Sprint Nextel Continues Support for Hurricane Katrina Relief

Business Wire, Sept 14, 2005

RESTON, Va. -- Sprint Nextel (NYSE:S):

--Company Estimates Financial Impact between $150 and $200 Million

--Employees and Company Contribute More Than $6.5 Million to Hurricane Relief

--Wireless Network Restoration Complete in Alabama, Continues in Louisiana and Mississippi

--Wireline Long-Distance and Data Service Efforts Proceed at Steady Pace

Sprint Nextel (NYSE:S) today provided a progress update on the restoration of telecommunications services in the Gulf Region. The company estimated the financial impact of Hurricane Katrina to be in the range of $150 to $200 million net of expected insurance recovery. This estimate includes capital and operating costs primarily associated with restoration of network infrastructure and retail operations and billing relief for impacted customers. The financial impact is expected to occur over the balance of 2005 and be substantially completed by year-end. Sprint Nextel also estimates the value for its financial and in-kind charitable giving to support the victims of the hurricane and those serving them stands today at $6.5 million.

"The impact of Hurricane Katrina on Sprint Nextel pales in comparison to the personal losses suffered by our customers and the people of the Gulf Coast states and, in particular, New Orleans," said Gary Forsee, president and CEO of Sprint Nextel. "Those customers and our customers around the country depend on us every day - whether to connect with friends and loved ones or to run their businesses," Forsee noted. "We've been working tirelessly to restore service as soon as possible so the people who have lost so much because of this disaster can get on with the business of rebuilding their lives."

More Than $6.5 Million Raised and Contributed for Hurricane Relief

Through donated wireless phones, pre-paid calling cards, meals for relief workers and cash contributions, Sprint Nextel, its foundation and employees have contributed cash and in-kind donations worth more than $6.5 million for the individuals and communities across the Gulf Coast region, as well as for evacuees around the country. Contributions to the American Red Cross (ARC) include:

--$855,000 in contributions from the company, BOOST Mobile, employees and a Sprint Nextel Foundation grant;

--$830,000 in proceeds from the 3rd annual Nextel Invitational Charity Golf Event held yesterday in Leesburg, Va.;

--2,500 wireless phones and service to support ARC operations;

--$130,000 worth of national print and broadcast advertising supporting ARC's 1-800-HELP-NOW campaign; and

--the wireless industry's text-message campaign to benefit hurricane relief. Sprint PCS, Nextel and BOOST Mobile customers can text message the word "GIVE" to the short code 2-HELP (24357) to make a $5 donation to hurricane relief. Standard text-messaging charges will apply.

Sprint Nextel also is continuing its dedicated support for public safety, emergency response and first responders. The company has provisioned and deployed more than 4,500 wireless phones and service for the men and women dedicated to the hurricane relief efforts. Included in this donation is more than 3,000 Nextel phones enabled with Nextel Direct Talk(SM), the company's off-network walkie-talkie service. Nextel Direct Talk-enabled phones made communication possible for public safety workers working in and around New Orleans at a time when no cellular service from any provider was available.

In addition, Sprint Nextel has donated approximately $1 million to feed 1,000 Gulfport, Miss., hurricane relief workers three meals a day for two weeks.

As Gulf Coast residents disperse to areas around the country, Sprint Nextel employees are on-hand to offer their support. Employees in Kansas, Texas, Louisiana, Mississippi, Alabama and Florida are organizing grassroots drives to collect clothing and school supplies for evacuees relocating to their areas. To support those efforts, the company has contributed more than 35,000 prepaid calling cards and a limited number of phones with service to relief workers in the Houston metropolitan area.

Service Restoration Efforts Continue Around the Clock at "Sprint City"

Efforts to restore wireless and wireline services are being coordinated from a mobile command center based in Baton Rouge, La. Dubbed "Sprint City" by employees, the command center is now home to more than 300 field technicians and engineers, as well as support staff, working to repair cell sites and refuel generators as needed. (For more information on Sprint City, go to www.sprint.com/hurricaneinfo).

Sprint Nextel continues to make progress in its service restoration efforts. More than 90 percent of its wireless network in Mississippi and more than 70 percent in Louisiana is now operational. Service continues to improve in the New Orleans area though many sites are currently under water and will take longer to restore. The company has focused its wireless service restoration efforts in areas, such as Baton Rouge, that have seen an influx of evacuees and disaster relief personnel and is adding additional capacity to handle larger call volumes.