News Release

Wireless Service Revenues

• Wireless service revenues for the quarter of $6.8 billion declined 13% year-over-year and 3% sequentially. The year-over-year decline was due to fewer subscribers and lower ARPU, while the sequential decline was due primarily to fewer wireless subscribers. Wholesale, affiliate, and other revenues were down sequentially and compared to the year-ago period due to pricing pressures.
• Wireless post-paid ARPU in the quarter was stable at $56 compared to the first and second quarters of 2008, as growth in data substantially offset voice declines. Wireless post-paid ARPU declined by nearly 6% compared to the year-ago period, reflecting continued pressure on voice MRC and overage revenues, partially offset by data revenue growth.
• Data revenues contributed approximately $13.50 to overall post-paid ARPU in the third quarter, led by growth in CDMA data ARPU. CDMA data ARPU increased more than $1 from second quarter, to about $16.50, now representing almost 29% of total CDMA ARPU. The increase was driven by strong take rates on bundled data services, such as those included with Simply Everything(TM), as well as continued growth in data cards.
• Prepaid ARPU in the quarter was approximately $31 compared to $30 in the year-ago period and in the second quarter of 2008. The sequential and year-over-year increase reflects a growing contribution from Boost Unlimited subscribers, offset by lower ARPU of traditional prepaid users.

Wireless Operating Expenses and Adjusted OIBDA*

• Total operating expenses, after normalizing for special items, were $7.8 billion in the third quarter, compared to $8.2 billion in the year-ago period and $7.9 billion in the second quarter of 2008.
• Adjusted OIBDA* of $1.6 billion in the quarter compares to $2.6 billion in the third quarter of 2007 and $1.9 billion in the second quarter. The sequential and year-over-year decline in Adjusted OIBDA* is due to fewer wireless subscribers and lower ARPU, partially offset by lower SG&A expense.
• Cost of services increased 5% year-over-year and 3% sequentially. The increases are due mainly to higher roaming and premium services costs.
• Equipment subsidy of nearly $700 million (equipment revenue of approximately $500 million less cost of products of nearly $1.2 billion) was down 1% from the second quarter and up 29% from the third quarter of 2007. The year-over-year increase in subsidy is primarily due to the increase in the average cost per handset sold as the company continued to sell a greater number of higher-priced units, partially offset by a decrease in the number of handsets sold.
• SG&A expenses declined 11% from the third quarter of 2007 and 2% from the second quarter of 2008. The year-over-year improvement is due to lower selling, bad debt and labor expenses. On a sequential basis, higher marketing spending was offset by lower customer care, labor and bad debt expenses.
• Bad debt expense was at its lowest level since the second quarter of 2006 due to the continued increase in the credit quality of our subscribers and improved collection efforts.

Wireless Capital Spending

Wireless capital investments were $217 million in the third quarter, compared to $393 million spent in the second quarter of 2008 and $813 million spent in the third quarter of 2007. Lower spending levels reflect reduced capacity needs and the conclusion of several network investment initiatives. At the end of the quarter, Sprint continues to lead the competition in 3G data network reliability, and CDMA and iDEN network performance continues at best-ever levels.

WIRELINE RESULTS

TABLE No. 3 Selected Unaudited Financial Data (dollars in millions)

                            Quarter Ended         Year-to-Date
Financial Data              September 30,         September 30,
                           ---------------       ---------------
                                             %                     %
                            2008    2007    +/-   2008    2007    +/-
                           ------- ------- ----- ------- ------- -----
Net operating revenues     $1,576  $1,612   (2)% $4,811  $4,844   (1)%
Adjusted operating income*    120     158  (24)%    436     362   20%
Adjusted OIBDA*               263     290   (9)%    849     754   13%
Adjusted OIBDA margin*       16.7%   18.0%         17.6%   15.6%

Capex                      $   81  $  138  (41)% $  342  $  427  (20)%

• Wireline revenues of $1.6 billion for the quarter were slightly lower sequentially and year-over-year as legacy voice and data declines offset Internet revenue growth.
• Internet revenues increased 37% from the year-ago period and 5% sequentially due to strong enterprise demand for Global MPLS services and the increasing base of cable subscribers who utilize our VoIP services. Internet revenues as a percent of Wireline revenue have increased from 25% to 35% year-over-year. At the end of the third quarter, the company supported more than 4 million users of cable partner VoIP services. These services are currently available to more than 30 million MSO households.
• Legacy voice revenues declined 4% sequentially and 13% year-over-year. Compared to the second quarter, declines in retail business voice, consumer and wholesale were partially offset by growth in demand from the Wireless segment.
• Legacy data revenues are being impacted in part by customer transitions to IP services. These legacy services declined 22% compared to the third quarter of 2007 and 8% quarter-over-quarter.
• Adjusted OIBDA* was $263 million compared to $299 million reported for the second quarter of 2008. Total operating expenses, after normalizing for special items, were $1.5 billion in the third quarter, nearly flat to the year-ago period and the second quarter of 2008.
• Wireline capital investment in the quarter was $81 million and was primarily deployed to support IP growth.

Forecast

Sprint Nextel expects continued pressure on post-paid subscribers in the fourth quarter; however, we expect that gross adds will stabilize and that churn rate will be consistent with the third quarter. We also expect slight downward pressure on post-paid ARPU in the fourth quarter. Consistent with recent periods, the company expects revenue pressures leading to lower Adjusted OIBDA*. The company now expects full-year capital expenditures to be in the range of $3 billion to $3.3 billion. The company expects to continue to generate positive Free Cash Flow*.

