----

----

|        |
|--------|
|        |  |  |
|   | x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THESECURITIES EXCHANGE ACT OF 1934 |   |

|                                                                                                     |
|-----------------------------------------------------------------------------------------------------|
|                                                                                                     |
| ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THESECURITIES EXCHANGE ACT OF 1934 |

|        |
|--------|
|        |  |  |
|   | GENERAL COMMUNICATION, INC. |   |
|   | (Exact name of registrant as specified in its charter) |   |

|        |
|--------|
|        |  |  |  |  |
|   | State of Alaska |   | 92-0072737 |   |
|   | (State or other jurisdiction of |   | (I.R.S Employer |   |
|   | incorporation or organization) |   | Identification No.) |   |

|        |
|--------|
|        |  |  |  |  |
|   | 2550 Denali Street |   |   |   |
|   | Suite 1000 |   |   |   |
|   | Anchorage, Alaska |   | 99503 |   |
|   | (Address of principalexecutive offices) |   | (Zip Code) |   |

|        |
|--------|
|        |  |  |
|   | Not Applicable |   |
|   | Former name, former address and former fiscal year, if changed since last report |   |

|                                                                                       |
|---------------------------------------------------------------------------------------|
|                                                                                       |  |
| Large accelerated filer ¨                                                        | Accelerated filer x |
| Non-accelerated filer  ¨ (Do not check if a smaller reporting company) | Smaller reporting company  ¨ |

----

|                                                           |
|-----------------------------------------------------------|
|                                                           |  |  |  |
|                                                      |   | Page No. |
|                                                      |   |   |
| Cautionary Statement Regarding Forward-Looking Statements | 3 |
|                                                      |   |   |
| Part I.  FINANCIAL INFORMATION                  |   |
|                                                      |   |   |   |
|                                                      | Item 1. | Financial Statements |   |
|                                                      |   |   |   |
|                                                      |   | Consolidated Balance Sheets (unaudited) as of March 31, 2016 and December 31, 2015 | 4 |
|                                                      |   |   |   |
|                                                      |   | Consolidated Statements of Operations (unaudited) for the three months ended March 31, 2016 and 2015 | 6 |
|                                                      |   |   |   |
|                                                      |   | Consolidated Statements of Stockholders’ Equity (unaudited) for the three months ended March 31, 2016 and 2015 | 7 |
|                                                      |   |   |   |
|                                                      |   | Consolidated Statements of Cash Flows (unaudited) for the three months ended March 31, 2016 and 2015 | 8 |
|                                                      |   |   |   |
|                                                      |   | Condensed Notes to Interim Consolidated Financial Statements (unaudited) | 9 |
|                                                      |   |   |   |
|                                                      | Item 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations | 26 |
|                                                      |   |   |   |
|                                                      | Item 3. | Quantitative and Qualitative Disclosures About Market Risk | 35 |
|                                                      |   |   |   |
|                                                      | Item 4. | Controls and Procedures | 36 |
|                                                      |   |   |   |
| Part II.  OTHER INFORMATION                     |   |
|                                                      |   |   |   |
|                                                      | Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds | 36 |
|                                                      |   |   |   |
|                                                      | Item 6. | Exhibits | 37 |
|                                                      |   |   |   |
|                                                      | Other items are omitted, as they are not applicable. |   |
|                                                      |   |   |   |
| SIGNATURES                                                | 38 |

----

----

|                                                                                |
|--------------------------------------------------------------------------------|
|                                                                                |  |  |  |  |  |  |
|                                                                           |   |   |   |
| GENERAL COMMUNICATION, INC. AND SUBSIDIARIES                                   |
| CONSOLIDATED BALANCE SHEETS                                                    |
| (Unaudited)                                                                    |
| (Amounts in thousands)                                                         |   |   |   |
|                                                                           | March 31, |   | December 31, |
| ASSETS                                                                         | 2016 |   | 2015 |
| Current assets:                                                                |   |   |   |
| Cash and cash equivalents                                                      | $ | 13,458 |  |   | 26,528 |  |
|                                                                           |   |   |   |
| Receivables                                                                    | 223,898 |  |   | 208,384 |  |
| Less allowance for doubtful receivables                                        | 2,629 |  |   | 3,630 |  |
| Net receivables                                                                | 221,269 |  |   | 204,754 |  |
|                                                                           |   |   |   |
| Prepaid expenses                                                               | 16,649 |  |   | 12,862 |  |
| Inventories                                                                    | 10,435 |  |   | 11,322 |  |
| Other current assets                                                           | 213 |  |   | 3,129 |  |
| Total current assets                                                           | 262,024 |  |   | 258,595 |  |
|                                                                           |   |   |   |
| Property and equipment                                                         | 2,408,282 |  |   | 2,384,530 |  |
| Less accumulated depreciation                                                  | 1,327,534 |  |   | 1,290,149 |  |
| Net property and equipment                                                     | 1,080,748 |  |   | 1,094,381 |  |
|                                                                           |   |   |   |
| Goodwill                                                                       | 239,263 |  |   | 239,263 |  |
| Cable certificates                                                             | 191,635 |  |   | 191,635 |  |
| Wireless licenses                                                              | 86,347 |  |   | 86,347 |  |
| Other intangible assets, net of amortization                                   | 70,256 |  |   | 69,290 |  |
| Other assets                                                                   | 30,645 |  |   | 27,429 |  |
| Total other assets                                                             | 618,146 |  |   | 613,964 |  |
| Total assets                                                                   | $ | 1,960,918 |  |   | 1,966,940 |  |
|                                                                           |   |   |   |
| See accompanying condensed notes to interim consolidated financial statements. |
|                                                                           |   |  |   | (Continued) |

