aggregate Consideration at Subsequent Closings for the Deferred Sites when and if closing conditions are satisfied or otherwise waived.

Previous wording

We have also been awarded construction grants to build network connectivity for eligible communities. The funding of these grants, used to reimburse us for our construction costs, is generally distributed after we incur reimbursable costs. Once these projects are constructed, we are obligated to provide service to the participants. We

Current wording

We have also been awarded construction grants to build network connectivity for eligible communities. The funding of these grants, used to reimburse us for our construction costs, is generally distributed after we incur reimbursable costs. Once these projects are constructed, we are obligated to provide service to the participants. We expect to meet all requirements associated with these grants. As of September 30, 2026, we were awarded $98.6 million of construction grants that are pending completion.

Previous wording

During the six months ended June 30, 2026, we disbursed capital expenditures of $9.5 million under these programs and received reimbursement of $8.1 million. These cash flows are classified as investing activities in our statement of cash flows.

Current wording

During the nine months ended September 30, 2026, we disbursed capital expenditures of $15.0 million under these programs and received reimbursement of $10.8 million. These cash flows are classified as investing activities in our statement of cash flows.

Previous wording

In addition, we partner with tribal governments to obtain grants under various government grant programs including, but not limited to, the Tribal Broadband Connectivity Program (“TBCP”) and the Rural Development Broadband ReConnect Program (“ReConnect”). These programs are administered by US government agencies to deploy broadband connectivity in certain underserved areas. We were identified as a sub recipient of grants under these programs totaling $239 million as of June 30, 2026. Through June 30, 2026, we received $41.8 million of funding under these programs and spent $45.0 million on construction obligations. These amounts are recorded as operating cash flows in the Company’s statement of cash flows.

Current wording

In addition, we partner with tribal governments to obtain grants under various government grant programs including, but not limited to, the Tribal Broadband Connectivity Program (“TBCP”) and the Rural Development Broadband ReConnect Program (“ReConnect”). These programs are administered by US government agencies to deploy broadband connectivity in certain underserved areas. We were identified as a sub recipient of grants under these programs totaling $114.9 million as of September 30, 2026. Through September 30, 2026, we received $43.9 million of funding under these programs and incurred $58.6 million on construction obligations. These amounts are recorded as operating cash flows in the Company’s statement of cash flows.

Previous wording

As of June 30, 2026, we had incurred total expenditures of $240.0 million related to this project, of which $15.4 million were incurred in 2026. Of these total expenditures, $198.4 million was classified as capital.

Current wording

As of September 30, 2026, we had incurred total expenditures of $244.8 million related to this project, of which $20.1 million were incurred in 2026. Of these total expenditures, $201.3 million was classified as capital.

Previous wording

As of June 30, 2026, $12.5 million of capital expenditures was accrued and unpaid under the Replace and Remove Program. During the six months ended June 30, 2026, we received $15.9 million of reimbursement under the program, of which $1.6 million was classified as operating cash inflows and $14.3 million was classified as investing cash inflows in our statement of cash flows. During the six months ended June 30, 2026, we determined that reimbursement was not probable for $9.0 million of capital expenditures incurred under the Replace and Remove Program. As a result, we transferred $9.0 million to fixed assets. Except for this $9.0 million, the Company expects to be reimbursed, within the next twelve months, for all amounts spent.

Current wording

As of September 30, 2026, $13.2 million of capital expenditures was accrued and unpaid under the Replace and Remove Program. During the nine months ended September 30, 2026, we received $17.9 million of reimbursement under the program, of which $1.5 million was classified as operating cash inflows and $16.4 million was classified as investing cash inflows in our statement of cash flows. During the nine months ended September 30, 2026, we determined that reimbursement was not probable for $9.0 million of capital expenditures incurred under the Replace and Remove Program. As a result, we transferred $9.0 million to fixed assets. Except for this $9.0 million, the Company expects to be reimbursed, within the next twelve months, for all amounts spent.

Previous wording

International Telecom. Revenues within our International Telecom segment increased $2.9 million, or 1.5%, to $192.3 million from $189.4 million for the six months ended June 30, 2026 and 2025, respectively, primarily due to a $3.3 million increase in revenues from ancillary services and a $1.1 million increase in Mobility Services revenues as a result of an increase in subscribers, rates we charge our subscribers and equipment revenue within certain markets in this segment. These increases were partially offset by a $2.0 million reduction in Fixed Services revenue due to a decline in the FCC’s High-Cost Support Program in the US Virgin Islands, which was terminated on December 31, 2025.

