VERIZON WIRELESS COMPLETES PURCHASE OF ALLTEL; CREATES NATION’S LARGEST WIRELESS CARRIER

January 9, 2009

BASKING RIDGE, N.J. - Verizon Wireless, a joint venture of VerizonCommunications (NYSE: VZ) and Vodafone (NYSE LSE: VOD), announced todayit has completed its purchase of Alltel Corporation from AtlantisHoldings LLC.  Consistent with the terms of the transaction announcedon June 5, 2008, Verizon Wireless paid approximately $5.9 billion forthe equity of Alltel.  Immediately prior to the closing, the Allteldebt associated with the transaction, net of cash, was approximately$22.2 billion.


The acquisition expandsVerizon Wireless’ network coverage to approximately 290 million people,nearly the entire United States population, and increases the company’scustomers by 12.9 million, after conforming adjustments and beforerequired divestitures, making it the largest wireless carrier in thecountry with more than 83.7 million total customers, based on thirdquarter 2008 reported results from both companies. Approximately 2.1million of those total customers are in markets that will be divestedby Verizon Wireless in the coming months, as required by the Departmentof Justice (DOJ) and the Federal Communications Commission (FCC) as acondition of the merger approval.


Market Integration

Inmarkets that will be retained and combined with Verizon Wireless’operations, the company will continue to use the Alltel brand for thenext several months, as it works to integrate networks, convert billingsystems and upgrade high-speed wireless broadband service.  VerizonWireless will maintain Alltel’s existing GSM networks in retainedAlltel markets to continue serving the roaming needs of GSM carriers’customers.


Alltel customers in marketsto be retained will receive a letter during the next few weeksinforming them about the purchase and the wide array of new andadvanced services that will be available to them when they transitionto Verizon Wireless, including the latest wireless data servicesdelivered on the nation’s largest 3G high-speed wireless broadbandnetwork.  In addition, when Alltel systems are upgraded in the nearfuture, Alltel customers will have access to the largestmobile-to-mobile calling community in the country, allowing them to usetheir mobile-to-mobile minutes for calls with Verizon Wirelesscustomers without using their plan minutes.  


Alltelcustomers do not need to take any action at this time.  Customers’current service plans, prices and features, including My Circle, willremain the same throughout the transition.  Verizon Wireless willnotify customers, by mail, about any changes that may impact theirservice in the future.  Since Verizon Wireless and Alltel use the sametechnology platform, the vast majority of customers will be able to usetheir current handset after the transition to Verizon Wireless. Additional information for customers is available at www.alltel.com.   


Verizon Wireless will re-brand Allteloperations in the retained markets in phases, beginning in the secondquarter and continuing through the third quarter of 2009, as billingconversions are completed throughout the country. During the transitionperiod, Alltel-branded stores will remain open to serve customers.


Alltelemployees below executive level will continue in their present jobs asVerizon Wireless assesses staffing needs required to best servecustomers and achieve synergies.


Divestiture Markets

Asa condition of the regulatory approvals by the DOJ and the FCC thatwere required to complete the Alltel purchase, Verizon Wireless willdivest overlapping properties in 105 markets across 24 states.  Allteloperations will be divested in most of these markets.  Verizon Wirelesswill divest its own pre-merger operations in four markets, as well asthe Rural Cellular Corporation (RCC) operations in southern Minnesotaand western Kansas, operating under the Unicel brand, which VerizonWireless acquired last August. 


VerizonWireless has placed licenses and assets for the markets to be divestedin a management trust.  The trust will continue to operate the marketsunder their current brands until they are sold to one or more buyers. As a result, these markets will not be integrated into Verizon Wirelessoperations.


Financial Information

VerizonWireless expects to realize synergies with a net present value, afterintegration costs, of more than $9 billion, driven by aggregate capitaland operating expense savings. 


VerizonWireless used a combination of cash generated from operations, Alltelcash, proceeds from capital markets transactions, and borrowings fromlenders under credit facilities, including the borrowing, immediatelyprior to the acquisition, of $12.35 billion under a new 364-day creditfacility, to purchase the equity of Alltel and to acquire and repayAlltel’s debt.  Following the completion of a series of financingtransactions later today, Alltel and its subsidiaries will have reducedthe debt that is owed to third parties to approximately $2.7 billion,which is expected to decline further to approximately $2.5 billionwithin the next 30 days.

