OKLAHOMA CITY, March 24, 2005 (PRIMEZONE) -- Dobson Communications Corporation (NASDAQ:DCEL) today announced that it will not declare or pay the cash dividend due on April 15, 2005 on its outstanding 12-1/4% Senior Exchangeable Preferred Stock or the May 1, 2005 cash dividend on its outstanding 13% Senior Exchangeable Preferred Stock. Unpaid dividends will accrue interest at the stated dividend rates, compounded quarterly. In addition, Dobson will not declare or pay dividends due on April 15, 2005 on its outstanding Series F Convertible Preferred Stock. Unpaid dividends on the Series F will accrue interest at 7%, compounded semi-annually.
This is the second semi-annual deferral on dividends for the Series F Convertible Preferred Stock. Holders of this class of preferred stock will have the right effective April 16, 2005 to elect two new directors to Dobson's board of directors.
This is the third quarterly deferral on dividends for the 12-1/4% and 13% Senior Exchangeable Preferred Stock. Holders of each of these two classes of preferred stock separately have the right to elect two new directors to Dobson's board if dividends on their respective class are in arrears and unpaid for four quarterly dividend periods.
Dobson Communications is a leading provider of wireless phone services to rural markets in the United States. Headquartered in Oklahoma City, the Company owns wireless operations in 16 states. For additional information on the Company and its operations, please visit its Web site at www.dobson.net.