Subject: [NEXTEL-1] Timmy still quiet about the "SCAM PLAN"

From: NEXTEL-1
Date: Mon, 12 Jul 2004 13:19:04 -0400

Timmy still quiet about "SCAM PLAN"

WASHINGTON—In his first public appearance since the Federal Communications Commission adopted a Nextel-favorable but costly plan to solve public-safety interference in the 800 MHz band July 8, Timmy Donahue, chief executive officer of Nextel Communications Inc., refused to answer any questions regarding the plan. 

Donahue appeared at the National Press Club Monday morning to announce that Nextel was partnering with the National Center for Missing and Exploited Children and Communications Laboratories to develop a wireless Amber Alert system. 

The new feature for Nextel users, which Donahue hopes to make available nationwide within the next year, will use 800 MHz spectrum and is not dependent on the company receiving spectrum in the 1.9 GHz band, he said. 

Donahue’s silence, while he waits for the full text of the order to be released, which could be months from now, echoes the silence of the company following the FCC’s decision. 

At the FCC meeting July 8, FCC Chairman Michael Powell hinted that Nextel might not like the details of the plan. 

“The question now shifts to Nextel. It has been a good partner and worked cooperatively with the FCC and public safety to bring a workable plan together. In many ways, we have adopted a plan along the lines that Nextel has urged. We have not, however, approved its plan outright because we always remain cognizant that our allegiance is only to the public good, not the
private good.

But it is a fair balance of the issues, and it is the best solution this commission can find. I am confident Nextel will make the best choice for its shareholders as it must, but we urge them to make the best choice for the good of the American people, as it should,” said Powell at the July 8 meeting. 

The FCC voted unanimously to reconfigure the 800 MHz band to solve public-safety interference, award Nextel spectrum in
the 1.9 GHz band and require Nextel to secure a letter of credit worth $2.5 billion and pay extra money to the U.S. treasury if
relocation expenses and the value of 800 and 700 MHz spectrum it relinquishes does not total $4.8 billion. 
The FCC has valued the 1.9 GHz spectrum at $4.8 billion. It has valued the 800 MHz and 700 MHz band spectrum that
Nextel will relinquish as part of the reconfiguration at $1.6 billion. 

Nextel will relinquish 4.5 megahertz of spectrum in the 800 MHz band and approximately 4 megahertz in the 700 MHz band. It
will receive 10 megahertz of spectrum in the 1.9 GHz band, but it must first clear this spectrum of the incumbent broadcast
auxiliary service. 

The FCC also adopted the best practices advocated by Nextel’s opponents as an interim step while the 800 MHz band is
being reconfigured. 
http://rcrnews.com/cgi-bin/news.pl?newsId=18792&print=Y

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