New Ulm Telecom Inc. entered into an amended and restated master loan agreement with CoBank, ACB. The master loan agreement refinances and replaces the existing credit facility between CoBank, the Company and the subsidiaries of the company. The company's subsidiary Hutchinson Telephone Company was a Borrower under the prior credit facility, but the company is the sole borrower under the master loan agreement.

Each Subsidiary has guaranteed the company's obligations under the master loan agreement, and the company and the subsidiaries have entered into a security agreement under which they have pledged all their assets to CoBank to secure their performance obligations. There are two loans under the master loan agreement, a $35.0 million term loan and a $9.0 million revolver loan. The term loan requires quarterly principal payments of $675,000 on the last day of the month of March, June, September and December, beginning March 2015, with the final installment due December 31, 2021.

The company may borrow from time to time under the Revolver Loan, which also matures on December 31, 2021. Under the master loan agreement, the company has the ability to either increase the amount of the commitment under the revolver loan by up to $6.0 million in a single increase, or add an incremental term loan of up to $6.0 million. In either event, the company must be in compliance with all terms of the master loan agreement when it exercises this option.

Interest under the term loan will be determined in one or more of the following: One-month London Interbank Offered Rate (LIBOR), adjusted weekly, plus a applicable margin; A Fixed Rate LIBOR Option Rate, adjusted periodically, plus Applicable Margin; and a fixed rate quoted by CoBank for a minimum of 180 days, with fixed increments of $100,000.