Current wording

International Telecom. Revenues within our International Telecom segment increased $1.8 million, or 1.9%, to $96.9 million from $95.1 million for the three months ended September 30, 2026 and 2025, respectively, primarily due to a $1.6 million increase in revenues from ancillary services, a $0.8 million increase in Mobility Services revenues, a $0.7 million increase in managed service revenue, and a $0.6 million increase in carrier service revenue. These increases are the result of an increase in subscribers, rates we charge our subscribers and equipment revenue within certain markets in this segment. These increases were partially offset by a $1.9 million reduction in Fixed Services revenue primarily due to a decline in the FCC’s High-Cost Support Program in the US Virgin Islands which was terminated on December 31, 2025.

Previous wording

As a result, our International Telecom segment’s operating income increased $5.7 million, or 35.2%, to $21.9 million from $16.2 million for the three months ended June 30, 2026 and 2025, respectively.

Current wording

As a result, our International Telecom segment’s operating income increased by $1.7 million, or 9.4%, to $19.8 million from $18.1 million for the three months ended September 30, 2026 and 2025, respectively.

Previous wording

As a result of the above, our US Telecom segment’s operating income (loss) increased to income of $225.9 million from a loss of $7.9 million for the six months ended June 30, 2026 and 2025, respectively.

Current wording

As a result of the above, our US Telecom segment’s operating income increased $1.7 million to $2.1 million from $0.4 million for the three months ended September 30, 2026 and 2025, respectively.

Previous wording

Mobility Services revenue increased by $0.8 million, or 3.0%, to $27.1 million for the three months ended June 30, 2026 from $26.3 million for the three months ended June 30, 2025 as result of an increase in subscribers, rates we charge our subscribers and equipment revenue within certain markets in this segment.

Current wording

Mobility Services revenue increased by $0.8 million, or 3.0%, to $27.5 million for the three months ended September 30, 2026 from $26.7 million for the three months ended September 30, 2025 as result of an increase in subscribers, rates we charge our subscribers and equipment revenue within certain markets in this segment.

Previous wording

Mobility Services revenue within our International Telecom may continue to increase as a result of our continued network upgrades, marketing efforts and conversion of our current subscriber base to higher margin prepaid and postpaid plans. Such increases may, however, be negatively impacted by increased competition and regulatory changes.

Current wording

Mobility Services revenue within our International Telecom may continue to increase as a result of our continued network upgrades, marketing efforts and conversion of our current subscriber base to higher margin postpaid plans. Such increases may, however, be negatively impacted by increased competition and regulatory changes.

Previous wording

Fixed Services revenue decreased by $0.2 million, or 0.2%, to $112.9 million from $113.1 million for the three months ended June 30, 2026 and 2025, respectively. This net decrease primarily pertained to a decrease in Fixed Services revenue from consumer customers and consisted of the following:

Current wording

Fixed Services revenue decreased by $3.1 million, or 2.7%, to $111.4 million from $114.5 million for the three months ended September 30, 2026 and 2025, respectively. This decrease primarily pertained to a decrease in Fixed Services revenue from consumer customers and consisted of the following:

Previous wording

Fixed Service Revenue in our International Telecom segment may continue to decrease as a result of a decrease in demand for our legacy services due to subscribers using alternative methods to receive video and audio content. However, such decrease may be offset by the popularity of video and audio streaming, the demand for cloud services and smart home, business and city solutions to increase the demand for broadband and other data services from consumers, businesses and governments.

Current wording

Fixed Service Revenue in our International Telecom segment may increase in future periods as demand increases for broadband and other data services from consumers, businesses and governments. However, such increases may be offset by declines from legacy product revenues and increased competition.

Previous wording

Within our US Telecom segment, we expect Fixed Services revenue to increase moderately as a result of an increase in government grants and our deployment of fiber and fiber-fed broadband access to both consumers and businesses.

Current wording

Within our US Telecom segment, we expect Fixed Services revenue to increase as a result of an increase in government grants and our deployment of fiber and fiber-fed broadband access to both consumers and businesses. However, such increases may be offset by declines from legacy product revenues and increased competition.

