Sprint-Nextel posts $29.5 billion loss

Posted February 29, 2008 at 01:12 PM by Sue Walsh

Section: Communications, Cellphones, Cellular Providers, Mobile

Sprint-Nextel’s stock dropped more than 9% after the company announced a $29.45 billion 4th quarter loss.The loss is being blamed on a huge write down related to the company’s merger with Nextel. The company also announced the suspension of dividend payouts and the borrowing of $2.5 billion from a revolving credit facility. Sprint-Nextel CEO Dan Hesse said the loan would allow them to focus on fixing the business and avoid the financial risk of outstanding loans.

Read [New York Times]