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Technology Stocks : NEXTEL -- Ignore unavailable to you. Want to Upgrade?

To: Ken Benes who wrote (6158)	5/15/1998 8:36:00 PM
From: Bernie Diamond	Read Replies (1) \| Respond to of 10227

Annual Meeting (AM) Part 1 of ? I can't begin to tell you how tedious it is to transcribe a two hour meeting from a practically inaudible tape. However, it was worthwhile because it is hard to write and understand all that is being said at a meeting, you miss a lot. Rob did a great job a few posts back. The advantage of several of us writing is that we get a full and accurate accounting of what was stated, and we can question each other if we heard something a little different. Please correct or challenge anything that differs from your understanding of the AM or your knowledge about the Nextel operation. Arnie said he will summarize and post as he did last year. Fact Sheet - dated April 1998 (partial) Subscribers: Digital 1,641,500 Analog: 493,600 National Reach: currently 400 cities nationwide International Reach: wireless operations and investments in Canada, Mexico, Brazil, the Philippines, Argentina, Peru, Japan and Shanghai Total Employees: as of 3/31/98 - approximately 8,000 Akerson very upbeat (as well he should be) about his mgmt team. Talked about growth of technology to now 30% of national economic growth. Talked about role and importance of Nextel, as an application of technology, as an important tool in their business and personal lives. How do we intend to grow? Not only new markets, longer battery life, better products, business practices, etc., but also: 1. Intro next year of a new Data product- First high speed active data wireless product in market. Telephone companies now mostly 28 Kilobites. Nextel will have, over time 33-45 Kilobite capacity. 2. Business Networks. From 100K units in last 4 months on 120 specialized networks (real estate, medical) to present 300K with higher ARPU and much lower churn rate. 3. New Products. Motorola new phone, introduced January. First industry 2-line wireless phone with many other new features. 4. Global/International Aspirations. Largest opportunities in emerging markets - countries with high state of development is focus of our efforts. Teledensity factor for growth and opportunity. Our three engines of growth are Brazil, Argentina and Mexico. All three will be up and running this year (early summer to late fall). 5. Nextel International. Includes 12 of world's 25 largest cities (433 million POP's). We look for undervalued spectrum. Currently, operational activities in eight countries outside the US (177 million POP's). That's more than our competitors have in the US. Example given: Sao Paula (Brazil) has 3 million people waiting for wireline services, and 500K to 700K waiting for wireless. Bribes of from $3K-$5K in the black market being paid for early-to-receive slots. We already ordered second switch to meet pent-up demand. Expect very high ARPU ($100?). More.... Bernie

To: Ken Benes who wrote (6158)	5/15/1998 9:16:00 PM
From: Bernie Diamond	Respond to of 10227

AM - Part 2 Spectrum. Discussion of its importance. 1995/6 we had 5-7 MHz in most (6?) cities. Now have 11 MHz spectrum in entire US (every square inch). Top 50 markets have 15 MHz and some cities, like Boston, has 20 MHz. In terms of rural areas, hope to attract ajn outside partner/s to provide a seamless service throughout. This National Network Expansion Program to build out the last 15%-20%, will adhere to our standards in all respects (very important!). Now a construction Company. Built 2,000 cell sites in each of last two years. Will build 2,000 this year in US AND 1,000 outside the US in 1998. Capital. Raised $8 billion in last 24 months. Don't need to be in capital market until late 1999 or 2000, unless we buy a strategic acquisition (AT&T?, Airtouch? <VBG>). If interest rates go up, Akerson will be a genius; if it goes down, he will be like the rest of us. Near term goals and objectives. ( Idea of where we're going to go.) 1. Largest all digital US coverage 2. Business focus - scale our networks to demand 3. Industry leading services, pricing, practices and results. 4. Strong partners, management, and capital availability 5. Global reach - launch international markets. We have not gotten credit for global initiatives - that will come to pass this year. 1998/9 is showtime for our international efforts. 6. Enhance strategic position More... Bernie 7. Achieve cash flow positive status domestically this year (didn't expect 1.6 million customers by now).