75679--3/26/2007--GCI

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{customer, product, revenue}

{regulation, change, law}

{control, financial, internal}

{tax, income, asset}

{stock, price, operating}

{financial, litigation, operation}

{loss, insurance, financial}

{capital, credit, financial}

{product, market, service}

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Factors That May Affect Our Business and Future Results We depend on a small number of customers for a substantial portion of our revenue and business. The loss of any of such customers would have a material adverse effect on our financial position, results of operations or liquidity. We face competition that may reduce our market share and harm our financial performance. Our business is subject to extensive governmental legislation and regulation. Applicable legislation and regulations and changes to them could adversely affect our business, financial position, results of operations or liquidity. Our businesses are currently geographically concentrated in Alaska. Any deterioration in the economic conditions in Alaska could have a material adverse effect on our financial position, results of operations or liquidity. We may not fully develop our wireless services, in which case we could not meet the needs of our customers who desire packaged services. Prolonged service interruptions could affect our business. If failures occur in our undersea fiber optic cables, our ability to immediately restore the entirety of our service may be limited, which could lead to a material adverse effect on our business, financial position, results of operations or liquidity. If a failure occurs in our satellite communications systems, our ability to immediately restore the entirety of our service may be limited. We depend on a limited number of third-party vendors to supply communications equipment. If we do not obtain the necessary communications equipment, we will not be able to meet the needs of our customers. We do not have insurance to cover certain risks to which we are subject, which could lead to the incurrence of uninsured liabilities that adversely affect our financial position, results of operations or liquidity. We must apply a direct value method to determine the fair value of our cable certificate assets for purposes of impairment testing on an annual basis. Impairment testing may result in a material, non-cash write-down of our cable certificate or goodwill assets and could have a material adverse impact on our results of operations. Our significant debt could adversely affect our business and prevent us from fulfilling our obligations under our senior notes. We will require a significant amount of cash to service our debt. Our ability to generate cash depends on many factors beyond our control. The terms of our debt impose restrictions on us that may affect our ability to successfully operate our business and our ability to make payments on the senior notes. A significant percentage of GCI's voting securities are owned by a small number of shareholders and these shareholders can control stockholder decisions on very important matters. Corporate governance rules may impose increased costs and internal control assessment requirements on us. If we fail to maintain an effective system of internal control over financial reporting, we may not be able to accurately report our financial results. As a result, current and potential shareholders could lose confidence in our financial reporting, which would harm our business and the trading price of GCI's stock.

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75679--3/26/2007--GCI_INC