KBRA is assigning preliminary ratings to the Series 2024-2 Class A-1 Notes, and the Series 2024-1 Class A-2 Notes, Class B Notes, and Class C Notes (together, the Series 2024-1 and Series 2024-2 Notes) from Ziply Fiber Issuer, LLC, (the Issuer), a communications infrastructure securitization.

The Series 2024-1 and Series 2024-2 Notes are anticipated to be issued by Ziply Fiber Issuer, LLC (the Issuer) and represent Northwest Fiber, LLC (doing business as Ziply Fiber)’s (Ziply, the Company, or the Parent) first securitizations. The transaction structure is a master trust, and as such, the indenture permits the issuance of additional classes and series of notes. The proceeds from the sale of the Notes will primarily be used to pay certain expenses of issuance, to fund the Liquidity Reserve Account, to repay existing indebtedness, and to be used for general corporate purposes.

The business of the Issuer is to own, manage and operate fiber optic infrastructure for the delivery of services to customers including, but not limited to, data services, IP-delivered voice services, as well as other revenue-generating services. The assets will consist primarily of fiber-to-the-premise (FTTP) infrastructure, certain headend, colocation, and other facilities and equipment that transmit broadband-based services, the middle mile fiber networks delivering certain content and data from the headend and other facilities to the fiber networks, related easements, rights of use and other access agreements (collectively, Fiber Network Assets).

As of January 31, 2024 (the Series 2024-1 and Series 2024-2 Cut-off Date, or the Cut-off Date), the Issuer provides internet services to approximately 271,000 residential and small-medium business fiber subscribers across over 1.9 million locations throughout four U.S. states, which have an aggregate annualized run rate revenue (ARRR) for the quarter ending November 30, 2023 of approximately $192.3 million.

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Methodologies

• ABS: Communications Infrastructure Securitization (CIS) Global Rating Methodology
• Structured Finance: Global Structured Finance Counterparty Methodology
• ESG Global Rating Methodology

Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1003531

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