PRIMUS Telecommunications Canada Refinances Credit Facility with US $35 Million Senior Secured Credit Agreement

Business Wire, March 27, 2007

MCLEAN, Va. -- PRIMUS Telecommunications Group, Incorporated ("PRIMUS") (OTCBB:PRTL.OB), an integrated communications services provider, today announced that its indirectly wholly-owned Canadian subsidiary has entered into a Senior Secured Credit Agreement ("Credit Agreement") with Guggenheim Corporate Funding, LLC, as Administrative Agent and Collateral Agent, to refinance an existing credit facility. The existing Canadian credit facility was scheduled to mature in April 2008 and is being refinanced with a five year Credit Agreement maturing in 2012.

The Credit Agreement provides for a US $35 million non-amortizing loan bearing interest at a rate of Libor plus 425 basis points. The Loan proceeds will be used to refinance the CDN $32 million outstanding under the existing Canadian credit facility, fund certain prepayment costs and expenses related to the transaction, and to finance certain capital expenditures. The Credit Agreement is secured by assets of PRIMUS's Canadian operations and certain guarantees.

"The Credit Agreement provides PRIMUS with added financial flexibility on attractive terms that reflect the operational and financial strength of Primus's Canadian operations. With the extended maturity provided by this new facility, the next material principal maturity on PRIMUS's existing debt does not occur until mid-2009," stated Thomas R. Kloster, Chief Financial Officer of PRIMUS. "We are also pleased to have Guggenheim participate as a capital source for the Company."

Durham Capital provided investment banking services to the Company in connection with the transaction.

PRIMUS Telecommunications Group, Incorporated (OTCBB:PRTL.OB) is an integrated communications services provider offering international and domestic voice, voice-over-Internet protocol (VOIP), Internet, wireless, data and hosting services to business and residential retail customers and other carriers located primarily in the United States, Canada, Australia, the United Kingdom and Western Europe. PRIMUS provides services over its global network of owned and leased transmission facilities, including approximately 350 points-of-presence (POPs) throughout the world, ownership interests in undersea fiber optic cable systems, 15 carrier-grade international gateway and domestic switches, and a variety of operating relationships that allow it to deliver traffic worldwide. Founded in 1994, PRIMUS is based in McLean, Virginia.

This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding debt refinancing efforts, financial position and liquidity. When used in this release, the words "anticipate," "believe," "estimate," "expect," "intend," "plan" and similar expressions as they relate to PRIMUS Telecommunications Group, Incorporated, its subsidiaries and management are intended to identify these forward-looking statements. Actual events and results could be materially different from expectations because of various risks and uncertainties, including those described under "Short- and Long-Term Liquidity Considerations and Risks" and "Special Note Regarding Forward-Looking Statements contained in Group's Form 10-K and Form 10-Q filings with the SEC. Group disclaims any responsibility to update these forward-looking statements.