nice win
Leap Wireless International Operating Company Pegaso Signs $270 Million
Presidents Ernesto Zedillo of Mexico, Jacques Chirac of France Attend Ceremony
SAN DIEGO, Nov. 13 /PRNewswire/ -- A subsidiary of Pegaso Telecomunicaciones, S.A. de C.V., a Mexican corporation owned 33% by wireless communications carrier Leap Wireless International, Inc. (Nasdaq: LWIN), yesterday signed an agreement under which Alcatel will provide up to $270 million in equipment, services and construction to build out Pegaso's planned nationwide PCS network in Mexico. The agreement was signed in Mexico City at a ceremony attended by Ernesto Zedillo, president of Mexico, and Jacques Chirac, president of France.
The agreement signals that Mexico is taking important steps forward by importing and operating the best technology available worldwide, Pegaso officials said. The agreement is the result of the relationship between the Mexican and French governments and the recent opening of the Mexican trading markets.
Alcatel is expected to provide a wide variety of state-of-the-art equipment and services to the Pegaso network, including towers, microwave transmission equipment, switches, a billing system, and deployment services such as cell site acquisition. Pegaso has already awarded QUALCOMM a contract for infrastructure equipment, including QCell base stations and QCore base station controllers, and related program management and deployment services.
Pegaso is building a network to provide digital PCS wireless services using Code Division Multiple Access (CDMA) technology. The CDMA network will offer secure, clear voice communications and fast, reliable access to data services, including e-mail, fax and Internet browsing. Pegaso plans to launch commercial services in Mexico's four largest markets Mexico City, Monterrey, Guadalajara, and Tijuana starting in early 1999. Investors in Pegaso include Grupo Pegaso, Grupo Televisa, Leap Wireless, Citicorp Equity Capital Latin America, AIG-GE Capital Latin America Infrastructure Fund, and Nissho Iwai Corporation. Pegaso has raised or obtained commitments for nearly $1 billion of financing for its PCS network.
At yesterday's ceremony, Zedillo and Chirac were witnesses of honor at the ceremony where the agreement was signed by Alejandro Burillo Azcarraga, chairman of the board of Pegaso and president of international affairs of Televisa, the largest media company in the Spanish-speaking world, and Anne Lauvergeon, president of international affairs of Alcatel. Other officials in attendance included Carlos Ruiz Sacristan, Mexico's secretary of communications and transport; Bruno Delaye, French Ambassador to Mexico; Armand Hazan, President of Alcatel-Mexico and Franco Bonfanti, general director of transmission of Alcatel.
Pegaso's vision is to break down barriers between people and communication. As part of Grupo Pegaso, which has played an important role in the development and operation of communications services in Mexico over the last 30 years, Pegaso plans to build one of the largest wireless networks on the American continent, utilizing technology that meets the highest standards worldwide and maximizes customer benefits. Some of the benefits of CDMA wireless technology include increased coverage range, call quality, privacy and security of every call as well as system capacity.
Alcatel is a world leader in communications systems and equipment, operating in more than 130 countries. The company provides complete services and solutions, from backbone networks to handsets for service providers and consumers. In 1997, Alcatel reported revenue of more than $22 billion. For more information, please visit alcatel.com.
Grupo Televisa is one of the leading companies worldwide in the production and marketing of media in Spanish. Through its subsidiaries and strategic associations, it produces distributes and transmits programming to all different continents. Televisa is active in areas such as direct TV, music, radio programming and special events. For more information, please visit televisa.com.mx. |