----

|                                                                                                                                                                                                                       |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                       |  |  |  |  |  |  |
| GENERAL COMMUNICATION, INC. AND SUBSIDIARIES                                                                                                                                                                          |
| CONSOLIDATED BALANCE SHEETS                                                                                                                                                                                           |
| (Unaudited)                                                                                                                                                                                                           |
| (Continued)                                                                                                                                                                                                           |
| (Amounts in thousands)                                                                                                                                                                                                |   |   |   |
|                                                                                                                                                                                                                  | March 31, |   | December 31, |
| LIABILITIES AND STOCKHOLDERS’ EQUITY                                                                                                                                                                            | 2016 |   | 2015 |
| Current liabilities:                                                                                                                                                                                                  |   |   |   |
|   Current maturities of obligations under long-term debt and    capital leases                                                                                                          | $ | 12,199 |  |   | 12,050 |  |
| Accounts payable                                                                                                                                                                                                      | 45,694 |  |   | 63,014 |  |
| Deferred revenue                                                                                                                                                                                                      | 35,289 |  |   | 34,128 |  |
| Accrued payroll and payroll related obligations                                                                                                                                                                       | 28,240 |  |   | 31,337 |  |
| Accrued interest (including $905 and $5,132 to a related party at March 31, 2016 and December 31, 2015, respectively)                                                                                                 | 22,686 |  |   | 13,655 |  |
| Accrued liabilities                                                                                                                                                                                                   | 23,312 |  |   | 22,822 |  |
| Subscriber deposits                                                                                                                                                                                                   | 1,193 |  |   | 1,242 |  |
| Total current liabilities                                                                                                                                                                                             | 168,613 |  |   | 178,248 |  |
|                                                                                                                                                                                                                  |   |   |   |
| Long-term debt, net (including $55,242 and $54,810 to a related party at March 31, 2016 and December 31, 2015, respectively)                                                                                          | 1,334,652 |  |   | 1,329,396 |  |
| Obligations under capital leases, excluding current maturities (including $1,809 and $1,824 due to a related party at March 31, 2016 and December 31, 2015, respectively)                                             | 57,375 |  |   | 59,651 |  |
| Deferred income taxes                                                                                                                                                                                                 | 109,214 |  |   | 106,145 |  |
| Long-term deferred revenue                                                                                                                                                                                            | 101,355 |  |   | 93,427 |  |
| Other liabilities (including $28,290 and $32,820 for derivative stock appreciation rights with a related party at March 31, 2016 and December 31, 2015, respectively)                                                 | 78,587 |  |   | 80,812 |  |
| Total liabilities                                                                                                                                                                                                     | 1,849,796 |  |   | 1,847,679 |  |
|                                                                                                                                                                                                                  |   |   |   |
| Commitments and contingencies                                                                                                                                                                                         |  |  |   |  |  |
| Stockholders’ equity:                                                                                                                                                                                           |   |  |   |   |  |
| Common stock (no par):                                                                                                                                                                                                |   |  |   |   |  |
| Class A. Authorized 100,000 shares; issued 35,459 and 35,593 shares at March 31, 2016 and December 31, 2015, respectively; outstanding 35,433 and 35,567 shares at March 31, 2016 and December 31, 2015, respectively | — |  |   | — |  |
| Class B. Authorized 10,000 shares; issued and outstanding 3,154 at March 31, 2016 and December 31, 2015; convertible on a share-per-share basis into Class A common stock                                             | 2,664 |  |   | 2,664 |  |
| Less cost of 26 Class A common shares held in treasury at March 31, 2016 and December 31, 2015                                                                                                                        | (249 | ) |   | (249 | ) |
| Paid-in capital                                                                                                                                                                                                       | 7,504 |  |   | 6,631 |  |
| Retained earnings                                                                                                                                                                                                     | 70,322 |  |   | 79,217 |  |
| Total General Communication, Inc. stockholders' equity                                                                                                                                                                | 80,241 |  |   | 88,263 |  |
| Non-controlling interests                                                                                                                                                                                             | 30,881 |  |   | 30,998 |  |
| Total stockholders’ equity                                                                                                                                                                                      | 111,122 |  |   | 119,261 |  |
| Total liabilities and stockholders’ equity                                                                                                                                                                      | $ | 1,960,918 |  |   | 1,966,940 |  |
|                                                                                                                                                                                                                  |   |   |   |
| See accompanying condensed notes to interim consolidated financial statements.                                                                                                                                        |   |   |

----

|                                                                                                                  |
|------------------------------------------------------------------------------------------------------------------|
|                                                                                                                  |  |  |  |  |  |  |
| GENERAL COMMUNICATION, INC. AND SUBSIDIARIES                                                                     |
| CONSOLIDATED STATEMENTS OF OPERATIONS                                                                            |
| (Unaudited)                                                                                                      |
|                                                                                                             |   |   |   |
|                                                                                                             | Three Months Ended |
|                                                                                                             | March 31, |
| (Amounts in thousands, except per share amounts)                                                                 | 2016 |   | 2015 |
| Revenues:                                                                                                        |   |   |   |
| Non-related party                                                                                                | $ | 231,098 |  |   | 225,806 |  |
| Related party                                                                                                    | — |  |   | 5,283 |  |
| Total revenues                                                                                                   | 231,098 |  |   | 231,089 |  |
|                                                                                                             |   |   |   |
| Cost of goods sold (exclusive of depreciation and amortization shown separately below):                          |   |   |   |
| Non-related party                                                                                                | 76,291 |  |   | 73,887 |  |
| Related party                                                                                                    | — |  |   | 881 |  |
| Total cost of goods sold                                                                                         | 76,291 |  |   | 74,768 |  |
|                                                                                                             |   |   |   |
| Selling, general and administrative expenses:                                                                    |   |   |   |
| Non-related party                                                                                                | 87,646 |  |   | 83,388 |  |
| Related party                                                                                                    | — |  |   | 540 |  |
| Total selling, general and administrative expenses                                                               | 87,646 |  |   | 83,928 |  |
|                                                                                                             |   |   |   |
| Depreciation and amortization expense                                                                            | 47,142 |  |   | 45,235 |  |
| Software impairment charge                                                                                       | — |  |   | 26,417 |  |
| Operating income                                                                                                 | 20,019 |  |   | 741 |  |
|                                                                                                             |   |   |   |
| Other income (expense):                                                                                          |   |   |   |
| Interest expense (including amortization of deferred loan fees)                                                  | (19,171 | ) |   | (19,848 | ) |
| Related party interest expense                                                                                   | (1,831 | ) |   | (1,137 | ) |
| Derivative instrument unrealized income (loss) with related party                                                | 4,530 |  |   | (2,120 | ) |
| Other                                                                                                            | 502 |  |   | (3,147 | ) |
| Other expense, net                                                                                               | (15,970 | ) |   | (26,252 | ) |
|                                                                                                             |   |   |   |
| Income (loss) before income taxes                                                                                | 4,049 |  |   | (25,511 | ) |
| Income tax (expense) benefit                                                                                     | (3,067 | ) |   | 6,786 |  |
| Net income (loss)                                                                                                | 982 |  |   | (18,725 | ) |
|                                                                                                             |   |   |   |
| Net income (loss) attributable to non-controlling interests                                                      | (117 | ) |   | 544 |  |
| Net income (loss) attributable to General Communication, Inc.                                                    | $ | 1,099 |  |   | (19,269 | ) |
|                                                                                                             |   |   |   |
| Basic net income (loss) attributable to General Communication, Inc. common stockholders per Class A common share | $ | 0.03 |  |   | (0.49 | ) |
| Basic net income (loss) attributable to General Communication, Inc. common stockholders per Class B common share | $ | 0.03 |  |   | (0.49 | ) |
| Diluted net loss attributable to General Communication, Inc. common stockholders per Class A common share        | $ | (0.04 | ) |   | (0.49 | ) |
| Diluted net loss attributable to General Communication, Inc. common stockholders per Class B common share        | $ | (0.04 | ) |   | (0.49 | ) |
|                                                                                                             |   |   |   |
| See accompanying condensed notes to interim consolidated financial statements.                                   |

