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Jan. 13, 2009

Verizon Wireless has provided Wireless Industry News with details of its long-planned acquisition of Alltel Mobile.

Verizon Wireless actually spent $5.9 billion to acquire Alltel, and had to take $22.2 billion in additional debt.

Alltel’s brand name will gradually phase out in June, while Verizon evaluates the official number of stores and employees.

Meanwhile, the joint venture of Verizon and Vodafone expects to save $9 billion after the integration. There are more than 83.7 million total subscribers, including 2.1 million among the 105 markets in 24 states that Verizon will exit as required by the various regulatory agreements signed in Oct. 2008.

For customers, rate plans such as the popular My Circle option will remain, at least during the transition stages beginning on June 15.

However, most Alltel customers won't have to change handsets, officials said. Alltel users will be notified of additional details by traditional mail and they already have access to an online list of frequently asked questions, Alltel officials said.

All but 4 will remain Alltel markets, along with Rural Cellular Corp.’s Unicel coverage in Minnesota and Kansas.

Verizon also said it will maintain Alltel’s GSM networks until at least 2011.

More details on the Alltel acquisition are expected when Verizon Wireless announces its fourth-quarter earnings in two weeks.

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Source: Verizon Wireless.