Clearwire Completes 4G Mobile WiMAX Business Deal with Sprint

(Top News, 3 Dec 2008)

Clearwire Corp.'s stockholders have approved the planned combination with Sprint's mobile WiMAX business and the investment of $3.2 billion by Intel, Google, Comcast, Time Warner Cable, Bright House Networks and Trilogy Partners, paving the way for a new era in mobile Internet services in the U.S. Clearwire's board of directors had unanimously recommended that stockholders vote in favor of the transaction. Under the agreement approved by Clearwire's stockholders, Clearwire and Sprint Nextel Corp. will combine their respective next-generation mobile Internet businesses to accelerate the deployment of the first nationwide mobile 4G network in an effort to meet the rapidly growing consumer demand for access to Internet-based content, applications and services anytime and anywhere.

In addition, Clearwire has secured consent to the transaction from a majority of the lenders under its Credit Agreement and expects to execute shortly an Amended and Restated Credit Agreement permitting the Transactions. With the affirmative stockholder vote, the consent of its lenders in hand, review of the transaction under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 by the U.S. Department of Justice complete and approval from the Federal Communications Commission, no further consents or approvals for the transactions are required. The company is continuing to work toward closing the transaction before year-end.

"Today, our shareholders have taken a transformative step toward enabling an entirely new mobile Internet experience for consumers and businesses across the country," says Benjamin G. Wolff, Chief Executive Officer (CEO) of Clearwire. "With an unmatched spectrum portfolio, a next generation all IP network, an ever-expanding ecosystem of mobile 4G devices, and the backing of some of the most innovative communications, entertainment and technology companies in the world, Clearwire is ready to redefine mobile Internet services in the U.S."

On May 7, 2008, Clearwire announced that it had entered into a definitive agreement with Sprint to combine their next-generation wireless broadband businesses to form a new independent company to be called Clearwire. In addition, five independent strategic investors including Intel Corp. through Intel Capital, Google Inc., Comcast Corp., Time Warner Cable Inc., and Bright House Networks have collectively agreed to invest a total of $3.2 billion into the new company.

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