*FINANCIAL MEASURES

Sprint Nextel provides financial measures generated using generally accepted accounting principles (GAAP) and using adjustments to GAAP (non-GAAP). The non-GAAP financial measures reflect industry conventions, or standard measures of liquidity, profitability or performance commonly used by the investment community for comparability purposes. These non-GAAP measures are not measurements under accounting principles generally accepted in the United States. These measurements should be considered in addition to, but not as a substitute for, the information contained in our financial statements prepared in accordance with GAAP. We have defined below each of the non-GAAP measures we use, but these measures may not be synonymous to similar measurement terms used by other companies.

Sprint Nextel provides reconciliations of these non-GAAP measures in its financial reporting. Because Sprint Nextel does not predict special items that might occur in the future, and our forecasts are developed at a level of detail different than that used to prepare GAAP-based financial measures, Sprint Nextel does not provide reconciliations to GAAP of its forward-looking financial measures.

The measures used in this release include the following:

Adjusted Earnings (Loss) per Share (EPS) is defined as net income (loss) before special items, net of tax and the diluted EPS calculated thereon. Adjusted EPS before Amortization is defined as net income (loss) before special items and amortization, net of tax, and the diluted EPS calculated thereon. These non-GAAP measures should be used in addition to, but not as a substitute for, the analysis provided in the statement of operations. We believe that these measures are useful because they allow investors to evaluate our performance for different periods on a more comparable basis by excluding items that relate to acquired amortizable intangible assets and not to the ongoing operations of our businesses.

Adjusted Operating Income (Loss) is defined as operating income (loss) before special items. This non-GAAP measure should be used in addition to, but not as a substitute for, the analysis provided in the statement of operations. We believe this measure is useful because it allows investors to evaluate our operating results for different periods on a more comparable basis by excluding special items.

Adjusted OIBDA is defined as operating income before depreciation, amortization, severance, exit costs and asset impairments, gains or losses on asset dispositions and exchanges and other special items. Adjusted OIBDA Margin represents Adjusted OIBDA divided by non-equipment net operating revenues adjusted for certain non-recurring revenue adjustments for Wireless and Adjusted OIBDA divided by net operating revenues for Wireline. These non-GAAP measures should be used in addition to, but not as a substitute for, the analysis provided in the statement of operations. We believe that Adjusted OIBDA and Adjusted OIBDA Margin provide useful information to investors because they are an indicator of the strength and performance of our ongoing business operations, including our ability to fund discretionary spending such as capital expenditures, spectrum acquisitions and other investments and our ability to incur and service debt. While depreciation and amortization are considered operating costs under generally accepted accounting principles, these expenses primarily represent non-cash current period allocation of costs associated with long-lived assets acquired or constructed in prior periods. Adjusted OIBDA and Adjusted OIBDA Margin are calculations commonly used as a basis for investors, analysts and credit rating agencies to evaluate and compare the periodic and future operating performance and value of companies within the telecommunications industry.

Free Cash Flow is defined as the change in cash and cash equivalents less the change in debt, investment in certain securities, proceeds from common stock and other financing activities, net. This non-GAAP measure should be used in addition to, but not as a substitute for, the analysis provided in the statement of cash flows. We believe that Free Cash Flow provides useful information to investors, analysts and our management about the cash generated by our core operations after interest and dividends and our ability to fund scheduled debt maturities and other financing activities, including discretionary refinancing and retirement of debt and purchase or sale of investments.

Net Debt is consolidated debt, including current maturities, less cash and cash equivalents, current marketable securities and restricted cash. This non-GAAP measure should be used in addition to, but not as a substitute for, the analysis provided in the balance sheet and statement of cash flows. We believe that Net Debt provides useful information to investors, analysts and credit rating agencies about the capacity of the company to reduce the debt load and improve its capital structure.

SAFE HARBOR

This news release includes "forward-looking statements" within the meaning of the securities laws. The statements in this news release regarding the business outlook, expected performance and forward-looking guidance, as well as other statements that are not historical facts, are forward-looking statements. The words "estimate," "project," "forecast," "intend," "expect," "believe," "target," "providing guidance" and similar expressions are intended to identify forward-looking statements. Forward-looking statements are estimates and projections reflecting management's judgment based on currently available information and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. With respect to these forward-looking statements, management has made assumptions regarding, among other things, customer and network usage, customer growth and retention, pricing, operating costs, the timing of various events and the economic and regulatory environment.

Future performance cannot be assured. Actual results may differ materially from those in the forward-looking statements. Some factors that could cause actual results to differ include:

• the effects of vigorous competition, including the impact of competition on the price we are able to charge customers for services and equipment we provide and our ability to attract new customers and retain existing customers; the overall demand for our service offerings, including the impact of decisions of new subscribers between our post-paid and prepaid services offerings and between our two network platforms; and the impact of new, emerging and competing technologies on our business;
• the impact of overall wireless market penetration on our ability to attract and retain customers with good credit standing and the intensified competition among wireless carriers for those customers;
• the uncertainties related to the implementation of our business strategies including investments in our networks, our systems, and other businesses, including current investments and additional investments that will be required in connection with the planned deployment of a next generation wireless broadband network;
• the costs and business risks associated with providing new services and entering new geographic markets, including in connection with the planned deployment of a next generation wireless broadband network;
• uncertainty regarding satisfaction of the conditions to completion of the transaction with Clearwire Corporation, including approval by Clearwire's stockholders and satisfaction of the other conditions to closing;
• the impact of recent downgrades and potential further downgrades in the ratings afforded our debt securities by ratings agencies;
• the impact of difficulties we may encounter in implementing actions designed to maintain compliance with our financial covenants, including the success of actions involving third parties;
• the effects of mergers and consolidations and new entrants in the communications industry and unexpected announcements or developments from others in the communications industry;
• unexpected results of litigation filed against us or our suppliers or vendors;
• the impact of third parties not meeting our business requirements, including a significant adverse change in the ability or willingness of such parties to provide handset devices or infrastructure equipment for our code division multiple access, or CDMA, network, or Motorola, Inc's ability or willingness to provide related handset devices, infrastructure equipment and software applications, or to develop new technologies or features, for our integrated Digital Enhanced Network, or iDEN, network;
• the impact of adverse network performance;
• the costs and/or potential customer impacts of compliance with regulatory mandates, particularly requirements related to the reconfiguration of the 800 megahertz, or MHz, band used to operate our iDEN network, as contemplated by the Federal Communications Commission's, or FCC's, Report and Order released in August 2004 as supplemented by subsequent memoranda;
• equipment failure, natural disasters, terrorist acts, or other breaches of network or information technology security;
• one or more of the markets in which we compete being impacted by changes in political, economic or other factors such as monetary policy, legal and regulatory changes or other external factors over which we have no control; and
• other risks referenced from time to time in this report and other filings of ours with the Securities and Exchange Commission, or SEC, including in our annual report on Form 10-K for the year ended December 31, 2007 in Part I, Item 1A, "Risk Factors."

