(a) In addition to any purchase of merchandise required by AS 45.45.710, if a distributor terminates a distributorship agreement or makes substantial changes in the competitive situation of the distributor's dealer with regard to distribution of the merchandise or services that are the subject of the distribution agreement, the distributor shall

1. (1) purchase that portion of the dealer's business directly affected by the distributorship agreement or the change, including assets and machinery, at commercially reasonable business valuations; and

2. (2) reimburse the dealer for the expenses that were necessarily incurred by the dealer

   1. (A) for that portion of the dealer's business covered by the distributorship agreement; and
   2. (B) during the 12 months before the termination or change.