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Technology Stocks : Leap Wireless International (LWIN) -- Ignore unavailable to you. Want to Upgrade?

To: Jon Koplik who wrote (2568)	11/12/2002 8:09:01 PM
From: Lance Bredvold	Read Replies (1) \| Respond to of 2737

Alltel response to Qwest (or LWIN?) acquisition question: Reuters "Alltel not keen on Qwest assets, big cities Tuesday November 12, 5:21 pm ET NEW YORK, Nov 12 (Reuters) - Rural telephone company Alltel Corp. (NYSE:AT - News) said on Tuesday it had no interest in buying Qwest Communications International Inc.'s (NYSE:Q - News) wireless telephone business or pursuing acquisitions that would divert its focus from small and mid-sized markets. ADVERTISEMENT Alltel will weigh acquisition opportunities, but it sees "no big deals on the horizon," Alltel Chief Financial Officer Jeff Gardner said at the UBS Warburg Seventh Annual Global Telecom Conference in New York. "You can count on us to analyze these deals on our ability to grow the business over the long term and keep our financial flexibility," Gardner said. When asked by an investor whether Alltel would consider buying Qwest's wireless operations, Gardner said: "We are focused on rural wireless. We like properties that tend to be in small cities." Qwest's wireless business cover markets such as Denver, Minneapolis and Phoenix, as well as many smaller cities. "We like assets with strong networks" and profitable operations, he said. "I don't think our investors need to be worried" about Alltel buying Qwest's wireless business. Gardner also dismissed the likelihood that Alltel would be interested in buying the affiliates of wireless telephone company Sprint PCS (NYSE:PCS - News), or Cincinnati Bell wireless. Alltel wants to maintain its rural profile, and its acquisition "bias will be in areas where we do best....in wireless we'll stay in second and third-tier cities," where it faces less competition, less customer turnover and better profit margins, Gardner said." Since I mentioned the unlikely possibility of purchase of LWIN by competitors, and because less responsible (or maybe just not "too bright") posters on Yahoo keep assuring each other that LWIN will be bought out, I found this article today rather interesting. I would expect that companies like Alltel and LWIN do regularly consider the possibility of buying systems which are up and running rather than starting from scratch as a new competitor. And I would assume Altell has contacted HWhite with feelers for some systems or perhaps the whole operation as there are several cities which would fit Alltel's style and the CDMA equipment ought to be pretty compatible. And I presume HWhite et al have turned them down, sent them to talk with Morgan Stanley (or whoever is doing the reorganization work), and perhaps told them that the poison pill will be used if an unwanted purchase of a dominant interest were to become obvious to LWIN management. I also mentioned that at its nadir in stock price, I probably could have displaced the board of directors except that I would have to declare my intent at somewhere around 5 % ownership of the stock. And usually poison pills kick in up around 15% as I recall. I would assume LWIN has been threatened with such takeover attempts and if they have not, it must mean everyone but me knows the business plan is flawed/unworkable and not adaptable to a new strategy. So that is what I was meaning when I indicated it bothers me that with the price so low, not even Jon has decided to just go ahead and buy 50% of the shares. In fact, he hasn't even decided to make enough of a sustained run at controlling interest to drive the shares above $1 (yet). I think we are both flabbergasted. By the price. I think my best strategy would be to try one more time to learn whether etiology/etymology is the term for study of the origination of the word flabbergasted or insects. Probably also to find that origination and forget about the temptation to be a bigger shot than I've ever been before by attempting to buy out LWIN. I'll bet I'd learn some things about buyouts which I would wish I'd known before the attempt.(ggg). Best regards, Lance