Sprint Nextel believes these forward-looking statements are reasonable; however, you should not place undue reliance on forward-looking statements, which are based on current expectations and speak only as of the date of this release. Sprint Nextel is not obligated to publicly release any revisions to forward-looking statements to reflect events after the date of this release.

Participants in Solicitation

Sprint, Clearwire and their respective directors and executive officers and other members of management and employees may be deemed to be participants in the solicitation of proxies in respect of the proposed transactions. Information concerning Sprint's participants is set forth in the proxy statement dated March 27, 2008 for Sprint's 2008 annual meeting of shareholders as filed with the SEC on Schedule 14A. Information concerning Clearwire's participants is set forth in the proxy statement dated April 29, 2008 for Clearwire's annual meeting of stockholders as filed with the SEC on Schedule 14A. Additional information regarding the interests of participants of Sprint and Clearwire in the solicitation of proxies in respect of the proposed transactions is included in the Registration Statement on Form S-4 (File No. 333-153128), and the proxy statement/prospectus contained therein, filed with the SEC. Those documents are available free of charge at the websites of the SEC and Clearwire.

ABOUT SPRINT NEXTEL

Sprint Nextel offers a comprehensive range of wireless and wireline communications services bringing the freedom of mobility to consumers, businesses and government users. Sprint Nextel is widely recognized for developing, engineering and deploying innovative technologies, including two wireless networks serving nearly 51 million customers at the end of the third quarter 2008; industry-leading mobile data services; instant national and international walkie-talkie capabilities; and a global Tier 1 Internet backbone. For more information, visit www.sprint.com.

                      Sprint Nextel Corporation
          CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
                  (Millions, except per Share Data)

TABLE NO. 4
----------------------------------------------------------------------

                                  Quarter Ended       Year To Date
                               ------------------- -------------------
                               September September September September
                                  30,       30,       30,       30,
                                 2008      2007      2008      2007
                               --------- --------- --------- ---------

Net Operating
 Revenues                      $  8,816  $ 10,044  $ 27,205  $ 30,299
                               --------- --------- --------- ---------
Operating
 Expenses
Cost of
 services                         3,043     3,005     8,968     9,044
Cost of
 products                         1,181     1,217     3,656     3,910
Selling,
 general
 and
 administrative                   2,768     3,077     8,782     9,443
Severance, exit
 costs and
 asset
 impairments
 (1)                                 13       125       323       384
Gain from asset
 dispositions
 and exchanges,
 net (1)                            (41)        -       (15)        -
Depreciation                      1,488     1,441     4,449     4,203
Amortization                        569       781     1,955     2,600
                               --------- --------- --------- ---------
Total operating
 expenses                         9,021     9,646    28,118    29,584
                               --------- --------- --------- ---------
Operating
 (Loss) Income                     (205)      398      (913)      715
Interest
 expense                           (338)     (367)   (1,029)   (1,099)
Interest income                      20        66        78       123
Other, net                            8         -       (17)       13
                               --------- --------- --------- ---------
Loss before
 Income Taxes                      (515)       97    (1,881)     (248)
Income tax
 benefit                            189       (33)      706       120
                               --------- --------- --------- ---------
Net (Loss)
 Income                        $   (326) $     64  $ (1,175) $   (128)
                               --------- --------- --------- ---------

Diluted (Loss)
 Earnings Per
 Common Share                  $  (0.11) $   0.02  $  (0.41) $  (0.04)
                               --------- --------- --------- ---------
Weighted
 Average Common
 Shares                           2,855     2,860     2,852     2,876
                               --------- --------- --------- ---------

Basic (Loss)
 Earnings Per
 Common Share                  $  (0.11) $   0.02  $  (0.41) $  (0.04)
                               --------- --------- --------- ---------
Basic weighted
 average common
 shares                           2,855     2,845     2,852     2,876
                               --------- --------- --------- ---------
Effective Tax
 Rate                              36.7%     34.0%     37.5%     48.4%
----------------------------------------------------------------------


----------------------------------------------------------------------
                Quarter Ended     Quarter Ended       Year To Date
               --------------- ------------------- -------------------
                June    June   September September September September
                 30,     30,      30,       30,       30,       30,
                2008    2007     2008      2007      2008      2007
               ------- ------- --------- --------- --------- ---------

