Sprint Nextel swung to a loss fourth-quarter of $29.5 billion on Thursday as it write down most of the residual value of its 2005 buy of Nextel Communications and nonstop to lose customers to rivals. The wireless transporter said it would quit paying bonus for the foreseeable outlook and was tapping a turning credit line. Its shares tumbled Eight percent in morning trading.
CEO, Dan Hesse, who was hired in December to turn the nation’s 3rd largest wireless carrier around, held the quarter was more complicated than he had predictable and it could be some time by proposed operational modification has any effect.
During a meeting call with market analyst, Hesse predicted the company would mislay 1.2 million valuable clients who sign annual agreements during the 1st quarter and would see additional fatalities in the second quarter.
To counteract buyer losses, Hesse said Sprint Nextel would start offering unlimited data and voice service usage for $99.99 per month. Indefinite voice only would price $89.99 per month, undercutting $99.99 limitless calling policy announced last week by competitors Verizon Wireless AT&T (ATT) and (VZ, Fortune 500).
Thursday, February 28th, 2008 at 11:57 pm.
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