Two of RFB Cellular's bankrupt affiliates, Alpine-California F and
Alpine-Hyannis F, have inked deals to shed their PCS spectrum. Leap Wireless
International has purchased spectrum covering California, while Verizon Wireless
has acquired a license covering Massachusetts.
Leap Wireless agreed to pay $3.9 million in cash to Alpine-California F for a
license covering Bakersfield, Calif. Leap snapped up a Fresno, Calif., PCS
license from Alpine PCS in July 2004.
In a separate agreement with Alpine-Hyannis F, Verizon Wireless has forged a
pact to acquire a single 10 MHz license in Hyannis, Mass. The all-cash deal is
valued at $640,000.
Because the spectrum sales involve a bankrupt entity, an auction will be held
on May 16. The deals with Verizon and Leap could be erased if a higher bid wins
the auction, RFB Cellular says. The U.S. Bankruptcy Court must sign off on the
spectrum purchases.
RFB says this spectrum auction represents its last remaining assets.