Operating
 (Loss) Income $ (210) $  316  $   (205) $    398  $   (913) $    715
Special items
 before taxes
Merger and
 integration
 expense (2)       44     163         -       135       130       397
Severance, exit
 costs and
 asset
 impairments
 (1)               93      85        13       125       323       384
Loss (gain)
 from asset
 dispositions
 and exchanges,
 net (1)           12       -       (41)        -       (15)        -
Contingencies
 and other (3)      -       5         -         -         -        46
               ------- ------- --------- --------- --------- ---------
Adjusted
 Operating
 (Loss) Income*   (61)    569      (233)      658      (475)    1,542
Depreciation
 and
 amortization   2,157   2,313     2,057     2,222     6,404     6,803
               ------- ------- --------- --------- --------- ---------
Adjusted OIBDA* 2,096   2,882     1,824     2,880     5,929     8,345
Capital
 expenditures
 (4)              646   1,666       485     1,176     2,491     4,449
               ------- ------- --------- --------- --------- ---------
Adjusted OIBDA*
 less Capex    $1,450  $1,216  $  1,339  $  1,704  $  3,438  $  3,896
               ------- ------- --------- --------- --------- ---------

Operating
 (Loss) Income
 Margin (5)      -2.4%    3.3%     -2.5%      4.2%     -3.6%      2.5%
Adjusted OIBDA
 Margin*         24.4%   30.1%     21.9%     30.7%     23.1%     29.4%
----------------------------------------------------------------------

                      Sprint Nextel Corporation
          RECONCILIATIONS OF EARNINGS PER SHARE (Unaudited)
                  (Millions, except per Share Data)

TABLE NO. 5
----------------------------------------------------------------------

                Quarter Ended     Quarter Ended       Year To Date
                -------------- ------------------- -------------------
                June    June   September September September September
                  30,     30,     30,       30,       30,       30,
                 2008    2007    2008      2007      2008      2007
                ------- ------ --------- --------- --------- ---------

Net (Loss)
 Income         $ (344) $  19  $ (326)   $  64     $(1,175)  $ (128)
Special items
 (net of
 taxes)
Merger and
 integration
 expense (2)        27    100       -       84          80      244
Severance,
 exit costs
 and asset
 impairments
 (1)                56     52       8       78         199      239
Loss (gain)
 from asset
 dispositions
 and
 exchanges,
 net (1)             8      -     (25)       -          (9)       -
Contingencies
 and other (3)       -     12       -        -           -       37
Net gains on
 investment
 activities
 and equity in
 earnings            -    (11)      -       (4)          -      (15)
Tax audit
 settlement          -      -       -      (19)          -      (19)
Gain on early
 retirement of
 debt                -      -       -       (3)          -       (5)
                ------- ------ --------- --------- --------- ---------
Adjusted Net
 (Loss)
 Income*                $ 172  $ (343)   $ 200     $  (905)  $  353
                ------- ------ --------- --------- --------- ---------

Amortization
 (net of
 taxes)                   547     344      472       1,181    1,570
                ------- ------ --------- --------- --------- ---------
Adjusted Net
 Income
 before
 Amortization*          $ 719  $    1    $ 672     $   276   $1,923
                ------- ------ --------- --------- --------- ---------



Diluted (Loss)
 Earnings Per
 Common Share   $(0.12) $0.01  $(0.11)   $0.02       (0.41)   (0.04)
Special items
 (net of
 taxes)           0.03   0.05   (0.01)    0.05        0.09     0.16
                ------- ------ --------- --------- --------- ---------
Adjusted
 (Loss)
 Earnings Per
 Share*         $(0.09) $0.06  $(0.12)   $0.07     $ (0.32)  $ 0.12
                ------- ------ --------- --------- --------- ---------

Amortization
 (net of
 taxes)           0.15   0.19    0.12     0.16        0.42     0.55
                ------- ------ --------- --------- --------- ---------
Adjusted
 Earnings Per
 Share before
 Amortization*  $ 0.06  $0.25  $ 0.00    $0.23     $  0.10   $ 0.67
----------------------------------------------------------------------

                      Sprint Nextel Corporation
NON-GAAP WIRELESS STATEMENTS OF OPERATIONS AND STATISTICS (Unaudited)
           (Millions, except subscriber counts and metrics)

TABLE No. 6
----------------------------------------------------------------------

                                  Quarter Ended       Year To Date
                               ---------------------------------------
                               September September September September
                                  30,       30,       30,       30,
                                 2008      2007      2008      2007
                               --------- --------- --------- ---------
Net Operating Revenues
  Service                        $6,803    $7,778   $20,931   $23,491
  Equipment                         492       662     1,558     1,919
  Wholesale, affiliate and
   other                            241       258       746       793
                               --------- --------- --------- ---------
Total Net Operating
 Revenues                         7,536     8,698    23,235    26,203
                               --------- --------- --------- ---------

Operating Expenses
  Cost of services                2,268     2,166     6,589     6,420
  Costs of products               1,181     1,195     3,622     3,833
  Selling, general and
   administrative                 2,441     2,734     7,709     8,281
  Merger and integration
   expense (2)                        -        76       101       257
  Severance, exit costs
   and asset impairments
   (1)                                5       119       256       345
  Gain from asset
   dispositions and
   exchanges, net (1)               (35)        -       (12)        -
  Contingencies and other
   (3)                                -         -         -        23
  Depreciation                    1,327     1,308     4,006     3,809
  Amortization                      569       781     1,954     2,599
                               --------- --------- --------- ---------
Total operating expenses          7,756     8,379    24,225    25,567
                               --------- --------- --------- ---------
Operating (Loss) Income          $ (220)   $  319   $  (990)  $   636
----------------------------------------------------------------------



----------------------------------------------------------------------
NON GAAP RECONCILIATION            Quarter Ended     Quarter Ended
                                  --------------- -------------------
                                   June    June   September September
                                    30,     30,      30,       30,
                                   2008    2007     2008      2007
                                  ------- ------- --------- ---------