----

|                                                                                |
|--------------------------------------------------------------------------------|
|                                                                                |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| GENERAL COMMUNICATION, INC. AND SUBSIDIARIES                                   |
| CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY                                |
| THREE MONTHS ENDED MARCH 31, 2016 AND 2015                                     |
| (Unaudited)                                                                    |
|                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                           | Shares of Class A and B Common Stock |   | Class A Common Stock |   | Class B Common Stock |   | Class ASharesHeld inTreasury |   | Paid-inCapital |   | RetainedEarnings |   | Non-controllingInterests |   | TotalStockholders’Equity |
|                                                                           |
| (Amounts in thousands)                                                         |
| Balances at January 1, 2015                                                    | 41,157 |  |   | $ | 13,617 |  |   | $ | 2,668 |  |   | $ | (249 | ) |   | $ | 26,773 |  |   | $ | 124,547 |  |   | $ | 299,866 |  |   | $ | 467,222 |  |
| Net income (loss)                                                              | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | (19,269 | ) |   | 544 |  |   | (18,725 | ) |
| Common stock repurchases and retirements                                       | (1,151 | ) |   | (16,878 | ) |   | — |  |   | — |  |   | — |  |   | (115 | ) |   | — |  |   | (16,993 | ) |
| Shares issued under stock option plan                                          | 38 |  |   | 295 |  |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | 295 |  |
| Issuance of restricted stock awards                                            | 572 |  |   | 2,965 |  |   | — |  |   | — |  |   | (2,965 | ) |   | — |  |   | — |  |   | — |  |
| Share-based compensation expense                                               | — |  |   | — |  |   | — |  |   | — |  |   | 2,749 |  |   | — |  |   | — |  |   | 2,749 |  |
| Distribution to non-controlling interest                                       | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | (765 | ) |   | (765 | ) |
| Investment by non-controlling interest                                         | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | 3,209 |  |   | 3,209 |  |
| Non-controlling interest acquisition                                           | — |  |   | — |  |   | — |  |   | — |  |   | (35,467 | ) |   | — |  |   | (268,364 | ) |   | (303,831 | ) |
| Other                                                                          | — |  |   | 1 |  |   | (1 | ) |   | — |  |   | (230 | ) |   | — |  |   | — |  |   | (230 | ) |
| Balances at March 31, 2015                                                     | 40,616 |  |   | $ | — |  |   | $ | 2,667 |  |   | $ | (249 | ) |   | $ | (9,140 | ) |   | $ | 105,163 |  |   | $ | 34,490 |  |   | $ | 132,931 |  |
|                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balances at January 1, 2016                                                    | 38,747 |  |   | $ | — |  |   | $ | 2,664 |  |   | $ | (249 | ) |   | $ | 6,631 |  |   | $ | 79,217 |  |   | $ | 30,998 |  |   | $ | 119,261 |  |
| Net income (loss)                                                              | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | 1,099 |  |   | (117 | ) |   | 982 |  |
| Common stock repurchases and retirements                                       | (635 | ) |   | (1,557 | ) |   | — |  |   | — |  |   | — |  |   | (9,994 | ) |   | — |  |   | (11,551 | ) |
| Shares issued under stock option plan                                          | 6 |  |   | 64 |  |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | 64 |  |
| Issuance of restricted stock awards                                            | 495 |  |   | 1,493 |  |   | — |  |   | — |  |   | (1,493 | ) |   | — |  |   | — |  |   | — |  |
| Share-based compensation expense                                               | — |  |   | — |  |   | — |  |   | — |  |   | 2,366 |  |   | — |  |   | — |  |   | 2,366 |  |
| Balances at March 31, 2016                                                     | 38,613 |  |   | $ | — |  |   | $ | 2,664 |  |   | $ | (249 | ) |   | $ | 7,504 |  |   | $ | 70,322 |  |   | $ | 30,881 |  |   | $ | 111,122 |  |
|                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| See accompanying condensed notes to interim consolidated financial statements. |

----

|                                                                                                  |
|--------------------------------------------------------------------------------------------------|
|                                                                                                  |  |  |  |  |  |  |
| GENERAL COMMUNICATION, INC. AND SUBSIDIARIES                                                     |
| CONSOLIDATED STATEMENTS OF CASH FLOWS                                                            |
| THREE MONTHS ENDED MARCH 31, 2016 AND 2015                                                       |
| (Unaudited)                                                                                      |
| (Amounts in thousands)                                                                           |   |   |   |
|                                                                                             | 2016 |   | 2015 |
| Cash flows from operating activities:                                                            |   |   |   |
| Net income (loss)                                                                                | $ | 982 |  |   | (18,725 | ) |
| Adjustments to reconcile net income (loss) to net cash provided by operating activities:    |   |  |   |   |  |
| Depreciation and amortization expense                                                            | 47,142 |  |   | 45,235 |  |
| Unrealized (income) loss on derivative instrument with related party                             | (4,530 | ) |   | 2,120 |  |
| Deferred income tax expense (benefit)                                                            | 3,067 |  |   | (6,786 | ) |
| Share-based compensation expense                                                                 | 2,327 |  |   | 2,801 |  |
| Software impairment charge                                                                       | — |  |   | 26,417 |  |
| Other noncash income and expense items                                                           | 2,446 |  |   | 4,818 |  |
| Change in operating assets and liabilities                                                       | (9,509 | ) |   | 18,837 |  |
| Net cash provided by operating activities                                                        | 41,925 |  |   | 74,717 |  |
| Cash flows from investing activities:                                                            |   |  |   |   |  |
| Purchases of property and equipment                                                              | (44,598 | ) |   | (49,332 | ) |
| Purchases of other assets and intangible assets                                                  | (3,947 | ) |   | (2,808 | ) |
| Note receivable payment from an equity method investee                                           | 3,000 |  |   | — |  |
| Grant proceeds                                                                                   | — |  |   | 14,007 |  |
| Note receivable issued to an equity method investee                                              | — |  |   | (3,000 | ) |
| Purchase of business, net of cash received                                                       | — |  |   | (2,167 | ) |
| Other                                                                                            | (8 | ) |   | (4,877 | ) |
| Net cash used for investing activities                                                           | (45,553 | ) |   | (48,177 | ) |
| Cash flows from financing activities:                                                            |   |  |   |   |  |
| Borrowing on Amended Senior Credit Facility                                                      | 25,000 |  |   | 295,000 |  |
| Repayment of debt and capital lease obligations                                                  | (22,955 | ) |   | (61,350 | ) |
| Purchase of treasury stock to be retired                                                         | (11,551 | ) |   | (16,993 | ) |
| Purchase of noncontrolling interests                                                             | — |  |   | (280,505 | ) |
| Issuance of Searchlight note payable and derivative stock appreciation rights with related party | — |  |   | 75,000 |  |
| Payment of debt issuance costs                                                                   | — |  |   | (5,853 | ) |
| Distribution to non-controlling interest                                                         | — |  |   | (4,932 | ) |
| Other                                                                                            | 64 |  |   | 498 |  |
| Net cash (used for) provided by financing activities                                             | (9,442 | ) |   | 865 |  |
| Net increase (decrease) in cash and cash equivalents                                             | (13,070 | ) |   | 27,405 |  |
| Cash and cash equivalents at beginning of period                                                 | 26,528 |  |   | 15,402 |  |
| Cash and cash equivalents at end of period                                                       | $ | 13,458 |  |   | 42,807 |  |
|                                                                                             |   |   |   |
| See accompanying condensed notes to interim consolidated financial statements.                   |

