Atento Reaches Agreement With Certain Key Stakeholders

• Atento agrees to term sheet with certain major financial stakeholders for at least $30 million of new financing in the near term and pathway to restructuring support agreement 

• Term sheet provides for additional $79 million upon implementation of a comprehensive restructuring for Atento to execute its transformation plan and drive growth

Atento S.A., one of the world’s largest customer relationship management and business process outsourcing (CRM / BPO) service providers and an industry leader in Latin America, reports on progress in the previously announced negotiations with certain key stakeholders for a transaction involving a recapitalization and deleveraging of Atento’s balance sheet.

Atento and certain members of an ad hoc group of holders of Atento’s senior secured notes have agreed a term sheet for a new interim financing of at least $30 million and a comprehensive restructuring of its balance sheet that will significantly delever the group. The term sheet includes $79 million of additional capital in connection with the comprehensive restructuring. The parties further intend for the Company’s leverage to be significantly reduced at the culmination of this process.

The new financing represents sufficient capital through to implementation of a holistic restructuring, and certain of the parties have agreed on a path to enter into a restructuring support agreement and definitive documentation on the financing within two weeks of execution of the term sheet. The Company looks forward to working with its financial stakeholders in the weeks ahead and is confident in achieving requisite support for the financial restructuring. New financing is subject to conditions including customer due diligence, and the grant of security interests.

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This term sheet builds on Atento’s prior announcement that the Company has been negotiating a comprehensive restructuring of funded and financial debt on its balance sheet to position Atento to execute on its long-term strategic plan and to continue its focus on its leading service to clients. Atento will be better positioned after such a restructuring to serve its +400 blue chip clients across sixteen countries and support global operations for the more than 135,000 global Atento employees.

“This term sheet is a milestone for our business and represents our partners’ belief in the underlying strength of Atento’s competitive value proposition,” said Dimitrius Oliveira, Chief Executive Officer of Atento. “As we continue to enhance the capabilities of our business operations, we also remain focused on continuing to deliver great customer experiences through the combination of innovation, advanced technologies and the human touch. We are immensely grateful to our employees, customers, vendors and key stakeholders who continue to stand by us throughout this process. With this new infusion of capital we look forward to accelerating our transformation and further strengthening our business for the long term.”

Atento is represented in these discussions by Houlihan Lokey and FTI Consulting as financial advisors and Sidley Austin and Loyens & Loeff Luxembourg, as lead legal advisors. The ad hoc group of investors is represented by Rothschild & Co. as financial advisor and Hogan Lovells as lead legal advisor.

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