Terra Towers Responds to Unauthorized Disclosure by Peppertree Capital Management

Terra Towers, Corp. is compelled to issue a statement of clarification regarding comments to media by Peppertree Capital Management, Inc. ("Peppertree") regarding an arbitration award which were released in violation of both AAA procedure and a US Federal Court order.

First and foremost, that award is currently under litigation that can affect its enforceability. Terra will exercise all available legal remedies to challenge this decision through the appropriate judicial channels, a right that was recently recognized by the US Federal Courts. Terra Towers categorically rejects the fundamentally flawed and biased arbitration process that has led to this premature announcement.

These statements and proceedings have to be seen in the context of a wrongful squeeze-out merger attempted through a smaller company (Torrecom), which submitted a simulated offer it had no possibility of closing to force Terra out. Terra is already litigating this claim against Torrecom, and will seek to be made whole in those proceedings from any losses caused to Terra in the Peppertree arbitration.

Of particular note, while the orders in force prevent us from addressing the contents of the previous four partial final awards issued in this matter, we can confirm that none listed Mr. Jorge Hernandez as a named party, contrary to the wrong and wrongful statements issued by Peppertree.

In compliance with our legal obligations, Terra Towers will address the numerous inaccuracies and false claims being communicated by Peppertree in violation of court orders before the relevant judicial authorities. Terra Towers remains deeply committed to upholding all its legal obligations related to this dispute and will not bow to pressure to violate applicable laws.

As has been documented in public records, this dispute has resulted in multiple criminal investigations, some culminating in indictments and arrest warrants against several individuals across multiple jurisdictions. Interpol was requested to detain these individuals, including Mr. Jorge Gaitan Castro, a former executive in Continental Towers, who was arrested at the request of authorities in El Salvador.

Courts in Guatemala are currently proceeding with the extradition process, and separate arrest orders have been issued by Guatemalan courts in connection with other criminal investigations.

The Supreme Court of El Salvador has issued rulings related to this dispute, and Terra Towers remains steadfast in its commitment to comply with all court orders from relevant jurisdictions.

These criminal investigations, indictments, and arrests are being conducted by appropriate prosecutorial authorities and attorneys general in their respective jurisdictions. Any characterization of Mr. Gaitan's detention as merely a civil matter is both misleading and factually incorrect.

Terra Towers maintains full confidence in its legal position and will continue to defend its rights vigorously while adhering to all legal obligations across all relevant jurisdictions.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250428214359/en/

Terra Towers categorically rejects the fundamentally flawed and biased arbitration process that has led to this premature announcement.