*Pages 1--1 from  Microsoft Word - 23009.doc*
 STATEMENT  OF  CHAIRMAN  MICHAEL  K.  POWELL 
 Re:  Disposition  of  Down  Payments  and  Pending  Applications  By  Certain  Winning  Bidders  in  Auction  No.  35 


 The  Auction  35  road  endured  by  all  the  parties  and  the  public  has  been  long  and  difficult.  While  bidders  were  forewarned  of  the  risks  attending  the  Auction,  and  the 
 Commission  has  pursued  settlement  and  afforded  bidders  partial,  interim  relief,  barriers  to  licensing  remain.  As  the  months  have  passed  and  the  economic  difficulties  worsened, 
 it  has  become  increasingly  clear  that  allowing  the  eligible  Auction  35  winners  to  exit  the  auction  is  the  right  course.  I  recently  outlined  six  components  of  a  successful 
 telecommunications  recovery.  Reduction  of  debt  was  among  its  highest  priorities.  Although  the  Commission  cannot  cure  the  capital  crunch,  it  can  remove  the  cloud  of 
 uncertainty  that  has  followed  the  Auction  35  winners.  Approximately  three  weeks  ago,  the  record  in  this  docket  closed  and  today  we  take  that  step.  The  staff  has  done  an 
 extraordinary  job  to  bring  this  issue  so  quickly  to  closure;  their  sense  of  urgency  was  commensurate  with  the  important  public  policy  and  economic  issues  at  stake. 
1