Gray Announces Completion Of Tender Offer For Its 7½% Senior Notes Due 2020; Issues Notice Of Redemption For Remaining Outstanding Notes

ATLANTA, Sept. 14, 2016

As of the Expiration Time, $431,240,000 aggregate principal amount of Notes, or 63.89% of the aggregate principal amount outstanding, had been validly tendered and not withdrawn.  The complete terms and conditions of the tender offer were set forth in an Offer to Purchase that was made available to holders of the Notes.

In accordance with the terms of the Offer to Purchase, Gray made a cash payment to all holders who validly tendered their Notes in the tender offer of $1,042.20 per $1,000 principal amount of Notes tendered (the "Tender Offer Consideration"), plus accrued and unpaid interest from the last interest payment date to, but not including, the payment date of September 14, 2016 (the "Payment Date"), for a total cash payment of approximately $464.1 million. Gray funded the payment for tendered and accepted Notes with the proceeds from its previously announced offering of $525.0 million aggregate principal amount of 5.125% senior notes due 2024 and $200.0 million aggregate principal amount of additional 5.875% senior notes due 2026 (collectively, the "New Notes Offering"). 

Gray also announced today that it has delivered a notice of redemption to the holders of Notes that were not validly tendered in the tender offer at the redemption price of 103.750% of the principal amount, plus accrued and unpaid interest to, but not including, the date of redemption.  The redemption of the remaining outstanding Notes is expected to occur on October 14, 2016.  Gray intends to fund the amounts necessary to redeem the remaining outstanding Notes with the proceeds from the New Notes Offering. 

About Gray Television

Gray Television, Inc. (NYSE: GTN and GTN.A) is a television broadcast company headquartered in Atlanta, Georgia, that owns and operates television stations and leading digital assets in markets throughout the United States. We own and/or operate television stations in 51 television markets that broadcast over 185 separate program streams, including 36 channels affiliated with CBS, 27 channels affiliated with NBC, 19 channels affiliated with ABC and 14 channels affiliated with FOX. We own the number-one or number-two ranked television station operations in 50 of those 51 markets. Our stations reach approximately 9.5 percent of total United States television households.