The PSC Liquidating Trust Announces Television Broadcast Operations Sale, Third Distribution and Update of Recovery Estimates

The PSC Liquidating Trust Announces Television Broadcast Operations Sale, Third Distribution and Update of Recovery Estimates

NEW ROCHELLE, N.Y., June 16 /PRNewswire/ -- The Liquidating Trustee for The PSC Liquidating Trust, is pleased to announce that it has entered into an asset purchase agreement for the sale of the television broadcast operations to MM Broadcasting, LLC, an affiliate of Silver Point Capital, LP, a private investment firm. The purchase price for the assets of the broadcast business is $49,500,000, subject to higher and better bids and approval by the United States Bankruptcy Court for the District of Maine following an auction to occur in early August 2006. In addition, any sale of the broadcast operations is also subject to the approval by the Federal Communications Commission. All documents related to the sale will be posted on the Trust's website (www.psc-trust.com). Stuart Erickson of Miller Buckfire & Co., LLC, is the investment banker for the Trust and Russell Parks of Akin Gump Strauss Hauer & Feld, LLP is the lead counsel advising the Trust with this transaction.

The Liquidating Trustee also announced that a motion for a Third Distribution to beneficiaries of The PSC Liquidating Trust was filed on June 5, 2006, for a distribution of up to $21,000,000. A hearing to approve the distribution is scheduled for June 29, 2006. This distribution does not include any proceeds arising from the sale of the television broadcast operations.

The Liquidating Trustee also announced that it has revised its estimate of recoveries to the beneficiaries of the Trust, and has posted this revised estimate on the Trust's website. The Liquidating Trustee now estimates that recoveries to beneficiaries of the Trust may range from 50.13% to 52.97% of the claim amount, subject to many variables which may effect the final recovery to the beneficiaries. The Liquidating Trustee does not guarantee that the final recovery will be within the estimated range provided in the report to beneficiaries.

About The PSC Liquidating Trust

The PSC Liquidating Trust (the "Trust") was established by order of the Bankruptcy Court for the District of Maine, pursuant to the First Amended Joint Chapter 11 Plan of Pegasus Satellite Communications, Inc. and its related direct and indirect subsidiaries (the "Debtors"). The Plan became effective on May 5, 2005. In accordance with the terms of the Plan, the purpose of the Trust is to maximize the value of certain of the Debtors' assets, to evaluate and pursue, if appropriate, rights and causes of actions, as successor to and representative of the Debtors' estates in accordance with section 1123(b)(3)(B) of the Bankruptcy Code, and to make distributions to its beneficiaries.

The Trust is not a public reporting entity and has no reporting requirements other than those specifically provided for in the Plan. The Liquidating Trustee has provided the information on the website only as an accommodation to beneficiaries of the Trust. The Trust maintains offices in Bala Cynwyd, PA and Jackson, MS. The Liquidating Trustee maintains offices in New Rochelle, NY. The website for the Trust is www.psc-trust.com.

The PSC Liquidating Trust Forward-Looking Statements

This press release contains forward-looking statements regarding future events and future performance of The PSC Liquidating Trust that involve risks and uncertainties that could materially affect actual results, and cause actual results to vary from current expectations and forward-looking statements contained in this press release or website. For instance, the estimated range of recovery is a forward looking statement and may be higher or lower depending on a number of factors, including, without limitation, the actual proceeds from the sale of certain broadcast assets (if such a sale is consummated), any recovery on account of the patronage certificates (as described in the Plan), the actual aggregate amount of Allowed Claims in Classes 3A, 3B, 3C and 3D of the Plan, the actual aggregate amount of Allowed Administrative Claims and other factors described in the website from time to time. The PSC Liquidating Trust disclaims any obligation to update any of the forward-looking statements contained herein.

Source: The PSC Liquidating Trust

CONTACT: Ocean Ridge Capital Advisors, LLC, +1-914-235-1075, or fax,
+1-914-235-6844, for The PSC Liquidating Trust

Web site: http://www.psc-trust.com/

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