wow that was quick

http://biz.yahoo.com/ap/041215/sprint_nextel_6.html

Associated Press
Sprint, Nextel to Merge in $35B Deal
Wednesday December 15, 7:36 am ET
Sprint, Nextel to Merge in $35B Deal That Would Create 3rd Largest Wireless Phone Service Provider

NEW YORK (AP) -- Telecommunications giants Sprint Corp. and Nextel Communications Inc. have agreed to merge in $35 billion deal that would create the nation's third largest wireless telephone service provider.

The widely rumored deal announced Wednesday would create a company that would be known as Sprint Nextel that would had about $40 billion in combined revenue in the latest year and would serve more than 35 million wireless subscribers, trailing only the industry leaders Cingular Wireless and Verizon Wireless.

Sprint would get access to Nextel's large base of business customers as a result of the deal while Nextel would get an opportunity to expand faster as it was approaching a decision on a big investment in upgrading its network infrastructure.

The deal was structured as merger of equals that values each company at about $35 billion.

After completion of the deal, the companies said that Sprint's local telecommunications business would be spun off to the combined company's shareholders. The local telecom business accounted for about $6 billion of the combined company's revenues.

Sprint Nextel will have its executive headquarters in Reston, Va., where Nextel is now based and its operational headquarters in Overland Park, Kan., where Sprint has its headquarters.

Sprint chairman and chief executive Gary D. Forsee will become president and CEO of Sprint Nextel, and Timothy M. Donahue, currently president and CEO of Nextel, will become chairman of the new company.

The new company's board would consist of 12 members with six from each company.

"This merger positions Sprint Nextel for greater success than either company could have achieved alone," Forsee said in a statement.

Sprint currently ranks as the nation's third biggest wireless company as well as the third largest in long-distance service. Nextel ranks fifth in U.S. wireless service.

Under terms of the deal, Sprint shareholders would get one share of the new company for each Sprint share while Nextel shareholders would get the equivalent of 1.3 Sprint Nextel shares for each of their shares.

At today's rates, each Nextel share would be exchanged for 1.28 Sprint Nextel shares and 50 cents in cash.

The exact breakdown for Nextel shareholders will be determined later, but the cash payment won't exceed $2.8 billion.

 

just wondering if they will keep the sprint name

 

.

 

Wonder what changes will happen for customers?

Haven't seen anything on that yet

Other junk

Headquarters in Reston VA
Stock will remain Sprint (aka Nextel is getting shares of Sprint)

 

i actually took the time to read what i posted :embarrassed:

 

Interesting news, one of our biggest clients is Sprint so hopefully this will generate more biz.

 

I just read this and was going to open the same thread.

http://www.reuters.com/newsArticle.j...toryID=7101765


So will Sprint's readylink be linked to Nextels direct connect??

 

Maybe they'll give Sprint customers a free trial

 

I've had readylink on Sprint for 6 months and still haven't found anyone else who has it... I hope they hook this up with nextel so I can use the damn thing.

 

I just hope I can get a better signal with my nextel now! Hopefully they will start sharing towers

 

i called it

 

This sounds like it could turn into something great for customers. These two companies both bring together some cool as technology whereas the others I don't think are as good. we'll see though.

 

No one bought anyone, they merged, I think the $35 Billion is a amount for there merger not buying each other out, I still dont understand what the amount is really for though, like is that what they are worth after the merger?

 

So what about verizon buying Sprint/Nextel??? Still a rumor?

Also, does this mean sprint customers get the mobile to mobile thing with nextel customers???

 

Verizon was interested in sprint only but that fell through. Eventually all sprint and nextel phones will be under one company so anyone with a nextel 2 way will work with a sprint 2 way, but all of the nextel phones will get replaced, they wont work on sprints network. However, the merging of networks and companys wont happen until sometime in late 2005 i heard? I would be willing to bet T-Mobile will be put up on the chopping block in 06 and cingular will buy them out, followed by verizon buying the new sprint/nextel.

 

^ who has the most money? Anyone have those stats?

 

verizon is a lot better off financially then nextel and sprint, even combined. as far as verizon vs cingular, id have to say verizon wireless since they are backed by verizon and vodaphone. I think verizon will eventually buy out the new sprint/nextel but it wont happen for a couple more years. tmobile is going to go sometime in either late 05 or 2006. after the nextel/spring merger they wont be half as large in terms of customers as the next largest provider who will either be verizon or sprint nextel. deutche telecom really has no incentive to stay in the market.

 

But I figured they need to update their service to all GSM...(verizon) cause whats the point? every1 is moving to GSM its larger in techonology and in for the future of cell phones... Only problem Verizon doesnt have the funds to convert their towers or even tear down and rebuild the new1s..

 

sorry but your wrong, the US is not going to switch to GSM. CDMA offers better capability for high speed data, etc. it doesnt matter if the rest of the world uses GSM, the rest of the world uses the metric system, but you dont see us changing do you? phones are starting to come out that support both CDMA and GSM, eventually your verizon phone will be able to roam onto cingulars network etc.

 

^ He is Right

WCDMA is got a lot faster high speed network and they also use Sim Cards, by the way the rest of the world does not all USE GSM, Japan doesnt They use W-CDMA.

 

yup, i forget who else in asia uses wcdma but i know there are a couple countries. i have traveled extensively in europe, probably spent over a year there and a lot of people dont realize how far behind us they are technology wise. things like high speed internet, hdtv all take a couple years longer then in the US. cell phones they get some cooler ones, but most stuff is behind what we have. i doubt cingular will ever switch over to wcdma since some people will always prefer it to cdma, i believe the clarity is better but i might be wrong. verizon will most likely eventually buy out this new sprint nextel. sprint is heavily in debt and it will be interesting to see how this merger goes, transferring nextel from iden to cdma isnt as easy as flipping a switch.

 

I am waiting for the Video Technology they have in ASIA on broadband internet, where you can use your phone and see the person on the other side and VICE VERSA

 

It is a lot easier for stuff to get implemented in asia like that because many of these countries are the size of a medium size state. Think about if verizon or cingular only had to put money into New Jersey.

 

I hope us Sprint customers can start chirpin too!

 

I hope they leave Nextels 2way system intact because Sprints feature is no comparision.

I hope that Nextel adopts Sprints cellular high points because the coverage isnt the best.

 

I believe they already have. My sister attends college on the Eastern Shore and she gave up her Nextel for a Sprint because it did not work out there. All of a sudden last week her Nextel got service.

 

^ that has nothing to do with the merger, you wont see any changes in service until this time next year.