US judge OK's Verizon-NextWave airwave pact
Tue Nov 30, 2004 02:05 PM ET
WASHINGTON, Nov 30 (Reuters) - A federal bankruptcy judge has given preliminary approval to Verizon Wireless' (VZ.N: Quote, Profile, Research) $3 billion purchase of NextWave Telecom Inc. (NXLC.PK: Quote, Profile, Research) airwave licenses, Verizon Wireless said on Tuesday.
The judge must still grant approval to the overall reorganization plan for NextWave, which filed for bankruptcy in 1998 when it was unable to pay $4.7 billion for 95 airwaves licenses it won in a 1996 U.S. auction.
Verizon has said the licenses, which cover 23 markets around the United States, would be acquired through the purchase of NextWave after it completes its bankruptcy reorganization.
Verizon will buy 10 and 20 MHz frequency licenses from NextWave that will cover a population of 73 million people.
NextWave has said it plans to build and operate wireless networks after it reorganizes and sells many of its wireless licenses.
Verizon Wireless is a joint venture of Verizon and Vodafone (VOD.L: Quote, Profile, Research) .
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