----

|     |                                                           |
|-----|-----------------------------------------------------------|
| (1) | Business and Summary of Significant Accounting Principles |

|     |          |
|-----|----------|
| (a) | Business |

|     |                                                       |
|-----|-------------------------------------------------------|
| (b) | Basis of Presentation and Principles of Consolidation |

|     |                           |
|-----|---------------------------|
| (c) | Non-controlling Interests |

|     |             |
|-----|-------------|
| (d) | Acquisition |

----

|                                                                                            |
|--------------------------------------------------------------------------------------------|
|                                                                                            |  |  |  |  |  |
| Total consideration transfered to ACS                                                      |   | $ | 304,838 |  |
|                                                                                       |   |   |
| Allocation of consideration between wireless assets and non-controlling interest acquired: |   |   |
| AWN non-controlling interest                                                               |   | $ | 303,831 |  |
| Property and equipment                                                                     |   | 746 |  |
| Other intangible assets                                                                    |   | 261 |  |
| Total consideration                                                                        |   | $ | 304,838 |  |

|                                                                     |
|---------------------------------------------------------------------|
|                                                                     |  |  |  |  |  |
| Reduction of non-controlling interest                               |   | $ | 268,364 |  |
| Increase in deferred tax assets                                     |   | 24,028 |  |
| Additional paid-in capital                                          |   | 11,439 |  |
| Fair value of consideration paid for acquisition of equity interest |   | $ | 303,831 |  |

|     |                                           |
|-----|-------------------------------------------|
| (e) | Recently Issued Accounting Pronouncements |

----

----

|     |                                            |
|-----|--------------------------------------------|
| (f) | Recently Adopted Accounting Pronouncements |

|     |                       |
|-----|-----------------------|
| (g) | Regulatory Accounting |

|     |                                  |
|-----|----------------------------------|
| (h) | Earnings (Loss) per Common Share |

----

|     |              |
|-----|--------------|
| (i) | Common Stock |

|     |                                                            |
|-----|------------------------------------------------------------|
| (j) | Accounts Receivable and Allowance for Doubtful Receivables |

----

|     |                                 |
|-----|---------------------------------|
| (k) | Derivative Financial Instrument |

|     |            |
|-----|------------|
| (l) | Guarantees |

|     |                     |
|-----|---------------------|
| (m) | Revenue Recognition |

|     |                  |
|-----|------------------|
| (n) | Use of Estimates |

----

|     |                                                  |
|-----|--------------------------------------------------|
| (o) | Classification of Taxes Collected from Customers |

|                           |
|---------------------------|
|                           |  |  |  |  |  |  |
|                      | Three Months Ended March 31, |
|                      | 2016 |   | 2015 |
| Surcharges reported gross | $ | 1,031 |  |   | 1,148 |  |

|     |                   |
|-----|-------------------|
| (p) | Reclassifications |

|     |                                                                |
|-----|----------------------------------------------------------------|
| (2) | Consolidated Statements of Cash Flows Supplemental Disclosures |

|                                                                  |
|------------------------------------------------------------------|
|                                                                  |  |  |  |  |  |  |
| Three Months Ended March 31,                                     | 2016 |   | 2015 |
| (Increase) decrease in accounts receivable, net                  | $ | (14,761 | ) |   | 7,859 |  |
| Increase in prepaid expenses                                     | (3,806 | ) |   | (308 | ) |
| Decrease in inventories                                          | 887 |  |   | 2,495 |  |
| (Increase) decrease in other current assets                      | (84 | ) |   | 7 |  |
| Increase in other assets                                         | (3,301 | ) |   | (1,250 | ) |
| Decrease in accounts payable                                     | (2,972 | ) |   | (2,470 | ) |
| Increase (decrease) in deferred revenues                         | 1,161 |  |   | (2,256 | ) |
| Decrease in accrued payroll and payroll related obligations      | (3,191 | ) |   | (6,083 | ) |
| Increase in accrued liabilities                                  | 552 |  |   | 3,891 |  |
| Increase in accrued interest                                     | 9,031 |  |   | 17,611 |  |
| Decrease in subscriber deposits                                  | (49 | ) |   | (153 | ) |
| Increase (decrease) in long-term deferred revenue                | 5,458 |  |   | (251 | ) |
| Increase (decrease) in components of other long-term liabilities | 1,566 |  |   | (255 | ) |
| Total change in operating assets and liabilities                 | $ | (9,509 | ) |   | 18,837 |  |

|                                              |
|----------------------------------------------|
|                                              |  |  |  |  |  |  |
| Net cash paid or received:                   | 2016 |   | 2015 |
| Interest paid including capitalized interest | $ | 11,580 |  |   | 3,382 |  |

----

|                                                                 |
|-----------------------------------------------------------------|
|                                                                 |  |  |  |  |  |  |
|                                                            | 2016 |   | 2015 |
| Non-cash additions for purchases of property and equipment      | $ | 13,395 |  |   | 17,817 |  |
| Asset retirement obligation additions to property and equipment | $ | 357 |  |   | 243 |  |
| Non-cash consideration for Wireless Acquisition                 | $ | — |  |   | 23,326 |  |

|                      |
|----------------------|
|                      |  |  |  |  |  |  |
|                 | Three Months Ended  March 31, |
|                 | 2016 |   | 2015 |
| Amortization expense | $ | 2,760 |  |   | 2,686 |  |

|                           |
|---------------------------|
|                           |  |  |  |
| Years Ending December 31, |   |
| 2016                      | $ | 10,938 |  |
| 2017                      | $ | 8,782 |  |
| 2018                      | $ | 6,814 |  |
| 2019                      | $ | 5,064 |  |
| 2020                      | $ | 3,998 |  |

|     |                                                   |
|-----|---------------------------------------------------|
| (4) | Fair Value Measurements and Derivative Instrument |

|                                                                                                            |
|------------------------------------------------------------------------------------------------------------|
|                                                                                                            |  |  |  |  |  |  |  |  |  |  |  |  |
| March 31, 2016                                                                                             | Level 1 (1) |   | Level 2 (2) |   | Level 3 (3) |   | Total |
| Assets:                                                                                                    |   |   |   |   |   |   |   |
| Deferred compensation plan assets (mutual funds)                                                           | $ | 1,483 |  |   | — |  |   | — |  |   | 1,483 |  |
| Liabilities:                                                                                               |   |   |   |   |   |   |   |
| Derivative stock appreciation rights                                                                       | $ | — |  |   | — |  |   | 28,290 |  |   | 28,290 |  |
|                                                                                                       |   |   |   |   |   |   |   |
| December 31, 2015                                                                                          | Level 1 (1) |   | Level 2 (2) |   | Level 3 (3) |   | Total |
| Assets:                                                                                                    |   |   |   |   |   |   |   |
| Deferred compensation plan assets (mutual funds)                                                           | $ | 1,728 |  |   | — |  |   | — |  |   | 1,728 |  |
| Liabilities:                                                                                               |   |   |   |   |   |   |   |
| Derivative stock appreciation rights                                                                       | $ | — |  |   | — |  |   | 32,820 |  |   | 32,820 |  |
|                                                                                                       |   |   |   |   |   |   |   |
| (1) Quoted prices in active markets for identical assets or liabilities                               |
| (2) Observable inputs other than quoted prices in active markets for identical assets and liabilities |
| (3) Inputs that are generally unobservable and not corroborated by market data                        |

