Letter To Shareholders Continued: Looking Ahead We will continue to Enhance the Overall Customer Experience We will Grow Within our Cost Structure We will be known as Alaska’s Premier Wireless Provider  Liane Pelletier I thank you for your support of Alaska Communications  Systems.  Sincerely, Record growth in our wireless subscriber base represents  Alaskans’ vote of support for the ACS CDMA network. Our CDMA 1xRTT and EV-DO (3G) network features  the best voice quality, fewest dropped and blocked calls,  and highest mobile data speeds in Alaska. In fact, our  wireless data network is arguably the most advanced and  complete anywhere in the country given our customers’  typical travel patterns. Customers can take ACS wireless  across the state and maintain their mobile voice and data  Our strategy to compete as an integrated  telecommunications provider reflects what customers  want, it differentiates us from our competitors and it  represents a smart economic model for ACS. We will  sharpen our market competitiveness as we continue  to drive improved quality, as we deploy advanced  technologies and as we contain costs. Throughout the  company, we are confident in our ability to deliver on  these objectives as we grow ACS. Customers’ needs define which products we deliver  and we aim to provide the best quality products in the  state. Our unique mix of assets in Alaska – statewide  wireless and wireline – allows for functionally-integrated  products and allows for tremendous growth in the  industry’s hottest areas – wireless and DSL. Alongside  these high-demand services, ACS also serves our  customers’ local and long distance voice and data needs,  encompassing all elements of the telecom wallet. Our  goal to make it easier to do business with ACS has  driven us to open additional retail outlets, extend our  work hours, enhance our bills, cross-train our sales  representatives and much more. We listen as customers  tell us which products they need and how they would  like to receive them. Our assets and our customer-centric focus allow  us to achieve much growth from within. But even  that growth comes with cost. Our approach toward  profitable and efficient growth centers on process  improvement initiatives that are standardizing practices  and streamlining functions, which in turn release the  funds necessary to support our growth in revenues. We  reap additional benefit in that these same actions also  improve the customer experience.  Our path for 2005 is clear. We will grow the number of  loyal customers by competing as an integrated telecom  company. sessions. The strength of our wireless product allows us  to attract new and win back former customers, each also  a prime candidate for other ACS services. ACS Increases Dividend  to Shareholders  March 2005 ACS Completes  Debt & Equity Refi nancing February 2005 Dividend Reinvestment  Plan Initiated  April 2005 Innovative Collective  Bargaining Agreement Effective March 2005 Corporate Headquarters: Alaska Communications Systems, 600 Telephone Avenue, Anchorage, AK 99503 907.297.3000 NASDAQ: ALSK Investors Web Address: www.alsk.com General Web Address: www.acsalaska.com WIRELESS INTERNET LOCAL LONG DISTANCE TELEVISION 2004 Letter to Shareholders