Operating (Loss) Income           $ (262) $  282    $ (220)   $  319
  Special items before taxes
    Merger and integration
     expense (2)                      35     122         -        76
    Severance, exit costs and
     asset impairments (1)            72      85         5       119
    Loss (gain) from asset
     dispositions and exchanges,
     net (1)                          13       -       (35)        -
    Contingencies and other (3)        -       5         -         -
                                  ------- ------- --------- ---------
Adjusted Operating (Loss) Income*   (142)    494      (250)      514
  Depreciation and amortization    2,010   2,177     1,896     2,089
                                  ------- ------- --------- ---------
Adjusted OIBDA*                    1,868   2,671     1,646     2,603
  Capital expenditures (4)           393   1,371       217       813
                                  ------- ------- --------- ---------
Adjusted OIBDA* less Capex        $1,475  $1,300    $1,429    $1,790
                                  ------- ------- --------- ---------

Operating (Loss) Income Margin
 (5)                                -3.6%    3.4%     -3.1%      4.0%
Adjusted OIBDA Margin*              25.7%   32.7%     23.4%     32.4%
----------------------------------------------------------------------



----------------------------------------------------------------------
NON GAAP RECONCILIATION                               Year To Date
                                                   -------------------
                                                   September September
                                                      30,       30,
                                                     2008      2007
                                                   --------- ---------

Operating (Loss) Income                              $ (990)   $  636
  Special items before taxes
    Merger and integration expense (2)                  101       257
    Severance, exit costs and asset impairments
     (1)                                                256       345
    Loss (gain) from asset dispositions and
     exchanges, net (1)                                 (12)        -
    Contingencies and other (3)                           -        23
                                                   --------- ---------
Adjusted Operating (Loss) Income*                      (645)    1,261
  Depreciation and amortization                       5,960     6,408
                                                   --------- ---------
Adjusted OIBDA*                                       5,315     7,669
  Capital expenditures (4)                            1,528     3,587
                                                   --------- ---------
Adjusted OIBDA* less Capex                           $3,787    $4,082
                                                   --------- ---------

Operating (Loss) Income Margin (5)                     -4.6%      2.6%
Adjusted OIBDA Margin*                                 24.5%     31.6%
----------------------------------------------------------------------



----------------------------------------------------------------------
Operating Statistics              Quarter Ended      Quarter Ended
                                ----------------- -------------------
                                June 30, June 30, September September
                                                     30,       30,
                                  2008     2007     2008      2007
                                -------- -------- --------- ---------

  Direct Post-Paid Subscribers
    Service revenue (in
     millions)                  $ 6,614  $ 7,497   $ 6,423   $ 7,364
    ARPU                        $    56  $    60   $    56   $    59
    Churn                           2.0%     2.0%     2.15%      2.3%
    Net (losses) additions (in
     thousands)                    (776)      16    (1,122)     (337)
    End of period subscribers
     (in thousands)              38,905   41,601    37,783    41,434
    Hours per subscriber             16       16        16        16

  Direct Prepaid Subscribers
    Service revenue (in
     millions)                  $   391  $   401   $   380   $   414
    ARPU                        $    30  $    31   $    31   $    30
    Churn                           7.4%     6.8%      8.2%      6.2%
    Net (losses) additions (in
     thousands)                    (138)     169      (329)       67
    End of period subscribers
     (in thousands)               4,240    4,456     3,911     4,523
    Hours per subscriber             13        7        14         8

  Wholesale Subscribers (6)
    Net (losses) additions (in
     thousands)                     (10)     155       108       194
    End of period subscribers
     (in thousands)               7,831    6,980     7,939     7,174

  Affiliate Subscribers
    Net additions (in
     thousands)                      23       33        22        16
    End of period subscribers
     (in thousands)                 883      978       905       824

  Total Subscribers
    Net (losses) additions (in
     thousands)                    (901)     373    (1,321)      (60)
    End of period subscribers
     (in thousands)              51,859   54,015    50,538    53,955


----------------------------------------------------------------------
Operating Statistics                                  Year To Date
                                                   -------------------
                                                   September September
                                                      30,       30,
                                                     2008      2007
                                                   --------- ---------

  Direct Post-Paid Subscribers
    Service revenue (in millions)                   $19,770   $22,279
    ARPU                                            $    56   $    60
    Churn                                               2.2%      2.2%
    Net (losses) additions (in thousands)            (2,968)     (541)
    End of period subscribers (in thousands)         37,783    41,434
    Hours per subscriber                                 15        16

  Direct Prepaid Subscribers
    Service revenue (in millions)                   $ 1,161   $ 1,212
    ARPU                                            $    30   $    31
    Churn                                               8.5%      6.6%
    Net (losses) additions (in thousands)              (667)      511
    End of period subscribers (in thousands)          3,911     4,523
    Hours per subscriber                                 13         7

  Wholesale Subscribers (6)
    Net (losses) additions (in thousands)               265       816
    End of period subscribers (in thousands)          7,939     7,174

  Affiliate Subscribers
    Net additions (in thousands)                         61        95
    End of period subscribers (in thousands)            905       824

  Total Subscribers
    Net (losses) additions (in thousands)            (3,309)      881
    End of period subscribers (in thousands)         50,538    53,955

                      Sprint Nextel Corporation
     WIRELINE STATEMENTS OF OPERATIONS AND STATISTICS (Unaudited)
                              (Millions)
TABLE NO. 7
----------------------------------------------------------------------
                                  Quarter Ended       Year To Date
                               ------------------- -------------------
                               September September September September
                                  30,       30,       30,       30,
                                 2008      2007      2008      2007
                               --------- --------- --------- ---------
Net Operating
 Revenues
  Voice                        $  755    $  868    $2,365    $2,676
  Data                            231       297       750       918
  Internet                        556       407     1,580     1,122
  Other                            34        40       116       128
                               --------- --------- --------- ---------
Total Operating
 Revenues                       1,576     1,612     4,811     4,844
                               --------- --------- --------- ---------