  

VerizonWireless announced its agreement, subject to regulatory approval, toacquire Alltel in June 2008.  The DOJ approved the transaction inOctober and the FCC approved it in early November.


EDITOR’S NOTE:  A list of markets to be divested, by state and county, appears at the end of this release.


About Verizon Wireless

VerizonWireless operates the nation’s most reliable wireless voice and datanetwork, serving 83.7 million customers. Headquartered in BaskingRidge, N.J., with 85,000 employees nationwide, Verizon Wireless is ajoint venture of Verizon Communications (NYSE: VZ) and Vodafone (NYSEand LSE: VOD).  For more information, go to: www.verizonwireless.com.To preview and request broadcast-quality video footage andhigh-resolution stills of Verizon Wireless operations, log on to theVerizon Wireless Multimedia Library at www.verizonwireless.com/multimedia.

State/CMA: Counties


Alltel Properties that will be sold


Alabama

  • Dothan AL MSA (CMA 246): Dale, Houston
  • AL RSA 7 (CMA 313): Butler, Coffee, Covington, Crenshaw, Geneva, Pike

Arizona

  • AZ RSA 5 (CMA 322): Gila, Pinal

California

  • CA RSA 6 (CMA 341): Inyo, Mono

Colorado

  • CO RSA 4 (CMA 351): Chaffee, Custer, Fremont, Lake, Park
  • CO RSA 5 (CMA 352): Cheyenne, Elbert, Kit Carson, Lincoln
  • CO RSA 6 (CMA 353): Dolores, Hinsdale, La Plata, Montezuma, Ouray, San Juan, San Miguel
  • CO RSA 7 (CMA 354): Alamosa, Archuleta, Conejos, Mineral, Rio Grande, Saguache
  • CO RSA 8 (CMA 355): Bent, Crowley, Kiowa, Otero, Prowers
  • CO RSA 9 (CMA 356): Baca, Costilla, Huerfano, Las Animas

Georgia

  • Albany GA MSA (CMA 261): Dougherty, Lee
  • GA RSA 6 (CMA 376): Crawford, Harris, Meriwether, Pike, Talbot, Taylor, Upson
  • GA RSA 7 (CMA 377): Johnson, Laurens, Washington, Wilkinson
  • GA RSA 8 (CMA 378): Bulloch, Burke, Candler, Emanuel, Glascock, Jefferson, Jenkins, Screven, Treutlen, Warren
  • GA RSA 9 (CMA 379): Clay, Crisp, Dooly, Macon, Marion, Quitman, Randolph, Schley, Stewart, Sumter, Terrell, Webster
  • GA RSA 10 (CMA 380): Ben Hill, Bleckley, Coffee, Dodge, Irwin,Jeff Davis, Montgomery, Pulaski, Telfair, Turner, Wheeler, Wilcox
  • GA RSA 12 (CMA 382): Camden, Glynn, Liberty, Long, McIntosh, Wayne
  • GA RSA 13 (CMA 383): Baker, Calhoun, Decatur, Early, Grady, Miller, Mitchell, Seminole, Thomas

Idaho

  • ID RSA 2 (CMA 389): Adams, Gem, Idaho, Payette, Valley, Washington
  • ID RSA 3 (CMA 390): Boise, Custer, Lemhi

Illinois

  • ILRSA 8 (CMA 401): Alexander, Franklin, Jackson, Jefferson,Johnson,Massac, Perry, Pulaski, Randolph, Union, Washington, Williamson
  • IL RSA 9 (CMA 402): Clay, Edwards, Gallatin, Hamilton, Hardin, Lawrence, Pope, Richland, Saline, Wabash, Wayne, White

Iowa

  • Sioux City IA-NE MSA (CMA 253): Woodbury, Dakota
  • IA RSA 8 (CMA 419): Crawford, Harrison, Monona, Shelby
  • IA RSA 16 (CMA 427): Cherokee, Lyon, O'Brien, Osceola, Plymouth, Sioux

Michigan

  • Muskegon MI MSA (CMA 181): Muskegon, Oceana

Minnesota

  • MN RSA 1 (CMA 482): Kittson, Marshall, Pennington, Red Lake, Roseau
  • MN RSA 2 (CMA 483): Beltrami, Clearwater, Lake of the Woods, Mahnomen, Norman

