10:00AM New York – Sprint, only after two years of purchasing Nextel, wrote-off its entire acquisition cost of nearly $30 billion.

Only after two years of Nextel acquisition, Sprint wrote-off most of its purchase price. In the fourth quarter, the third largest wireless carries, reported a loss $29.45 billion or $10.36 per share compared to income of $261 million or 9 cents a share. The quarterly loss included one-time goodwill charge of $29.7 billion for Nextel purchase.

Consolidated net operating revenues in the quarter were $9.8 billion, compared to $10.4 billion in the fourth quarter of 2006. Full-year 2007 revenues were $40.1 billion versus $41.0 billion in 2006.

Sprint net income in the fourth quarter fell to 21 cents a share from 29 cents a year ago on revenue decline of 5.7% to $9.85 billion.

Fourth quarter revenues in the wireless segment were $8.5 billion, a 2% sequential decline and a 6% decline from the fourth quarter of 2006. Data revenues increased 12% sequentially and 26% from a year ago. Revenues in 2007 were $34.7 billion, a 1% decline compared to 2006, primarily driven by lower equipment revenue.

In the fourth quarter wireless subscribers declined by 108,000 and post-paid churn rate was 2.3% same as a year ago and in the third quarter of 2007. For the post-paid subscribers, the average revenue declined 1% from the third quarter and 4% from a year ago to $58.

Sprint also borrowed $2.5 billion under its revolving credit facility and to mitigate any potential financial risk related to $1.25 billion bonds due in November of 2008, $400 million in commercial paper loans, and $600 million bonds that mature in May 2009. Sprint also canceled its dividend for the foreseeable future.

Wireless had 53.8 million total subscribers at the end of 2007. This compares with 53.1 million subscribers at the end of 2006. The net growth of 700,000 subscribers for the year reflects a gain of 1.9 million subscribers in prepaid and wholesale segments, offset by a net decline of 1.2 million in direct and affiliate post-paid subscribers.

In the fourth quarter, total post-paid subscribers declined 683,000 due to a loss of iDEN users. In the third quarter of 2007, post-paid subscribers declined by 337,000.

Wireless capital expenditures totaled $1.4 billion in the fourth quarter and were $5.0 billion for the full year, or a little over 14% of annual revenues. In 2007, the majority of capital was deployed to increase capacity, enhance and expand the network footprint and triple the footprint.