Cricket Enters into National 3G Data Roaming Agreement

Leap Wireless International, Inc. (NASDAQ: LEAP), a leading provider of innovative and value-driven wireless communications services, today announced that its operating subsidiary Cricket Communications has significantly expanded its 3G data capabilities through a new roaming arrangement, which will enable Cricket to offer its customers nationwide 3G data roaming to complement the nationwide voice service it currently offers.

Today, the Cricket 3G data network covers a population of approximately 92 million potential customers (POPS). With the new agreement, Cricket’s 3G data offering will grow to cover over 280 million POPS.

“Together, the roaming and wholesale agreements we announced today will provide a national platform that we expect will strengthen our retail relationships and distribution capabilities,” said Doug Hutcheson, Leap’s president and CEO. “Data is increasingly important, particularly as Smartphones, tablets and other devices and services gain popularity across our customer base, and we expect our ability to offer high-speed data services across the United States will result in meaningful subscriber growth and a better customer experience over the life of these agreements.”

Third party retail is an increasingly important distribution channel for prepaid wireless services. According to Nielsen data, approximately 42% of all prepaid phones and service activations in the first quarter of 2010 took place in a major retail chain store, a grocery store or a convenience store.

Additional details of the agreement and its financial impacts will be discussed today at Leap’s Analyst and Investor Day in New York City. Replays of the webcast from the Analyst Day can be accessed at the company’s website http://investor.Leapwireless.com.

About Leap

Leap provides innovative, high-value wireless services to a fast-growing, young and ethnically diverse customer base. With the value of unlimited wireless services as the foundation of its business, Leap pioneered its Cricket(R) service. The Company and its joint ventures operate in 35 states and the District of Columbia and hold licenses in 35 of the top 50 U.S. markets. Through its affordable, flat-rate service plans, Cricket offers customers a choice of unlimited voice, text, high-speed data and mobile Web services. Headquartered in San Diego, Calif., Leap is traded on the NASDAQ Global Select Market under the ticker symbol "LEAP." For more information, please visit http://investor.Leapwireless.com.

Forward Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements reflect management's current expectations based on currently available operating, financial and competitive information, but are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those anticipated in or implied by the forward-looking statements. Our forward-looking statements include our discussions about the roaming agreement we have entered into, planned product and service plan developments, competitiveness and expected financial and operational performance, and are generally identified with words such as "believe," "expect," "intend," "plan," "could," "may" and similar expressions. Risks, uncertainties and assumptions that could affect our forward-looking statements include, among other things:

  • our ability to realize benefits from the roaming agreement;
  • our ability to attract and retain customers in an extremely competitive marketplace;
  • the duration and severity of the current economic downturn in the United States and changes in economic conditions, including interest rates, consumer credit conditions, consumer debt levels, consumer confidence, unemployment rates, energy costs and other macro-economic factors that could adversely affect demand for the services we provide;
  • the impact of competitors' initiatives;
  • our ability to successfully implement product offerings, expand our retail distribution and execute effectively on our other strategic activities;
  • our ability to obtain roaming services from other carriers at cost-effective rates;
  • our ability to maintain effective internal control over financial reporting;
  • our ability to attract, motivate and retain an experienced workforce;
  • our ability to comply with the covenants in any credit agreement, indenture or similar instrument governing any of our existing or future indebtedness;
  • failure of our network or information technology systems to perform according to expectations and risks associated with the upgrade or transition of certain of those systems, including our customer billing system; and
  • other factors detailed in the section entitled "Risk Factors" included in our periodic reports filed with the SEC, including our Quarterly Report on Form 10-Q for the quarter ended March 31, 2010, filed with the SEC on May 10, 2010, and our Quarterly Report on Form 10-Q for the quarter ended June 30, 2010, which we expect to file shortly with the SEC.

All forward-looking statements included in this news release should be considered in the context of these risks. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Investors and prospective investors are cautioned not to place undue reliance on our forward-looking statements.

Leap is a U.S. registered trademark and the Leap logo is a trademark of Leap. Cricket, Jump, the Cricket "K" and Flex Bucket are U.S. registered trademarks of Cricket. In addition, the following are trademarks or service marks of Cricket: BridgePay, Cricket By Week, Cricket Choice, Cricket Connect, Cricket Nation, Cricket PAYGo and Cricket Wireless Internet Service. All other trademarks are the property of their respective owners.

Contacts:

Cricket Communications, Inc.
Greg Lund, Media Relations
858-882-9105
glund@cricketcommunications.com
or
Amy Wakeham, Investor Relations
858-882-9876
awakeham@leapwireless.com

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.