----

|                            |
|----------------------------|
|                            |  |  |  |  |  |  |  |  |  |  |  |  |
|                       | March 31, 2016 |   | December 31, 2015 |
|                       | Carrying Amount |   | Fair Value |   | Carrying Amount |   | Fair Value |
| Current and long-term debt | $ | 1,337,989 |  |   | 1,393,992 |  |   | 1,332,739 |  |   | 1,390,743 |  |

|         |                                                                                                                                                                                                                                      |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The fair values of the 6.75% Senior Notes due 2021 and the 6.875% Senior Notes due 2025 both issued by GCI, Inc., our wholly owned subsidiary, are based upon quoted market prices for the same or similar issues (Level 2). |

|         |                                                                                                                                                                                                                                 |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The fair value of our Searchlight Note Payable is based on the current rates offered to us for similar remaining maturities plus an additional premium to reflect its subordination to our 2021 and 2025 Notes (Level 3).  |

|         |                                                                                                                                                                                                               |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The fair value of our Amended Senior Credit Facility and Wells Fargo note payable are estimated to approximate their carrying value because the instruments are subject to variable interest rates (Level 2). |

|                          |
|--------------------------|
|                          |  |  |
|                     | March 31, 2016 |
| Expected term (in years) | 2.8 - 6.8 |  |
| Volatility               | 40 | % |
| Risk-free interest rate  | 1.5 | % |

----

|                                                                            |
|----------------------------------------------------------------------------|
|                                                                            |  |  |  |
| Fair Value Measurement Using Level 3 Inputs                                |
|                                                                       | Derivative Stock Appreciation Rights |
| Balances at January 1, 2015                                                | $ | — |  |
| Issuance                                                                   | 21,660 |  |
| Fair value adjustment at end of period, included in Other Income (Expense) | 2,120 |  |
| Balances at March 31, 2015                                                 | 23,780 |  |
|                                                                       |   |
| Balances at January 1, 2016                                                | 32,820 |  |
| Fair value adjustment at end of period, included in Other Income (Expense) | (4,530 | ) |
| Balances at March 31, 2016                                                 | $ | 28,290 |  |

|     |                            |
|-----|----------------------------|
| (5) | Stockholders’ Equity |

----

|                                     |
|-------------------------------------|
|                                     |  |  |  |  |  |  |
|                                | Shares (in thousands) |   | WeightedAverageGrant DateFair Value |
| Nonvested at December 31, 2015 | 1,495 |  |   | $ | 11.08 |  |
| Granted                             | 495 |  |   | $ | 18.16 |  |
| Vested                              | (80 | ) |   | $ | 10.98 |  |
| Nonvested at March 31, 2016    | 1,910 |  |   | $ | 12.92 |  |

|                                                                                       |
|---------------------------------------------------------------------------------------|
|                                                                                       |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                  | Three Months Ended March 31, |
|                                                                                  | 2016 |   | 2015 |
|                                                                                  | Class A |   | Class B |   | Class A |   | Class B |
| Basic net income (loss) per share:                                                    |   |   |   |   |   |   |   |
| Numerator:                                                                            |   |   |   |   |   |   |   |
| Net income (loss) available to common stockholders                                    | $ | 1,009 |  |   | 90 |  |   | $ | (17,723 | ) |   | (1,546 | ) |
| Less: Undistributed net income allocable to participating securities                  | (48 | ) |   | — |  |   | — |  |   | — |  |
| Undistributed net income (loss) allocable to common stockholders                      | 961 |  |   | 90 |  |   | (17,723 | ) |   | (1,546 | ) |
| Denominator:                                                                          |   |  |   |   |  |   |   |  |   |   |  |
| Weighted average common shares outstanding                                       | 33,696 |  |   | 3,155 |  |   | 36,217 |  |   | 3,159 |  |
| Basic net income (loss) attributable to GCI common stockholders per common share | $ | 0.03 |  |   | 0.03 |  |   | $ | (0.49 | ) |   | (0.49 | ) |

----

|                                                                                                                                                           |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                           |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                      | Three Months Ended March 31, |
|                                                                                                                                                      | 2016 |   | 2015 |
|                                                                                                                                                      | Class A |   | Class B |   | Class A |   | Class B |
| Diluted net loss per share:                                                                                                                               |   |  |   |   |  |   |   |  |   |   |  |
| Numerator:                                                                                                                                                |   |  |   |   |  |   |   |  |   |   |  |
| Undistributed net income (loss) allocable to common stockholders for basic computation                                                                    | $ | 961 |  |   | 90 |  |   | $ | (17,723 | ) |   | (1,546 | ) |
| Reallocation of undistributed earnings (loss) as a result of conversion of Class B to Class A shares                                            | 90 |  |   | — |  |   | (1,546 | ) |   | — |  |
| Reallocation of undistributed earnings as a result of conversion of dilutive securities                                                                   | 117 |  |   | (217 | ) |   | — |  |   | — |  |
| Effect of derivative instruments that may be settled in cash or shares                                                                                    | (2,668 | ) |   | — |  |   | — |  |   | — |  |
| Effect of share based compensation that may be settled in cash or shares                                                                                  | (23 | ) |   | — |  |   | — |  |   | — |  |
| Undistributed net income (loss) adjusted for allocation of undistributed earnings and effect of contracts that may be settled in cash or shares | $ | (1,523 | ) |   | (127 | ) |   | $ | (19,269 | ) |   | (1,546 | ) |
| Denominator:                                                                                                                                              |   |  |   |   |  |   |   |  |   |   |  |
| Number of shares used in basic computation                                                                                                                | 33,696 |  |   | 3,155 |  |   | 36,217 |  |   | 3,159 |  |
| Conversion of Class B to Class A common shares outstanding                                                                                           | 3,155 |  |   | — |  |   | 3,159 |  |   | — |  |
| Effect of derivative instruments that may be settled in cash or shares                                                                                    | 869 |  |   | — |  |   | — |  |   | — |  |
| Effect of share based compensation that may be settled in cash or shares                                                                                  | 26 |  |   | — |  |   | — |  |   | — |  |
| Number of shares used in per share computation                                                                                                            | 37,746 |  |   | 3,155 |  |   | 39,376 |  |   | 3,159 |  |
| Diluted net loss attributable to GCI common stockholders per common share                                                                                 | $ | (0.04 | ) |   | (0.04 | ) |   | $ | (0.49 | ) |   | (0.49 | ) |

|                                                                                                      |
|------------------------------------------------------------------------------------------------------|
|                                                                                                      |  |  |  |  |  |
|                                                                                                 | Three Months Ended March 31, |
|                                                                                                 | 2016 |   | 2015 |
| Shares associated with anti-dilutive unexercised stock options                                       | 6 |  |   | 118 |  |
| Derivative instruments that may be settled in cash or shares, the effect of which is anti-dilutive   | — |  |   | 342 |  |
| Share-based compensation that may be settled in cash or shares, the effect of which is anti-dilutive | — |  |   | 26 |  |
| Total excluded                                                                                       | 6 |  |   | 486 |  |