Montana

  • Billings MT MSA (CMA 268): Yellowstone
  • Great Falls MT MSA (CMA 297): Cascade
  • MT RSA 1 (CMA 523): Flathead, Glacier, Lake, Lincoln, Pondera, Sanders, Teton
  • MT RSA 2 (CMA 524): Blaine, Chouteau, Hill, Liberty, Toole
  • MT RSA 4 (CMA 526): Daniels, Dawson, McCone, Richland, Roosevelt, Sheridan, Wibaux
  • MT RSA 5 (CMA 527): Granite, Lewis and Clark, Mineral, Missoula, Powell, Rivalli
  • MT RSA 6 (CMA 528): Broadwater, Deer Lodge, Jefferson, Judith Basin, Meagher, Silver Bow, Wheatland
  • MT RSA 7 (CMA 529): Fergus, Golden Valley, Musselshell, Petroleum, Stillwater, Sweet Grass
  • MT RSA 8 (CMA 530): Beaverhead, Gallatin, Madison, Park
  • MT RSA 9 (CMA 531): Big Horn, Carbon, Rosebud, Treasure
  • MT RSA 10 (CMA 532): Carter, Custer, Fallon, Powder River, Prairie

Nevada

  • NV RSA 2 (CMA 544): Elko, Eureka, Lander
  • NV RSA 5 (CMA 547): Lincoln, White Pine

New Mexico

  • Las Cruces NM MSA (CMA 285) Dona Ana
  • NM RSA 1 (CMA 553): Cibola, McKinley, Rio Arriba, San Juan, Taos
  • NM RSA 5 (CMA 557): Grant, Hidalgo, Luna
  • NM RSA 6 (CMA 558): Chaves, Eddy, Lee, Lincoln, Otero

North Carolina

  • Hickory NC MSA (CMA 166): Alexander, Burke, Catawba
  • NC RSA 2 (CMA 566): Avery, Caldwell, Mitchell, Watauga, Yancey
  • NC RSA 5 (CMA 569): Anson, Montgomery, Richmond, Scotland

North Dakota

  • Bismarck ND (CMA 298): Burleigh, Morton
  • Fargo-Moorehead ND-MN MSA (CMA 221): Clay, Cass
  • Grand Forks ND-MN MSA (CMA 276): Polk, Grand Forks
  • ND RSA 1 (CMA 580): Burke, Divide, McLean, Mountrail, Renville, Ward, Williams
  • ND RSA 2 (CMA 581): Benson, Bottineau, Cavalier, McHenry, Pierce, Ramsey, Rolette, Towner
  • ND RSA 3 (CMA 582): Barnes, Dickey, Griggs, LaMoure, Nelson, Pembina, Ransom, Richland, Sargent, Steele, Traill, Walsh
  • ND RSA 4 (CMA 583): Adams, Billings, Bowman, Dunn, Golden Valley,Grant, Hettinger, McKenzie, Mercer, Oliver, Sioux, Slope, Stark
  • ND RSA 5 (CMA 584): Eddy, Emmons, Foster, Kidder, Logan, McIntosh, Sheridan, Stutsman, Wells

Ohio

  • Lima OH MSA (CMA 158): Allen, Auglaize, Putnam, Van Wert
  • Mansfield OH MSA (CMA 231): Richland
  • OH RSA 2 (CMA 586): Erie, Huron, Sandusky, Seneca
  • OH RSA 3 (CMA 587): Ashtabula
  • OH RSA 5 (CMA 589): Crawford, Hancock, Hardin, Marion, Wyandot
  • OH RSA 6 (CMA 590): Ashland, Coshocton, Holmes, Knox, Licking, Morrow, Wayne

South Carolina

  • Anderson SC MSA (CMA 227): Anderson
  • SC RSA 1 (CMA 625): Oconee
  • SC RSA 2 (CMA 626): Abbeville, Edgefield, Greenwood, Laurens, McCormick, Newberry, Saluda
  • SC RSA 3 (CMA 627): Cherokee, Chester, Fairfield, Union
  • SC RSA 7 (CMA 631): Allendale, Bamberg, Barnwell, Calhoun, Orangeburg

