Subject: [NEXTEL-1] Nextel to interconnect US, Mexican networks

From: Marcel <[email-masked]>
Date: Wed, 12 Mar 2003 09:31:03 -0500

Nextel to interconnect US, Mexican networks

March 3, 2003 5:02pm

Regional trunking operator NII Holdings plans to deploy a cross-border network along the
western end of the
US-Mexican frontier in 2H03, to help cut down on international long distance settlement
costs, Mexican
daily El Informador reported, quoting Gustavo Cantu, VP of business development for the
company's local
subsidiary Nextel Mexico.

Nextel Mexico will deploy "a totally integrated
network" linking the US cities of San Diego
and Las Vegas with the Mexican cities of
Tijuana, Ensenada and Mexicali, Cantu said. A
spokesperson for NII confirmed to BNamericas
that Nextel Mexico will be deploying such a
network this year. The company obtained the
necessary spectrum in a spectrum swap with
US-based parent Nextel Communications
(Nasdaq: NXTL), which came as part of its debt
restructuring agreement completed last year,
she said.

This year the company will also look to
digitalize its trunking network in various parts
of the country, Cantu said, naming in particular
the cities of Córdoba, Orizaba, San Luis
Potosí, Tijuana, Mexicali, Tecate and
Ensenada. Nextel Mexico has just
inaugurated its network in the gulf port city of Veracruz, the spokesperson added.

Other investments could be made provided that the company obtains additional spectrum
licenses for which
it is currently negotiating. NII CFO Byron Siliezar recently told BNamericas the company
is in negotiations
with the Mexican government and private license holders to acquire additional spectrum in
Mexico.

Nextel Mexico reported net income of US$88.5mn and Ebitda of US$142mn for 2002, and
increased its
client base 29% during the year to reach 517,000 subscribers.

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