U.S. Cellular Completes Exchange of Wireless Assets With Alltel
December 20th, 2005
United States Cellular Corporation announced today that it had completed an exchange with a subsidiary of Alltel Corporation. The exchange is for 850 MHz cellular properties that enhance the operations of both companies. Under the agreement, U.S. Cellular acquired fifteen Rural Service Area (RSA) markets in Kansas and Nebraska. Alltel acquired two RSA markets in Idaho and received $50 million in cash, subject to working capital adjustments.
U.S. Cellular acquired six markets in Kansas and nine markets in Nebraska. The Kansas markets are RSA 3, 4, 8, 9, 10 and 14. The Nebraska markets are RSA 2 through 10. As of Sept. 30, 2005, the Kansas and Nebraska markets represented a total population of 1.4 million and total customers of approximately 146,000 of which 123,000 were retail customers.
The Idaho markets acquired by Alltel, RSA 5, 6 and fill-in areas within RSA 3, represented a total population of 493,000 and approximately 92,000 customers of which 90,000 were retail customers.
As of Sept. 30, U.S. Cellular, the nation’s sixth-largest wireless service carrier, provided wireless service to 5.3 million customers in 25 states. The Chicago-based company operates on a customer satisfaction strategy, meeting customer needs by providing a comprehensive range of wireless products and services, superior customer support and a high-quality network.