South Dakota

  • Rapid City SD MSA (CMA 289): Meade, Pennington
  • Sioux Falls SD MSA (CMA 267): Minnehaha
  • SD RSA 1 (CMA 634): Butte, Harding, Lawrence, Perkins
  • SD RSA 2 (CMA 635): Campbell, Corson, Dewey, Potter, Walworth, Ziebach
  • SD RSA 3 (CMA 636): Brown, Edmunds, Faulk, McPherson, Spink
  • SDRSA 4 (CMA 637): Clark, Codington, Day, Deuel, Grant, Hamlin,Marshall,Roberts SD RSA 5 (CMA 638): Custer, Fall River, Shannon
  • SD RSA 6 (CMA 639): Bennet, Gregory, Haakon, Jackson, Jones, Lyman, Mellette, Stanley, Todd, Tripp
  • SD RSA 7 (CMA 640): Aurora, Brule, Buffalo, Charles Mix, Davison, Douglas, Hand, Hughes, Hyde, Jerauld, Sully
  • SD RSA 8 (CMA 641): Beadle, Brookings, Kingsbury, Lake, Miner, Moody, Sanborn
  • SD RSA 9 (CMA 642): Bon Homme, Clay, Hanson, Hutchinson, Lincoln, McCook, Turner, Union, Yankton
Tennessee
  • TN RSA 8 (CMA 650): Johnson

Utah

  • UT RSA 3 (CMA 675): Juab, Millard, Sanpete, Sevier
  • UT RSA 4 (CMA 676): Beaver, Iron, Washington
  • UT RSA 5 (CMA 677): Carbon, Daggett, Duchesne, Emery, Grand, Uintah
  • UT RSA 6 (CMA 678): Garfield, Kane, Piute, San Juan, Wayne

Virginia

  • Danville VA MSA (CMA 262): Pittsylvania, Danville City
  • VA RSA 1 (CMA 681): Buchanan, Dickenson, Lee, Russell, Wise, Norton City
  • VA RSA 8 (CMA 688): Amelia, Brunswick, Lunenberg, Mecklenburg, Nottoway

Wyoming

  • Casper WY MSA (CMA 299): Natrona
  • WY RSA 1 (CMA 718): Big Horn, Hot Springs, Park, Washakie
  • WY RSA 2 (CMA 719): Campbell, Crook, Johnson, Sheridan, Weston
  • WY RSA 4 (CMA 721): Albany, Goshen, Laramie, Niobrara, Platte
  • WY RSA 5 (CMA 722): Converse


Verizon Wireless Properties that will be sold


Michigan

  • MIRSA 5 (CMA 476): Benzie, Lake, Leelanau, Manistee, Mason,Missaukee,Osceola, Wexford MI RSA 7 (CMA 478): Gratiot, Isabella,Mecosta,Montcalm, Newaygo

Minnesota

  • MN RSA 7 (CMA 488): (see also Unicel): Chippewa, Kandiyohi, McLeod, Meeker, Nicollet, Renville, Sibley

Nebraska

  • NE RSA 5 (CMA 537): Boone, Butler, Colfax, Dodge, Merrick, Nance, Platte, Polk, Saunders, Washington


Unicel (RCC) Properties that will be sold


Kansas

  • KS RSA 1 (CMA 428): Cheyenne, Decatur, Rawlins, Sheridan, Sherman, Thomas
  • KS RSA 2 (CMA 429): Graham, Norton, Osborne, Phillips, Rooks, Smith
  • KS RSA 6 (CMA 433): Gove, Greeley, Lane, Logan, Scott, Wallace, Wichita
  • KS RSA 7 (CMA 434): Barton, Ellis, Ness, Pawnee, Rush, Russell, Trego
  • KS RSA 11 (CMA 438): Finney, Grant, Hamilton, Haskell, Kearny, Morton, Seward, Stanton, Stevens
  • KS RSA 12 (CMA 439): Clark, Ford, Gray, Hodgeman, Meade
  • KS RSA 13 (CMA 440): Barber, Comanche, Edwards, Kiowa, Pratt, Stafford

Minnesota

  • MN RSA 7 (CMA 488) (see also VzW): Chippewa, Kandiyohi, McLeod, Meeker, Nicollet, Renville, Sibley
  • MN RSA 8 (CMA 489): Lac qui Parle, Lincoln, Lyon, Redwood, Yellow Medicine
  • MN RSA 9 (CMA 490): Brown, Cottonwood, Jackson, Martin, Murray, Nobles, Pipestone, Rock, Watonwan
  • MN RSA 10 (CMA 491): Blue Earth, Faribault, Freeborn, Le Sueur, Rice, Steele, Waseca


For additional information contact:


Robin B. Nicol
Verizon Wireless
908.559.7515
Robin.Nicol@verizonwireless.com