Operating
 Expenses
  Costs of
   services and
   products                     1,070     1,095     3,218     3,343
  Selling,
   general and
administrative
                                  243       227       744       770
  Severance,
   exit costs
   and asset
   impairments
   (1)                              4         3        60        35
  Gain from
   asset
   dispositions
   and
   exchanges,
   net (1)                         (4)        -        (2)        -
  Depreciation                    143       132       413       392
                               --------- --------- --------- ---------
  Total
   operating
   expenses                     1,456     1,457     4,433     4,540
                               ------------------- --------- ---------
Operating Income               $  120    $  155    $  378    $  304
-------------------------------------------------- -------------------



----------------------------------------------------------------------
NON GAAP         Quarter Ended    Quarter Ended       Year To Date
 RECONCILIATION
                 ------------- ------------------- -------------------
                 June   June   September September September September
                   30,    30,     30,       30,       30,       30,
                  2008   2007    2008      2007      2008      2007
                 ------ ------ --------- --------- --------- ---------
Operating Income $ 143  $ 126  $  120    $  155    $  378    $  304
  Special items
   before taxes
   Severance,
    exit costs
    and asset
    impairments
    (1)             20      -       4         3        60        35
   Gain from
    asset
    dispositions
    and
    exchanges,
    net (1)
                    (3)     -      (4)        -        (2)        -
   Contingencies
    and other
    (3)
                     -      -       -         -         -        23
                 ------ ------ --------- --------- --------- ---------
Adjusted
 Operating
 Income*           160    126     120       158       436       362
  Depreciation     139    133     143       132       413       392
                 ------ ------ --------- --------- --------- ---------
Adjusted OIBDA*    299    259     263       290       849       754
  Capital
   expenditures
   (4)             113    145      81       138       342       427
                 ------ ------ --------- --------- --------- ---------
Adjusted OIBDA*
 less Capex      $ 186  $ 114  $  182    $  152    $  507    $  327
                 ------ ------ --------- --------- --------- ---------

Operating Income
 Margin            8.9%   7.7%    7.6%      9.6%      7.9%      6.3%
Adjusted OIBDA
 Margin*          18.6%  15.9%   16.7%     18.0%     17.6%     15.6%
----------------------------------------------------------------------



----------------------------------------------------------------------
Operating        Quarter Ended    Quarter Ended       Year To Date
 Statistics
                 ------------- ------------------- -------------------
                  2Q     2Q     3Q 2008   3Q 2007
                  2008   2007                        2008      2007
                 ------ ------ --------- --------- --------- ---------
YOY Voice only
 minutes volume
 growth
(does not
 include minutes
 associated with
 Cable VOIP)        -9%     6%     -9%        4%       -8%        4%

                      Sprint Nextel Corporation

     CONDENSED CONSOLIDATED CASH FLOW INFORMATION (Unaudited)
                            (Millions)
TABLE NO. 8
------------------------------------------------------------------
                                               September September
                                                  30,       30,
For the Year to Date Period Ended                2008      2007
------------------------------------------------------------------
Operating Activities
  Net loss                                      $(1,175)  $  (128)
  Depreciation and
amortization                                      6,404     6,803
  Provision for losses on accounts
   receivable                                       559       645
  Share-based
compensation
expense                                             207       197
  Deferred income taxes                            (747)     (159)
  Other, net                                       (147)     (210)
                                               --------- ---------
Net cash provided by operating activities         5,101     7,148
                                               --------- ---------

Investing Activities
  Capital
expenditures                                     (3,272)   (4,651)
  Expenditures relating to FCC licenses            (655)     (462)
  Acquisitions, net of cash acquired                  -      (287)
  Decrease in marketable securities, net            113         9
  Proceeds from sale of investments and
   assets                                            76       157
  Cash collateral for securities loan
   agreements                                         -       866
  Other investing activities                        (10)       (6)
                                               --------- ---------
Net cash used in investing activities            (3,748)   (4,374)
                                               --------- ---------

Financing Activities
  Borrowings under credit facility                2,500       750
  Repayments under credit facility                 (500)        -
  Proceeds from issuance of debt
   securities                                         -       750
  Proceeds from financing obligation                645         -
  Proceeds from issuance of commercial
   paper                                            681     4,837
  Maturities of commercial paper                 (1,060)   (4,951)
  Purchase, retirements and payments of
   debt and capital leases                       (1,797)   (1,386)
  Payments of securities loan agreements              -      (866)
  Purchase of common shares                           -    (1,833)
  Dividends paid                                      -      (215)
  Proceeds from issuance of common shares,
   net                                               48       337
                                               --------- ---------
Net cash provided by (used in) financing
 activities                                         517    (2,577)
                                               --------- ---------

Change in Cash and Cash Equivalents               1,870       197

Cash and Cash Equivalents, beginning of
 period                                           2,246     2,046
                                               --------- ---------

Cash and Cash Equivalents, end of period        $ 4,116   $ 2,243
------------------------------------------------------------------





                      FREE CASH FLOW (NON GAAP)
                              (Millions)
TABLE NO. 9
----------------------------------------------------------------------

                                  Quarter Ended      Quarter Ended
                                ----------------- -------------------
                                June 30, June 30, September September
                                                     30,       30,
                                  2008     2007     2008      2007
                                -------- -------- --------- ---------

