*Pages 1--5 from Microsoft Word - 47825.doc* PUBLIC NOTICE FEDERAL COMMUNICATIONS COMMISSION 445 TWELFTH STREET, S. W. WASHINGTON, D. C. 20554 DA 05- 1042 News media information 202/ 418- 0500 Fax- On- Demand 202/ 418- 2830 Internet: http:// www. fcc. gov ftp. fcc. gov Released: April 8, 2005 URBAN COMM- NORTH CAROLINA, INC., SUNCOM WIRELESS, INC. AND CELLCO PARTNERSHIP SEEK FCC CONSENT TO THE TRANSFER OF CONTROL AND ASSIGNMENT OF BROADBAND PCS LICENSES WT Docket No. 05- 169 PLEADING CYCLE ESTABLISHED Petitions to Deny Due: May 9, 2005 Oppositions Due: May 19, 2005 Replies Due: May 26, 2005 Urban Comm- North Carolina, Inc., Debtor- in- Possession (“ Urban Comm”), SunCom Wireless, Inc. (“ Triton”), 1 a wholly- owned subsidiary of Triton PCS Holdings, Inc., and Cellco Partnership d/ b/ a Verizon Wireless (“ Verizon Wireless”) (collectively, the “Applicants”) have filed a series of applications pursuant to Section 310( d) of the Communications Act of 1934, as amended, 2 seeking Commission consent to (1) the full or partial assignment to Verizon Wireless of ten C- block broadband Personal Communications Services (“ PCS”) licenses, and (2) the subsequent transfer of control of Urban Comm to Triton. Upon consummation of the proposed transaction, Verizon Wireless will receive 30 MHz of spectrum in three Basis Trading Areas (“ BTAs”), 20 MHz of spectrum in five BTAs and 10 MHz of spectrum in two BTAs. 3 The remainder of Urban Comm’s licenses (“ Triton’s Licenses”) will be retained by Urban Comm, under the indirect control of Triton. Triton’s Licenses will consist of 10 MHz in eighteen BTAs and 20 MHz in two BTAs. 4 The full or partial assignments to Verizon Wireless will occur pursuant to an Agreement to Purchase FCC Licenses by and between Urban Comm and Verizon Wireless dated as of December 22, 2004 (the “Verizon Purchase Agreement”). Because Urban Comm is undergoing bankruptcy reorganization, the U. S. Bankruptcy Court for the Southern District of New York (the “Bankruptcy 1 Triton PCS, Inc. recently changed its name to SunCom Wireless, Inc. For ease of reference, however, we will continue to refer to this applicant as “Triton.” 2 47 U. S. C. § 310( d). The applications were amended subsequent to their initial submission. When searching for these applications on the Wireless Telecommunications Bureau’s Universal Licensing System (“ ULS”) at http:// wireless. fcc. gov/ uls/, the amended versions of the applications will appear with an “AM” as the purpose code. 3 Post- transaction, Verizon Wireless will hold between 10 MHz and 55 MHz of spectrum in the applicable BTAs. 4 Post- transaction, Triton will hold between 10 MHz and 65 MHz of spectrum in the applicable BTAs. 1 2 Court”) has reviewed and approved the Purchase Agreement, and entered a “Sale Order” authorizing this transaction. 5 The proposed transaction does not involve the assignment of any other FCC licenses or authorizations, including microwave stations or international Section 214 authorizations. The transfer of control of Urban Comm to Triton will be conducted pursuant to a Stock Purchase Agreement and Assignment Agreement (collectively referred to as the “Triton Stock Purchase Agreement”), both dated as of November 30, 2004, entered into among Urban Comm; its immediate parent, Urban Comm- Mid- Atlantic, Inc., Debtor- in- Possession (“ Urban MA”); Urban Comm’s ultimate parent, Urban Communicators PCS Limited Partnership, Debtor- in- Possession (“ Urban LP”); and Triton PCS Holdings, Inc. (“ Triton Holdings”), the ultimate parent of Triton. Prior to execution, the Triton Stock Purchase Agreement was submitted to the Bankruptcy Court by the Debtors and was approved by the Bankruptcy Court in an order dated December 1, 2004. 