Previous wording

**Carrier Services Revenue.**Carrier Services revenue is generated by both our International Telecom and US Telecom segments. Within our International Telecom segment, Carrier Services revenue includes international long-distance services, roaming revenues generated by other carriers’ customers roaming into our retail markets, transport services and access services provided to other telecommunications carriers. Within our US Telecom segment, Carrier Services revenue includes services provided under the Network Build and Maintenance Agreement with AT&T Mobility, LLC (“AT&T”) that we subsequently amended in May 2026 (the “FirstNet Agreement”) and Carrier Managed

Current wording

Carrier Services Revenue. Carrier Services revenue is generated by both our International Telecom and US Telecom segments. Within our International Telecom segment, Carrier Services revenue includes international long-distance services, roaming revenues generated by other carriers’ customers roaming into our retail markets, transport services and access services provided to other telecommunications carriers. Within our US Telecom segment, Carrier Services revenue includes services provided under the Network Build and Maintenance Agreement with AT&T Mobility, LLC (“AT&T”) that we subsequently amended in May 2026 (the “FirstNet Agreement”) and Carrier Managed Services Master Agreement that we subsequently amended in May 2026 (the “Verizon CMS Agreement”) with Cellco Partnership d/b/a Verizon Wireless (“Verizon”), wholesale roaming revenues, the provision of network switching services, lease revenue and other services provided to other carriers.

Previous wording

Carrier Services revenue increased by $3.1 million, or 9.3%, to $36.3 million from $33.2 million for the three months ended June 30, 2026 and 2025, respectively. The increase within our segments consisted of the following:

Current wording

Carrier Services revenue increased by $1.3 million, or 3.8%, to $35.4 million from $34.1 million for the three months ended September 30, 2026 and 2025, respectively. The increase within our segments consisted of the following:

Previous wording

**Other Communications Services Revenue.**Other Communications Services revenue includes project-related revenue generated within both our International and US Telecom segments and ancillary services that the operations within our International Telecom segment provide to its retail subscribers. Other Communications Services revenue increased $1.6 million, or 72.7%, to $3.8 million from $2.2 million for the three months ended June 30, 2026 and 2025, respectively, as a result of an increase in revenue from ancillary services in our International Telecom segment.

Current wording

Other Communications Services Revenue. Other Communications Services revenue includes project-related revenue generated within both our International and US Telecom segments and ancillary services that the operations within our International Telecom segment provided to its retail subscribers. Other Communications Services revenue increased $1.7 million, or 68.0%, to $4.2 million from $2.5 million for the three months ended September 30, 2026 and 2025, respectively, as a result of an increase in revenue from ancillary services in our International Telecom segment.

Previous wording

Other Communication Services revenue may increase in future periods as the demand for ancillary services increase.

Current wording

Other Communication Services revenue may increase in future periods as the demand for ancillary services increases.

Previous wording

Construction Revenue.** **Construction revenue represents revenue generated within our US Telecom segment for the construction of network cell sites related to the FirstNet Agreement. During the three months ended June 30, 2026 and 2025, Construction Revenue decreased to $0.8 million from $2.2 million, respectively, as a result of a decrease in the number of sites completed during 2026 as compared to 2025.

Current wording

Construction Revenue. Construction revenue represents revenue generated within our US Telecom segment for the construction of network cell sites related to the FirstNet Agreement. During the three months ended September 30, 2026 and 2025, Construction Revenue decreased to $0.4 million from $1.1 million, respectively, as a result of a decrease in the number of sites completed during 2026 as compared to 2025.

Previous wording

Cost of communication services and other increased by $1.3 million, or 1.7%, to $78.5 million from $77.2 million for the three months ended June 30, 2026 and 2025, respectively. The net increase in cost of communication services and other, within our segments, consisted of the following:

Current wording

Cost of communication services and other increased by $1.1 million, or 1.4%, to$79.0 million from$77.9 million for the three months ended September 30, 2026 and 2025, respectively. The net increase in cost of communication services and other, within our segments, consisted of the following:

Previous wording

Cost of communication services in our International Telecom segment may decrease as a result of the ongoing cost reduction initiatives that commenced in previous periods, but such decrease may be partially offset by future inflationary pressure.

Current wording

Cost of communication services in our International Telecom segment may decrease as a result of the ongoing cost reduction initiatives that commenced in previous periods, but such decrease may be partially offset by future costs necessary to support future revenue growth and inflationary pressure.

Previous wording

We expect that the cost of communication services, within our US Telecom segment, will increase as a result of a full quarter’s impact of the Tower Portfolio Transaction and may also increase as a result of future inflationary pressure. However, the impact of our cost reduction initiatives, that commenced in previous periods, may partially offset those increases.

Current wording

We expect that the cost of communication services, within our US Telecom segment, will increase as a result of costs necessary to support future revenue growth and inflationary pressure. However, the impact of our cost reduction initiatives that commenced in previous periods may partially offset those increases.

Previous wording

Cost of construction revenue. Cost of construction revenue includes the expenses incurred in connection with the construction of and the delivery to AT&T of cell sites in accordance with our FirstNet Agreement. During the three months ended June 30, 2026 and 2025, cost of construction revenue decreased to $1.0 million from $2.2 million, respectively, as a result of a decrease in the number of sites completed during 2026 as compared to 2025.