----

|                     |
|---------------------|
|                     |  |  |  |  |  |  |  |  |  |
|                | Three Months Ended |
|                | Wireless |   | Wireline |   | Total Reportable Segments |
| March 31, 2016 |   |   |   |   |   |
| Revenues            | $ | 51,462 |  |   | 179,636 |  |   | 231,098 |  |
| Adjusted EBITDA     | $ | 40,064 |  |   | 38,042 |  |   | 78,106 |  |
|                |   |   |   |   |   |
| March 31, 2015 |   |   |   |   |   |  |
| Revenues            | $ | 59,204 |  |   | 171,885 |  |   | 231,089 |  |
| Adjusted EBITDA     | $ | 37,387 |  |   | 37,916 |  |   | 75,303 |  |

----

|                                                                                       |
|---------------------------------------------------------------------------------------|
|                                                                                       |  |  |  |  |  |  |
|                                                                                  | Three Months Ended March 31, |
|                                                                                  | 2016 |   | 2015 |
| Reportable segment Adjusted EBITDA                                                    | $ | 78,106 |  |   | 75,303 |  |
| Less depreciation and amortization expense                                       | (47,142 | ) |   | (45,235 | ) |
| Less cash received in excess of revenue recognized for long-term roaming arrangements | (7,500 | ) |   | — |  |
| Less share-based compensation expense                                            | (2,327 | ) |   | (2,801 | ) |
| Less accretion expense                                                                | (392 | ) |   | (450 | ) |
| Less software impairment charge                                                       | — |  |   | (26,417 | ) |
| Other                                                                                 | (726 | ) |   | 341 |  |
| Consolidated operating income                                                         | 20,019 |  |   | 741 |  |
| Less other expense, net                                                               | (15,970 | ) |   | (26,252 | ) |
| Consolidated income (loss) before income taxes                                        | $ | 4,049 |  |   | (25,511 | ) |

|     |                            |
|-----|----------------------------|
| (8) | Related Party Transactions |

----

|     |                            |
|-----|----------------------------|
| (9) | Variable Interest Entities |

----

|      |                     |
|------|---------------------|
| (10) | Software Impairment |

----

----

----

|                                                             |
|-------------------------------------------------------------|
|                                                             |  |  |  |  |
|                                                        |   | Three Months Ended March 31, | Percentage Change1 2016 |
|                                                        |   | 2016 | 2015 | vs. 2015 |
| Statements of Operations Data:                              |   |   |   |   |
| Revenues:                                                   |   |   |   |   |
| Wireless segment                                            |   | 22% | 26% | (13)% |
| Wireline segment                                            |   | 78% | 74% | 5% |
| Total revenues                                              |   | 100% | 100% | —% |
| Selling, general and administrative expenses                |   | 38% | 36% | 4% |
| Depreciation and amortization expense                       |   | 20% | 20% | 4% |
| Software impairment charge                                  |   | —% | 11% | 100% |
| Operating income                                            |   | 9% | —% | 2,602% |
| Other expense, net                                          |   | 7% | 11% | (39)% |
| Income (loss) before income taxes                           |   | 2% | (11)% | 116% |
| Net income (loss)                                           |   | —% | (8)% | 105% |
| Net income (loss) attributable to non-controlling interests |   | —% | —% | (122)% |
| Net income (loss) attributable to GCI                       |   | —% | (8)% | 106% |
|                                                        |   |   |   |   |
| 1Percentage change in underlying data                       |   |   |

----

|                                                                                                                                                                                                                                                                                                                                          |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                          |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                                                                                                                                                                     | Three Months Ended March 31, |   | Percentage |
|                                                                                                                                                                                                                                                                                                                                     | 2016 |   | 2015 |   | Change |
| Revenue                                                                                                                                                                                                                                                                                                                                  | $ | 51,462 |  |   | 59,204 |  |   | (13 | )% |
| Cost of Goods Sold                                                                                                                                                                                                                                                                                                                       | $ | 15,032 |  |   | 17,531 |  |   | (14 | )% |
| Adjusted EBITDA1                                                                                                                                                                                                                                                                                                                         | $ | 40,064 |  |   | 37,387 |  |   | 7 |  % |
| 1 Wireless Adjusted EBITDA includes a $7.5 million adjustment for cash received in excess of revenue recognized for long-term fixed roaming arrangements.  See Note 7 in the accompanying  "Condensed Notes to Interim Consolidated Financial Statements" included in Part I of this quarterly report on Form 10-Q for more information. |

|         |                                                                                                                                               |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------|
| • | A $5.0 million decrease in roaming revenue due to long-term roaming agreements we have entered into with our largest roaming partners and |

|         |                                                                                                                                                                    |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | A $4.6 million decrease in plan fee revenue primarily due to a decrease in subscribers and discounts given to customers who finance or bring their own device. |

|         |                                                                                                   |
|---------|---------------------------------------------------------------------------------------------------|
| • | A $3.2 million decrease in roaming costs primarily due to renegotiated roaming agreements and |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | A $1.9 million decrease in wireless equipment costs. Through the February 2, 2015 close of the Wireless Acquisition, the Wireless segment gave a wireless equipment subsidy to the Wireline segment in accordance with the AWN agreements. Following the close of the Wireless Acquisition, this subsidy was discontinued but the Wireless segment started recording a portion of the wireless equipment costs to encourage the Wireline segment to transition customers from our CDMA network to our GSM network which partially offset the decrease.  All wireless equipment costs are recorded in the Wireline segment in 2016. |