6 At closing, Urban LP will issue 100 shares of newly issued common stock of Urban Comm to Triton Holdings, which will constitute all of the then-issued and outstanding shares of Urban Comm’s capital stock. I. SECTION 310( d) APPLICATIONS The following applications for consent to the full and partial assignment of PCS licenses, granted pursuant to Part 24 of the Commission’s rules, to Verizon Wireless have been assigned the file numbers below. File No. Licensee Lead Call Sign 0001994620 Urban Comm- North Carolina, Inc. KNLF372 0002007683 Urban Comm- North Carolina, Inc. KNLF374 The following application for consent to the transfer of control of PCS licenses, granted pursuant to Part 24 of the Commission’s rules, to Triton has been assigned the file number below. File No. Licensee Lead Call Sign 0001978782 Urban Comm- North Carolina, Inc. KNLF372 II. DESIGNATED ENTITY AND ENTREPRENUERIAL ELIGIBILITY ISSUES The Commission’s Rules state that “[ n] o assignment or transfer of control of a license for frequency Block C or frequency Block F won in closed bidding pursuant to the eligibility requirements of § 24.709 will be granted,” except when, among other things, “[ t] he application for assignment or transfer of control is filed on or after the date the licensee has notified the Commission pursuant to § 24.203( c) that its five- year construction requirement has been satisfied.” 7 The Applicants state that each of Urban 5 See In re Urban Communicators PCS Ltd. Partnership, et al., Nos. 98 B 47996, 98 B 47997, 98 B 10086 (REG) (Bankr. S. D. N. Y. Mar. 24, 2005) (authorizing and approving the sale of certain PCS licenses to Cellco Partnership d/ b/ a Verizon Wireless, free and clear of liens and encumbrances). 6 See In re Urban Communicators PCS Ltd. Partnership, et al., Nos. 98 B 47996, 98 B 479977, 98 B 10086 (REG) (Bankr. S. D. N. Y. Dec. 1, 2004) (approving terms and conditions of the proposed stock purchase agreement, break-up fee, non- solicitation covenant, good faith deposit terms and conditions, and termination fee terms and conditions). 7 47 C. F. R. § 24.839( a)( 6). 2 3 Comm’s licenses was granted more than five years ago, and the relevant five- year construction requirements set forth in Section 24.203 of the Commission’s rules have been satisfied with respect to each of the Licenses. Urban Comm, Urban LP, and Urban MA, and the Commission entered into a settlement agreement (the “Settlement Agreement”), dated as of March 14, 2005, regarding the installment payment obligations incurred by Urban Comm with respect to its licenses. The Bankruptcy Court approved the Settlement Agreement by Order dated April 4, 2005. 8 The Triton Stock Purchase Agreement and the Verizon Purchase Agreement, provide that, at their respective closings, Triton and Verizon Wireless will each deliver to the Commission a portion of the purchase price in satisfaction of the claims against the licenses. The Applicants have requested that as part of its approval of the proposed transfer and full or partial assignments, the Commission find that delivery of this payment (including its timing) will constitute full payment, and will satisfy all conditions, pursuant to sections 1.2111 and 24.714 of the Commission’s rules, 9 or that the Commission grant waivers of these sections to the extent necessary. III. EX PARTE STATUS OF THIS PROCEEDING Pursuant to section 1.1200( a) of the Commission’s rules, 10 the Commission may adopt modified or more stringent ex parte procedures in particular proceedings if the public interest so requires. We announce that this proceeding will be governed by permit- but- disclose ex parte procedures that are applicable to non- restricted proceedings under section 1.1206 of the Commission’s rules. 