iPCS Reports 3Q Results

iPCS, a PCS Affiliate of Sprint Nextel, reported financial and operational results for its third quarter ended September 30.

In a release dated November 3, the company stated:

Third Quarter Highlights:

- Total revenues of $141.4 million compared to $132.1 million in the prior year quarter ended September 30, 2008.

- Net Income of $2.7 million, or $0.16 per diluted share, compared to a net loss of $7.5 million, or $0.44 per diluted share, in the prior year quarter.

- Adjusted EBITDA of $23.6 million compared to $14.7 million in the prior year quarter. Included in Adjusted EBITDA for the current year third quarter is approximately $3.0 million in Sprint-related litigation expenses. Included in Adjusted EBITDA for the prior year quarter is approximately $5.3 million in Sprint-related litigation expenses.

- Capital expenditures of $10.9 million compared to $11.4 million for the prior year quarter.

- Subscriber activity for the quarter as follows:

- - Gross additions of approximately 68,300 compared to 72,200 for the prior year quarter.

- - Net additions of approximately 9,900 compared to 20,400 for the prior year quarter.

- - Monthly churn, net of 30 day deactivations, of approximately 2.4 percent, compared to 2.3 percent for the prior year quarter.

- - Ending subscribers of approximately 720,100 compared to 674,400 for the prior year quarter.

As previously disclosed, on October 18, the company, Sprint Nextel and Ireland Acquisition, a subsidiary of Sprint Nextel, entered into an Agreement and Plan of Merger pursuant to which, among other things, on October 28, the purchaser commenced a tender offer to acquire all of the company's outstanding shares of common stock, par value $0.01 per share, at a price of $24.00 per share in cash, subject to required withholding taxes and without interest.

In light of the proposed transaction with Sprint Nextel described above, the company is withdrawing its full year 2009 operating and financial guidance and will not be hosting an earnings conference call for its third quarter results.

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