*Pages 1--3 from Microsoft Word - 60051.doc* NEWS Federal Communications Commission 445 12 th Street, S. W. Washington, D. C. 20554 This is an unofficial announcement of Commission action. Release of the full text of a Commission order constitutes official action. See MCI v. FCC. 515 F 2d 385 (D. C. Circ 1974). News Media Information 202 / 418- 0500 Internet: http:// www. fcc. gov TTY: 1- 888- 835- 5322 FOR IMMEDIATE RELEASE: NEWS MEDIA CONTACT: October 2, 2006 Chelsea Fallon: (202) 418- 7991 FCC CONSENTS WITH CONDITIONS TO ALLTEL ACQUISITION OF MIDWEST WIRELESS LICENSES AND AUTHORIZATIONS Washington, D. C. – Today, the Federal Communications Commission (FCC) consented to the applications filed in connection with the proposed acquisition of Midwest Wireless Holdings, LLC (Midwest Wireless) by ALLTEL Communications, Inc. (ALLTEL), subject to certain conditions. ALLTEL provides wireless communications services to approximately 11 million wireless customers in 35 states. Midwest Wireless is a wireless provider with more than 400,000 customers in southern Minnesota, northern and eastern Iowa, and western Wisconsin. With today’s action, the FCC approved with conditions the transfer of control of licenses and authorizations held by Midwest Wireless and its subsidiaries to ALLTEL. These licenses and authorizations include: Cellular licenses, Broadband Personal Communications Service (PCS) licenses, Common Carrier Fixed Point- to- Point Microwave licenses, 39 GHz licenses, Local Multipoint Distribution Service (LMDS) licenses, and three international section 214 authorizations. In analyzing ALLTEL’s proposed acquisition of Midwest Wireless, the FCC examined the market for mobile telephony services and concluded that the companies had demonstrated that the merger, with the conditions described below, will serve the public interest, convenience, and necessity. Further, the FCC concluded that the likely public interest benefits of the merger outweigh any potential public interest harms and that competitive harm is unlikely in most mobile telephony markets involved in the proposed transaction. In four Cellular Market Areas, however, listed below, the FCC determined that likely competitive harms exceed the likely benefits of the transaction and, in these areas, imposed conditions that will effectively remedy the potential for these particular harms. The conditions imposed with respect to the cellular systems in the markets listed below mirror, in large part, the terms of a settlement agreement between the applicants and the Department of Justice (DOJ). Cellular Market Area Name CMA488 Minnesota 7- Chippewa CMA489 Minnesota 8- Lac qui Parle CMA490 Minnesota 9- Pipestone CMA491 Minnesota 10- Le Sueur 1 3 In addition, the FCC required that, with respect to roaming, ALLTEL may not prevent its customers from completing calls in the manner contemplated by section 20.12( e) of the Commission’s rules, 47 C. F. R. § 20.12( e), unless specifically requested to do so by a subscriber. The FCC also approved the application to transfer control of Great Western Cellular Holdings, L. L. C. (“ GWC Holdings”) and the one cellular license it holds from its controlling entity, Great Western Cellular Partners, L. L. C. (“ Great Western”), to WWC Holding Co., Inc. (“ WWC”), a wholly- owned subsidiary of ALLTEL. The FCC considered this transaction in conjunction with the ALLTEL- Midwest Wireless transaction, since both transactions would result in ALLTEL’s acquisition of overlapping spectrum and market share in the Minnesota 11 – Goodhue Rural Service Area, and determined that the cumulative effective of both transactions would not result in competitive harms and that the WWC- GWC Holdings acquisition would serve the public interest, convenience and necessity. Action by the Commission on October 2, 2006, by Memorandum Opinion and Order (FCC 06- 146). Chairman Martin with Commissioners Copps, Adelstein, Tate, and McDowell. Separate statement issued by Commissioner Copps. For additional information, contact Erin McGrath at (202) 418- 2042 or Erin. McGrath@ fcc. gov. WT Docket No. 05- 339 – FCC – News and other information about the Federal Communications Commission is available at www. fcc. gov. 3