Current wording

Cost of construction revenue. Cost of construction revenue includes the expenses incurred in connection with the construction of and the delivery to AT&T of cell sites in accordance with our FirstNet Agreement. During the three months ended September 30, 2026 and 2025, cost of construction revenue decreased to $0.4 million from $1.1 million, respectively, as a result of a decrease in the number of sites completed during 2026 as compared to 2025.

Previous wording

Selling, general and administrative expenses decreased by $0.9 million, or 1.6%, to $55.3 million from $56.2 million for the three months ended June 30, 2026 and 2025, respectively. The net decrease in selling, general and administrative expenses, within our segments, consisted of the following:

Current wording

Selling, general and administrative expenses decreased by $0.4 million, or 0.7%, to $53.9 million from $54.3 million for the three months ended September 30, 2026 and 2025, respectively. The decrease in selling, general and administrative expenses, within our segments, consisted of the following:

Previous wording

Selling, general and administrative expenses in all our segments may decrease as a result of the ongoing cost reduction initiatives that commenced in previous periods, but such decrease may be partially offset by future inflationary pressure.

Current wording

Selling, general and administrative expenses in all our segments may decrease as a result of the ongoing cost reduction initiatives that commenced in previous periods, but such decrease may be partially offset by future inflationary pressure and the timing of expenses.

Previous wording

Stock-based compensation decreased by $1.3 million to $1.4 million from $2.7 million for the three months ended June 30, 2026 and 2025, respectively, as a result of the impact of certain reductions in force during the three months ended June 30, 2026.

Current wording

Stock-based compensation decreased by $0.2 million to $1.8 million from $2.0 million for the three months ended September 30, 2026 and 2025, respectively, as a result of the impact of certain reductions in force during the three months ended September 30, 2026.

Previous wording

We incurred $6.3 million and $0.2 million of transaction-related charges during the three months ended June 30, 2026 and 2025, respectively. The increase was primarily the result of costs incurred in connection with the Tower Portfolio Transaction during the three months ended June 30, 2026.

Current wording

We incurred $0.5 million and $0.4 million of transaction-related charges during the three months ended September 30, 2026 and 2025, respectively. These costs were incurred in connection with the Tower Portfolio Transaction.

Previous wording

**Restructuring and reorganization expenses.**In our efforts to advance our cost management actions to drive higher operating efficiencies and margins, we incurred certain restructuring and reorganization expenses, primarily reductions in force, totaling $0.3 million, $0.6 million and $1.7 million within our International Telecom segment, US Telecom segment and Corporate and Other segment, respectively, during the three months ended June 30, 2026.

Current wording

Restructuring and reorganization expenses. In our efforts to advance our cost management actions to drive higher operating efficiencies and margins, we incurred certain restructuring and reorganization expenses, primarily related to our organizational structure and business operating model reviews as well as employee severance, totaling $0.4 million and $2.1 million within our US Telecom segment and Corporate and Other segment, respectively, during the three months ended September 30, 2026.

Previous wording

We incurred restructuring and reorganization expenses of $1.4 million, $2.4 million and $1.2 million within our International Telecom segment, US Telecom segment and Corporate and Other segment, respectively, during the three months ended June 30, 2025.

Current wording

We incurred restructuring and reorganization expenses of $0.6 million, $0.3 million and $1.1 million within our International Telecom segment, US Telecom segment and Corporate and Other segment, respectively, during the three months ended September 30, 2025.

Previous wording

Increases and decreases in restructuring and reorganization expenses within each segment were a result of the timing and magnitude of our reductions in force.

Current wording

Increases and decreases in restructuring and reorganization expenses within each segment were a result of the timing and magnitude of actions initiated by management to review our organizational structure and employee severance.

Previous wording

Depreciation and amortization expenses. Depreciation and amortization expenses represent the depreciation and amortization charges we record on our property and equipment.

Current wording

Depreciation and amortization expenses. Depreciation and amortization expenses represent the depreciation and amortization charges we record on our fixed assets.

Previous wording

Depreciation and amortization expenses decreased by $3.7 million, or 10.9%, to $30.2 million from $33.9 million for the three months ended June 30, 2026 and 2025, respectively. The decrease in depreciation and amortization expenses, within our segments, consisted primarily of the following:

Current wording

Depreciation and amortization expenses decreased by $1.5 million, or 4.6%, to $31.4 million from $32.9 million for the three months ended September 30, 2026 and 2025, respectively. The decrease in depreciation and amortization expenses within our segments consisted primarily of the following:

Previous wording

We expect depreciation and amortization expenses to continue to decrease as a result of an expected decline in capital expenditures, the result of some of our previously acquired assets becoming fully depreciated and a full quarter’s impact of the Tower Portfolio Transaction.