Adjusted OIBDA*                 $ 2,096  $ 2,882    $1,824   $ 2,880
  Adjust for special items         (149)    (253)       28      (260)
  Other operating activities,
   net (7)                         (868)    (659)       63        94
                                -------- -------- --------- ---------
Cash from Operating Activities
 (GAAP)                           1,079    1,970     1,915     2,714

  Capital
expenditures                       (899)  (1,577)     (703)   (1,261)
  Expenditures relating to FCC
   licenses                        (194)    (151)     (187)     (204)
  Proceeds from sales of
   investments and assets            30       15        38       115
  Dividends paid                      -      (72)        -       (71)
  Other investing activities,
   net                               (5)      (2)       (4)       (2)
                                -------- -------- --------- ---------
Free Cash Flow*                      11      183     1,059     1,291

  Purchase of common shares           -   (1,101)        -      (432)
  Increase (decrease) in debt,
   net                           (1,306)     748      (393)     (775)
  Acquisitions,
net of cash
acquired                              -        -         -      (287)
  Proceeds from issuance of
   common shares, net                17      243        22        25
  Decrease (increase) in
   marketable securities, net        69        5       (41)       (3)
                                -------- -------- --------- ---------
Change in Cash and Cash
 Equivalents (GAAP)             $(1,209) $    78    $  647   $  (181)
                                -------- -------- --------- ---------

                                                      Year-to-Date
                                                   -------------------
                                                   September September
                                                      30,       30,
                                                     2008      2007
                                                   --------- ---------

Adjusted OIBDA*                                     $ 5,929   $ 8,345
  Adjust for special items                             (438)     (827)
  Other operating activities, net (7)                  (390)     (370)
                                                   --------- ---------
Cash from Operating Activities (GAAP)                 5,101     7,148

  Capital
expenditures                                         (3,272)   (4,651)
  Expenditures relating to FCC licenses                (655)     (462)
  Proceeds from sales of investments and assets          76       157
  Dividends paid                                          -      (215)
  Other investing activities, net                       (10)       (6)
                                                   --------- ---------
Free Cash Flow*                                       1,240     1,971

  Purchase of common shares                               -    (1,833)
  Increase (decrease) in debt, net                      469         -
  Acquisitions,
net of cash
acquired                                                  -      (287)
  Proceeds from issuance of common shares, net           48       337
  Decrease (increase) in marketable securities,
   net                                                  113         9
                                                   --------- ---------
Change in Cash and Cash Equivalents (GAAP)          $ 1,870   $   197
                                                   --------- ---------

                      Sprint Nextel Corporation
                     CONSOLIDATED BALANCE SHEETS
                              (Millions)
TABLE NO. 10                                     (Unaudited)
----------------------------------------------------------------------
                                                 September   December
                                                     30,        31,
                                                    2008       2007
                                                 ----------- ---------
Assets
  Current assets
    Cash and cash equivalents                      $  4,116  $  2,246
    Marketable securities                                75       194
    Accounts and notes receivable, net                3,452     4,196
    Device and accessory inventory                      682       938
    Deferred tax assets                                 181       447
    Prepaid expenses and other current assets           760       640
                                                 ----------- ---------
    Total current assets                              9,266     8,661

  Investments                                           137       165
  Property, plant and equipment, net                 24,773    26,636
  Goodwill                                              977       978
  FCC licenses and other                             21,990    21,123
  Customer relationships, net                         2,396     4,203
  Other definite lived intangible assets, net         1,695     1,835
  Other assets                                          627       694
                                                 ----------- ---------

  Total                                            $ 61,861  $ 64,295
                                                 ----------- ---------

Liabilities and Shareholders' Equity
  Current liabilities
    Accounts payable                               $  2,582  $  3,481
    Accrued expenses and other current
     liabilities                                      3,849     3,960
    Current portion of long-term debt and
     capital lease obligations                        1,617     1,661
                                                 ----------- ---------
    Total current liabilities                         8,048     9,102

  Long-term debt and capital lease obligations       21,023    20,469
  Deferred tax liabilities                            7,846     8,742
  Other liabilities                                   3,785     3,847
                                                 ----------- ---------
    Total liabilities                                40,702    42,160
                                                 ----------- ---------

  Shareholders' equity
    Common shares                                     5,902     5,902
    Paid-in capital                                  46,843    46,693
    Treasury shares, at cost                         (1,970)   (2,161)
    Accumulated deficit                             (29,509)  (28,188)
    Accumulated other comprehensive loss               (107)     (111)
                                                 ----------- ---------
    Total shareholders' equity                       21,159    22,135
                                                 ----------- ---------

  Total                                            $ 61,861  $ 64,295
----------------------------------------------------------------------




                   NET DEBT (NON-GAAP) (Unaudited)
                              (Millions)
TABLE NO. 11
----------------------------------------------------------------------
                                                 September   December
                                                     30,        31,
                                                    2008       2007
                                                 ----------- ---------
Total Debt                                         $ 22,640  $ 22,130
  Less: Cash and cash equivalents                    (4,116)   (2,246)
  Less: Marketable securities                           (75)     (194)
                                                 ----------- ---------
Net Debt*                                          $ 18,449  $ 19,690
                                                 =========== =========

                      Sprint Nextel Corporation
                     Schedule of Debt (Unaudited)
                              (Millions)
TABLE NO. 12
----------------------------------------------------------------------
                                                             September
                                                                30,
                                                               2008
----------------------------------------------------------------------

 ISSUER                                    COUPON  MATURITY  PRINCIPAL
 ----------------------------------------- ------ ---------- ---------
 Sprint Nextel Corporation
 Floating Rate Notes due 2010              4.169% 06/28/2010       750
 Bank Credit Facility                      4.038% 12/19/2010     2,000
 Export Development Canada Facility        4.601% 03/30/2012       750
 6% Notes due 2016                         6.000% 12/01/2016     2,000
 9.25% Debentures due 2022                 9.250% 04/15/2022       200
                                                             ---------
  Sprint Nextel Corporation subtotal                             5,700