----

|         |                                                                                                                                                                                                  |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Addition of cash received in excess of revenue recognized for long-term fixed roaming arrangements partially offset by a decrease in revenues as described above in "Wireless Segment Revenues," |

|         |                                                                                               |
|---------|-----------------------------------------------------------------------------------------------|
| • | Decreased Cost of Goods Sold as described above in "Wireless Segment Cost of Goods Sold," and |

|         |                                                         |
|---------|---------------------------------------------------------|
| • | Decreased selling, general and administrative expenses. |

|                                        |
|----------------------------------------|
|                                        |  |  |  |  |
|                                   |   | Customer Group |
| Wireline Segment Services and Products | Consumer | Business Services | Managed Broadband |
|                                   |   |   |   |   |
| Retail wireless                        | X | X |   |
|                                   |   |   |   |   |
| Data:                                  |   |   |   |
|                                   | Internet | X | X | X |
|                                   | Data networks |   | X | X |
|                                   | Managed services |   | X | X |
|                                   |   |   |   |   |
| Video                                  | X | X |   |
|                                   |   |   |   |   |
| Voice:                                 |   |   |   |
|                                   | Long-distance | X | X | X |
|                                   | Local access | X | X | X |

|         |                                                                                                                     |
|---------|---------------------------------------------------------------------------------------------------------------------|
| • | Consumer – we offer a full range of retail wireless, data, video and voice services to residential customers. |

|         |                                                                                                                                                                                                                                       |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Business Services - we offer a full range of wireless, data, video, voice, and managed services to businesses, governmental entities, and educational institutions and wholesale data and voice services to common carrier customers. |

|         |                                                                                                                                                                                                                                                   |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Managed Broadband – we offer Internet, data network and managed services to rural schools and health organizations and regulated voice services to residential and commercial customers in rural communities primarily in Southwest Alaska. |

----

|                                |
|--------------------------------|
|                                |  |  |  |  |  |  |  |  |  |
|                           | Three Months Ended  March 31, |   | Percentage |
|                           | 2016 |   | 2015 |   | Change |
| Consumer                       |   |   |   |   |   |
| Wireless                       | $ | 14,538 |  |   | 16,410 |  |   | (11 | )% |
| Data                           | 34,960 |  |   | 31,272 |  |   | 12 |  % |
| Video                          | 28,347 |  |   | 29,225 |  |   | (3 | )% |
| Voice                          | 7,042 |  |   | 7,801 |  |   | (10 | )% |
| Business Services              |   |   |   |   |   |  |
| Wireless                       | 2,260 |  |   | 1,794 |  |   | 26 |  % |
| Data                           | 34,881 |  |   | 36,298 |  |   | (4 | )% |
| Video                          | 5,062 |  |   | 4,414 |  |   | 15 |  % |
| Voice                          | 9,562 |  |   | 10,706 |  |   | (11 | )% |
| Managed Broadband              |   |   |   |   |   |  |
| Data                           | 37,130 |  |   | 28,876 |  |   | 29 |  % |
| Voice                          | 5,854 |  |   | 5,089 |  |   | 15 |  % |
| Total Wireline segment revenue | $ | 179,636 |  |   | 171,885 |  |   | 5 |  % |

|                                     |
|-------------------------------------|
|                                     |  |  |  |  |  |  |  |  |  |
|                                | Three Months Ended  March 31, |   | Percentage |
|                                | 2016 |   | 2015 |   | Change |
| Wireline segment Cost of Goods Sold | $ | 61,259 |  |   | 57,237 |  |   | 7 | % |
| Wireline segment Adjusted EBITDA    | $ | 38,042 |  |   | 37,916 |  |   | — | % |

|                                             |
|---------------------------------------------|
|                                             |  |  |  |  |  |  |  |  |  |  |
|                                        | March 31, |  | Percentage |
|                                        | 2016 |   | 2015 |  | Change |
| Consumer                                    |   |  |   |  |   |
| Data:                                       |   |  |   |  |   |
| Cable modem subscribers1               | 127,800 |  |  | 121,700 |  |  | 5 |  % |
| Video:                                      |   |   |   |   |   |  |
| Basic subscribers2                     | 112,200 |  |   | 114,700 |  |   | (2 | )% |
| Digital programming tier subscribers3  | 57,700 |  |   | 62,300 |  |   | (7 | )% |
| HD/DVR converter boxes4                | 117,700 |  |   | 109,900 |  |   | 7 |  % |
| Homes passed                                | 253,100 |  |   | 248,700 |  |   | 2 |  % |
| Video ARPU - quarter-to-date5               | $ | 83.53 |  |   | $ | 84.37 |  |   | (1 | )% |
| Voice:                                      |   |   |   |   |   |  |
| Total local access lines in service6        | 50,100 |  |   | 53,400 |  |   | (6 | )% |
| Business Services                           |   |   |   |   |   |  |
| Data:                                       |   |   |   |   |   |  |
| Cable modem subscribers1               | 12,800 |  |   | 14,100 |  |   | (9 | )% |
| Voice:                                      |   |   |   |   |   |  |
| Total local access lines in service6        | 46,400 |  |   | 47,500 |  |   | (2 | )% |
| Combined Consumer and Business Services     |   |   |   |   |   |  |

----

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |  |  |  |  |  |  |  |  |  |  |
| Wireless                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |  |
| Consumer Lifeline wireless lines in service7                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | 28,000 |  |   | 32,900 |  |   | (15 | )% |
| Consumer prepaid wireless lines in service8                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | 23,900 |  |   | 24,500 |  |   | (2 | )% |
| Consumer postpaid wireless lines in service9                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | 145,400 |  |   | 152,600 |  |   | (5 | )% |
| Business Services postpaid wireless lines in service9                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | 28,700 |  |   | 28,600 |  |   | — |  % |
| Total wireless lines in service                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | 226,000 |  |   | 238,600 |  |   | (5 | )% |
| Wireless ARPU - quarter-to-date10                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | $ | 40.06 |  |   | $ | 48.23 |  |   | (17 | )% |
| Cable Modem ARPU - quarter-to-date11                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   | $ | 87.81 |  |   | $ | 83.93 |  |   | 5 |  % |
| 1 A cable modem subscriber is defined by the purchase of cable modem service regardless of the level of service purchased. If one entity purchases multiple cable modem service access points, each access point is counted as a subscriber.                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| 2 A basic subscriber is defined as one basic tier of service delivered to an address or separate subunits thereof regardless of the number of outlets purchased.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| 3 A digital programming tier subscriber is defined as one digital programming tier of service delivered to an address or separate subunits thereof regardless of the number of outlets or digital programming tiers purchased. Digital programming tier subscribers are a subset of basic subscribers.                                                                                                                                                                                                                                                                                                                                                                                            |
| 4 A high-definition/digital video recorder ("HD/DVR") converter box is defined as one box rented by a digital programming or basic tier subscriber. A digital programming or basic tier subscriber is not required to rent an HD/DVR converter box to receive service.                                                                                                                                                                                                                                                                                                                                                                                                                            |
| 5 Applicable average monthly video revenues divided by the average number of basic subscribers at the beginning and end of each month in the period for the three months ended March 31, 2016 and 2015.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| 6 A local access line in service is defined as a revenue generating circuit or channel connecting a customer to the public switched telephone network.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| 7 A Lifeline wireless line in service is defined as a revenue generating wireless device that is eligible for Lifeline support. The Universal Service Fund's Lifeline program is administered by the Universal Service Administrative Company and is designed to ensure that quality telecommunications services are available to low-income customers at affordable rates.                                                                                                                                                                                                                                                                                                                  |
| 8 A prepaid wireless line in service is defined as a revenue generating wireless device where service is purchased in advance of use. The purchased credit is used to pay for wireless services at the point the service is accessed or consumed.                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 9 A postpaid wireless line in service is defined as a revenue generating wireless device where service is provided by a prior arrangement with a subscriber and the subscriber is billed after the fact according to their use of wireless services at the end of each month.                                                                                                                                                                                                                                                                                                                                                                                                                     |
| 10 Average monthly wireless revenues, excluding those from common carrier customers, divided by the average of wireless subscribers at the beginning and end of each month in the period ("Wireless ARPU") for the three months ended March 31, 2016. Average monthly wireless revenues, excluding those from common carrier customers, divided by the number of wireless subscribers at the end of each month for the three months ended March 31, 2015. Revenue used for this calculation includes Wireline segment - Consumer - Wireless, Wireline segment - Business Services - Wireless and wholesale wireless revenues earned from GCI retail subscribers included in the Wireless segment. |
| 11 Applicable average monthly cable modem revenues divided by the average number of subscribers at the beginning and end of each month in the period for the three months ended March 31, 2016 and 2015.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |

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|         |                                                                                                                                                                                                                                                   |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | A $2.1 million or 42% increase in Managed Broadband Cost of Goods Sold primarily due to an increase in circuit costs to provide increased capacity in satellite served locations for ConnectMD® and SchoolAccess® customers and |

|         |                                                                                                                                                                                   |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | A $0.9 million or 5% increase in video Cost of Goods Sold primarily due to increased rates paid to programmers partially offset by a decrease in basic video subscribers. |

|         |                                                                  |
|---------|------------------------------------------------------------------|
| • | A $4.1 million increase in labor and health insurance costs, |

|         |                                                                          |
|---------|--------------------------------------------------------------------------|
| • | A $2.2 million increase in professional and contract services costs, |

|         |                                                                                                                 |
|---------|-----------------------------------------------------------------------------------------------------------------|
| • | A $2.2 million increase in software contracts with subscription licenses instead of perpetual licenses, and |

|         |                                                                                                                     |
|---------|---------------------------------------------------------------------------------------------------------------------|
| • | A $1.1 million increase to support a campaign to encourage public action related to the State of Alaska budget. |

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|         |                                                                                                                                                                                                                                                                                                                                    |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | A $4.5 million unrealized gain for the three months ended March 31, 2016 recorded for a derivative instrument where we issued 3.0 million stock appreciation rights to an affiliate of Searchlight Capital, L.P. ("Searchlight") compared to a $2.1 million unrealized loss for the three months ended March 31, 2015, and |

|         |                                                                                                                                                                                                                                                                                                                 |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The absence of a $2.6 million net loss for the three months ended March 31, 2015, from adjusting to fair value the assets included in the consideration transfered in the Wireless Acquisition and adjusting to fair value amendments to certain agreements related to the right to use ACS network assets. |

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|     |                 |
|-----|-----------------|
| (a) | Not applicable. |

|     |                 |
|-----|-----------------|
| (b) | Not applicable. |

|     |                                                                                                         |
|-----|---------------------------------------------------------------------------------------------------------|
| (c) | The following table provides information about repurchases of shares of our Class A common stock during |

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|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | (a) TotalNumber ofSharesPurchased1 |   | (b) AveragePrice Paidper Share |   | (c) TotalNumber ofSharesPurchased asPart of PubliclyAnnouncedPlans orPrograms2 |   | (d) MaximumNumber (orapproximateDollar Value) ofShares that MayYet BePurchasedUnder the Planor Programs3 |
| January 1, 2016 to January 31, 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | 267,287 |  |   | $ | 18.86 |  |   | 254,078 |  |   | $ | 95,509,160 |  |
| February 1, 2016 to February 29, 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | 321,744 |  |   | $ | 17.75 |  |   | 316,071 |  |   | $ | 89,897,680 |  |
| March 1, 2016 to March 31, 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | 46,048 |  |   | $ | 17.38 |  |   | 41,371 |  |   | $ | 89,249,766 |  |
| Total                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | 635,079 |  |   |   |  |   |   |  |   |   |  |
| 1 Consists of 611,520 shares from open market purchases made under our publicly announced repurchase plan and 23,559 shares from private purchases made to settle the minimum statutory tax-withholding requirements pursuant to restricted stock award vesting.                                                                                                                                                                                                                                                                                                                                            |
| 2 The repurchase plan was publicly announced on November 3, 2004. Our plan does not have an expiration date, however transactions pursuant to the plan are subject to periodic approval by our Board of Directors. We expect to continue the repurchases for an indefinite period dependent on leverage, liquidity, company performance, market conditions and subject to continued oversight by our Board of Directors.                                                                                                                                                                          |
| 3 The total amount approved by our Board of Directors for repurchase under our publicly announced repurchase plan was $383.9 million through March 31, 2016, consisting of $378.9 million through December 31, 2015, and an additional $5.1 million during the three months ended March 31, 2016. We have made total repurchases under the program of $294.7 million through March 31, 2016. If stock repurchases are less than the total approved quarterly amount the difference may be carried forward and used to repurchase additional shares in future quarters, subject to board approval. |

|             |
|-------------|
|             |  |  |  |
| Exhibit No. | Description |
| 10.1        | Twenty-Sixth Amendment to the Full-Time Transponder Capacity Agreement (Pre-Launch) between Intelsat Corporation and GCI Communication, Corp. dated March 7, 2016 # * |
| 31.1        | Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 by our President and Director * |
| 31.2        | Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 by our Senior Vice President, Chief Financial Officer and Secretary * |
| 32.1        | Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 by our President and Director * |
| 32.2        | Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 by our Senior Vice President, Chief Financial Officer and Secretary * |
| 101         | The following materials from General Communication, Inc.'s Quarterly Report on Form10-Q for the quarter ended March 31, 2016, formatted in XBRL (eXtensible BusinessReporting Language): (i) Consolidated Balance Sheets; (ii) Consolidated Statements of Operations; (iii) Consolidated Statements of Stockholders' Equity; (iv) Consolidated Statements of Cash Flows; and (v) Condensed Notes to Interim Consolidated Financial Statements * |
|        |   |   |   |
| #           | CONFIDENTIAL PORTION has been omitted pursuant to a request for confidential treatment by us to, and the material has been separately filed with, the SEC. Each omitted Confidential Portion is marked by three asterisks. |
| *           | Filed herewith. |   |   |

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|                      |
|----------------------|
|                      |  |  |  |  |
| Signature            |   | Title |   | Date |
|                 |   |   |   |   |
|                 |   |   |   |   |
| /s/ Ronald A. Duncan |   | President and Director |   | May 5, 2016 |
| Ronald A. Duncan     |   | (Principal Executive Officer) |   |   |
|                 |   |   |   |   |
| /s/ Peter J. Pounds  |   | Senior Vice President, Chief Financial |   | May 5, 2016 |
| Peter J. Pounds      |   | Officer and Secretary(Principal Financial Officer) |   |   |
|                 |   |   |   |   |
| /s/ Lynda L. Tarbath |   | Vice President, Chief Accounting |   | May 5, 2016 |
| Lynda L. Tarbath     |   | Officer (Principal Accounting Officer) |   |   |