Current wording

We expect depreciation and amortization expenses to remain consistent in future periods.

Previous wording

Amortization of intangibles from acquisitions decreased by $0.7 million to $0.5 million from $1.2 million for the three months ended June 30, 2026 and 2025, respectively, as a result of certain assets being fully amortized in previous period.

Current wording

Amortization of intangibles from acquisitions decreased by $0.8 million to $0.4 million from $1.2 million for the three months ended September 30, 2026 and 2025, respectively, as a result of certain assets being fully amortized in previous period.

Previous wording

(Gain) loss on disposition of assets, transfers and contingent consideration. During the three months ended June 30, 2026, we recorded a net gain on the disposition of assets and transfers of $230.9 million. Of this net gain, $229.9 million was recognized within our US Telecom segment and was primarily related to the gain on the Tower Portfolio Transaction, while the remaining $1.0 million gain was recorded in the International Telecom segment as a result of the sale of certain real estate.

Current wording

(Gain) loss on disposition of assets, transfers and contingent consideration. During the three months ended September 30, 2026, we recorded a net loss on the disposition of assets and transfers of $0.5 million primarily relating to the disposal of certain assets in our International Telecom segment.

Previous wording

Interest income. Interest income represents interest earned on our cash, cash equivalents, restricted cash and short-term investment balances. Interest income was $0.5 million and $0.1 million for the three months ended June 30, 2026 and 2025, respectively. Such increase was the result of an increase in our cash and cash equivalents due to the proceeds received from the Tower Portfolio Transaction. In addition, such proceeds are being invested in higher yielding cash and cash equivalent investments.

Current wording

Interest income. Interest income represents interest earned on our cash, cash equivalents, restricted cash and short-term investment balances. Interest income was $1.8 million and $0.2 million for the three months ended September 30, 2026 and 2025, respectively. Such increase was the result of an increase in our cash and cash equivalents due to the proceeds received from the Tower Portfolio Transaction invested in higher yielding cash and cash equivalent investments.

Previous wording

Interest expense decreased to $10.9 million from $12.8 million for the three months ended June 30, 2026 and 2025, respectively. We used a portion of the proceeds from the Tower Portfolio Transaction to reduce our outstanding debt balances, which in turn reduced our interest expense during the three months ended June 30, 2026. In addition, a decline in interest rates, which were impacted by certain interest rate swap agreements, also reduced such expense during the three months ended June 30, 2026.

Current wording

Interest expense decreased to$10.6 million from$11.6 million for the three months ended September 30, 2026 and 2025, respectively. We used a portion of the proceeds from the Tower Portfolio Transaction to reduce our outstanding debt balances, which in turn reduced our interest expense during the three months ended September 30, 2026.

Previous wording

Income taxes. Our effective tax rates for the three months ended June 30, 2026 and 2025 were 18.4% and 29.0%, respectively.

Current wording

Income taxes. Our effective tax rates for the three months ended September 30, 2026 and 2025 were (248.2)% and 451.5%, respectively.

Previous wording

We recorded an income tax expense of $42.1 million in relation to a pretax income of $228.6 million for the three months ended June 30, 2026. The effective tax rate for the three months ended June 30, 2026 was primarily impacted by the following items: (i) the mix of income generated among the jurisdictions in which we operate, (ii) the exclusion of losses in Alaska and the US Virgin Islands due to valuation allowance positions placed on certain deferred tax assets that are not expected to be realized based on the weight of positive and negative evidence, and (iii) discrete items including a $4.9 million net benefit from the reversal of an unrecognized tax position due to a statute of limitations expiration, net of interest on prior years uncertain tax positions, and a $0.8 million expense associated with a return to provision adjustment related to tax returns filed in Guyana.

Current wording

We recorded an income tax benefit of $12.3 million in relation to a pretax income of $4.9 million for the three months ended September 30, 2026. The effective tax rate for the three months ended September 30, 2026 was primarily impacted by the following items: (i) the mix of income generated among the jurisdictions in which we operate, (ii) the exclusion of losses in Alaska and the US Virgin Islands due to valuation allowance positions placed on certain deferred tax assets that are not expected to be realized based on the weight of positive and negative evidence, and (iii) discrete items including a $12.2 million benefit related to the deemed liquidation of a controlled foreign corporation, a $0.6 million expense for interest on prior years uncertain tax positions and a $0.2 million expense associated with stock option shortfalls.