Mercer International Board And Ad Hoc Group Intended To Address Its Upcoming Debt Maturities; Company Is Optimistic That It Will Be Able To Announce Transaction In Near Term; Skipped ~$25.8M Interest Payment Due October 1 On Its 2028 Notes, Opted To Utilize 30-Day Grace Period

Mercer International Inc. is in advanced discussions with an ad hoc group of holders of its 12.875% Senior Notes due 2028 and 5.125% Senior Notes due 2029 to finalize a comprehensive recapitalization transaction aimed at addressing upcoming debt maturities and enhancing liquidity. The company has opted to skip a $25.8 million interest payment due on October 1, 2026, utilizing a 30-day grace period without triggering a default. Despite these financial maneuvers, Mercer continues its operations normally and maintains its commitments to customers and suppliers.