 Sprint Capital Corporation
 6.375% Notes due 2009                     6.375% 05/01/2009       600
 7.625% Notes due 2011                     7.625% 01/30/2011     1,650
 8.375% Notes due 2012                     8.375% 03/15/2012     2,000
 6.9% Notes due 2019                       6.900% 05/01/2019     1,729
 6.875% Notes due 2028                     6.875% 11/15/2028     2,475
 8.75% Notes due 2032                      8.750% 03/15/2032     2,000
                                                             ---------
  Sprint Capital Corporation subtotal                           10,454

 Nextel Communications Inc.
 5.25% Convertible Senior Notes due 2010   5.250% 01/15/2010       607
 6.875% Senior Serial Redeemable Notes due
  2013                                     6.875% 10/31/2013     1,473
 5.95% Senior Serial Redeemable Notes due
  2014                                     5.950% 03/15/2014     1,170
 7.375% Senior Serial Redeemable Notes due
  2015                                     7.375% 08/01/2015     2,137
                                                             ---------
  Nextel Communications Inc. subtotal                            5,387

 Tower financing obligation                9.500% 01/01/2028       694

 Capital lease obligations and other                                90

                                                             ---------
 TOTAL PRINCIPAL                                                22,325

 Premiums, discounts, variable interest entity and other
  adjustments                                                      315

                                                             ---------
 TOTAL DEBT                                                    $22,640
                                                             =========

                      Sprint Nextel Corporation
                 NOTES TO FINANCIAL DATA (Unaudited)

(1) In the third quarter 2008, severance, exit costs and asset
     impairment charges and gains from asset dispositions and
     exchanges were a net $28 million credit. In the year-to-date
     period 2008, we recorded severance, exit costs and asset
     impairment charges and gains from asset dispositions and
     exchanges of $308 million pre-tax ($190 million, net of tax)
     primarily related to the work force reductions and continued
     organizational realignment initiatives. In the third quarter 2007
     and year-to-date period 2007, we recorded severance, exit costs
     and asset impairment charges of $125 million pre-tax ($78
     million, net of tax) and $384 million pre-tax ($239 million, net
     of tax), respectively. These costs consist of workforce
     reductions, realignment initiatives and exit and asset impairment
     costs associated with lease termination charges and write-off of
     network costs. Severance, exit costs and asset impairment charges
     and gains or losses from asset dispositions and exchanges are
     allocated to the appropriate segment results.

(2) In the third quarter 2008, merger and integration costs were not
     material. In the year-to-date period 2008, we recorded merger and
     integration costs of $130 million pre-tax ($80 million, net of
     tax). In the third quarter 2007 and year-to-date period 2007, we
     recorded merger and integration costs of $135 million pre-tax
     ($84 million, net of tax) and $397 million pre-tax ($244 million,
     net of tax), respectively. All merger costs are related to the
     Sprint-Nextel merger and/or the PCS Affiliates and Nextel
     Partners' acquisitions and are generally non-recurring in nature.
     Merger and integration expenses which are solely and directly
     attributable to the Wireless segment have been allocated to that
     segment. These expenses are classified as selling, general and
     administrative, cost of products, or equipment revenues as
     appropriate on our consolidated statement of operations. Merger
     and integration expenses that are not solely and directly
     attributable to the Wireless segment are included in the
     Corporate segment and are classified as selling, general and
     administrative expenses on our consolidated statement of
     operations.

(3) Contingencies and other includes charges associated with legal
     contingencies and net costs associated with the exit of a non-
     core line of business.

(4) Capital expenditures is an accrual based amount that includes the
     changes in unpaid capital expenditures and excludes capitalized
     interest. Consolidated capital expenditures of $485 million for
     the third quarter 2008 includes $185 million reduction in accrued
     capital expenditures less $33 million of capitalized interest.
     Wireless segment capital expenditures of $217 million for the
     third quarter 2008 includes $158 million reduction in accrued
     capital expenditures less $11 million of capitalized interest.
     Wireline segment capital expenditures of $81 million for the
     third quarter 2008 includes $7 million reduction in accrued
     capital expenditures less $2 million of capitalized interest.

    Consolidated capital expenditures of $2.5 billion for the year-to-
     date period 2008 includes $674 million reduction in accrued
     capital expenditures less $107 million of capitalized interest.
     Wireless segment capital expenditures of $1.5 billion for the
     year-to-date period 2008 includes $487 million reduction in
     accrued capital expenditures less $50 million of capitalized
     interest. Wireline segment capital expenditures of $342 million
     for the year-to-date period includes $72 million reduction in
     accrued capital expenditures less $5 million of capitalized
     interest. Cash paid for capital expenditures can be found in the
     statements of cash flows on Table No. 8 and free cash flows on
     Table No. 9.

(5) Operating (loss) income margin excludes equipment revenues.

(6) Certain wholesale devices are activated on the network prior to
     selling the device to the end customer, which resulted in
     approximately 210,000 additions during the third quarter 2008. As
     of September 30, 2008, these subscribers for which devices are
     not in the hands of an end user customer represented
     approximately 3% of the total wholesale subscriber base.

(7) Other operating activities, net includes the change in working
     capital, change in deferred income taxes, miscellaneous operating
     activities and non-operating items in net loss.

CONTACT: Sprint Nextel Corp.
Media Relations
James Fisher, 703-433-8677
james.w.fisher@sprint.com
or
Investor Relations
Yijing Brentano, 800-259-3755
Investor.relations@sprint.com

SOURCE: Sprint Nextel Corp.