11 Parties making oral ex parte presentations are directed to the Commission’s statement re-emphasizing the public’s responsibility in permit- but- disclose proceedings and are reminded that memoranda summarizing the presentation must contain the presentation’s substance and not merely list the subjects discussed. 12 More than a one- or two- sentence description of the views and arguments presented is generally required. 13 Other rules pertaining to oral and written presentations are set forth in section 1.1206( b) as well. 14 We urge parties to use the Electronic Comment Filing System (“ ECFS”) to file ex parte submissions. 15 IV. GENERAL INFORMATION The applications referenced herein have been found, upon initial review, to be acceptable for 8 See In re Urban Communicators PCS Ltd. Partnership, et al., Nos. 98 B 47996, 98 B 479977, 98 B 10086 (REG) (Bankr. S. D. N. Y. Apr. 4, 2005) (approving and authorizing terms and conditions of the proposed settlement agreement with the Commission). 9 47 C. F. R. §§ 1.1206( b), 24.714. 10 47 C. F. R. § 1.1200( a). 11 Id. § 1.1206. 12 See Commission Emphasizes the Public’s Responsibilities in Permit- But- Disclose Proceedings, Public Notice, 15 FCC Rcd. 19,945 (2000). 13 See 47 C. F. R. § 1.1206( b)( 2). 14 Id. § 1.1206( b). 15 See discussion infra Part IV. 3 5 or if delivered as paper copy, by hand or messenger delivery, by commercial overnight courier, or by first- class or overnight U. S. Postal Service mail (according to the procedures set forth above for paper filings), to: (1) the Commission's duplicating contractor, Best Copy and Printing, Inc., at FCC@ BCPIWEB. COM or (202) 488- 5563 (facsimile); (2) Erin McGrath, Mobility Division, Wireless Telecommunications Bureau, at erin. mcgrath@ fcc. gov, or (202) 418- 7447 (facsimile); (3) Susan Singer, Spectrum and Competition Policy Division, Wireless Telecommunications Bureau, at susan. singer@ fcc. gov, or (202) 418- 7447 (facsimile); (4) Kathy Harris, Mobility Division, Wireless Telecommunications Bureau, at kathy. harris@ fcc. gov, or (202) 418- 7447 (facsimile); and (5) Kimberly Reindl, Office of General Counsel, at kimberly. reindl@ fcc. gov, or (202) 418- 2822 (facsimile). Copies of the applications and any subsequently- filed documents in this matter may be obtained from Best Copy and Printing, Inc. in person at 445 12th Street, S. W., Room CY- B402, Washington, D. C. 20554, via telephone at (202) 488- 5300, via facsimile at (202) 488- 5563, or via e- mail at FCC@ BCPIWEB. COM. The applications and any associated documents are also available for public inspection and copying during normal reference room hours at the following Commission office: FCC Reference Information Center, 445 12th Street, S. W., Room CY- A257, Washington, D. C. 20554. The applications are also available electronically through the Commission’s ECFS, which may be accessed on the Commission’s Internet website at http:// www. fcc. gov. In addition, applications filed under Parts 22, 24, 27, 90, and 101 of the Commission’s rules are available electronically through ULS, which may be accessed on the Commission’s Internet website. Additional information regarding the transaction will be available on the FCC's Office of General Counsel's website, http:// www. fcc. gov/ ogc, which will contain a fully indexed, unofficial listing and electronic copies of all materials in this docket. Alternate formats of this public notice (computer diskette, large print, audio recording, and Braille) are available to persons with disabilities by contacting Brian Millin at (202) 418- 7426 (voice), (202) 418- 7365 (TTY), or send an e- mail to access@ fcc. gov. For further information, contact Erin McGrath, Mobility Division, Wireless Telecommunications Bureau, at (202) 418- 2042, or Susan Singer, Spectrum and Competition Policy Division, Wireless Telecommunications Bureau, at (202) 418- 1340. -FCC- 5