20030822Nextel Response to ITA.pdf

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McDEVITT & MILLER, LLP
Dean J. Miller (ISB No. 1968)
420 West Bannock Street
O. Box 2564-83701
Boise, Idaho 83702
Phone [phone]
Facsimile [phone]
j oe~mcdevitt -miller. com
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BRIGGS AND MORGAN, P.
Philip R. Schenkenberg (MN #260551)
2200 First National Bank Building
332 Minnesota Street
Saint Paul, Minnesota 55101
Phone [phone]
Facsimile [phone]
pschenkenberg(fYbriggs. com
Attorneys For NPCR, Inc. d/b/a Nextel Partners
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
In the Matter of the Petition of IA T
Communications, Inc. d/b/a NTCH-Idaho, Inc., or )
Clear Talk, for Designation as an Eligible
Telecommunications Carrier
Case No. GNR-O3-
In the Matter of the Application of NPCR, INC.d/b/a NEXTEL PARTNERS Seeking
Designation as an Eligible Telecommunications
Carrier that may receive Federal Universal Service
Support
Case No. GNR-O3-
NEXTEL PARTNERS' OBJECTIONS TO REQUESTS FROM
THE IDAHO TELEPHONE ASSOCIATION
For its responses to requests from The Idaho Telephone Association ("ITA"), Nextel
Partners states as follows:
REOUEST NO.
Please state the total number of Nextel subscribers in each of the requested Designated
Areas, identifying these customers as either business or residence users.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. To the extent this
request seeks information not previously disclosed in public documents, such information is
confidential, privileged and a Trade Secret.Subject to those objection and without waiver
thereof, Nextel Partners will provide its most recent line count data filed with the Universal
Service Administrative Company ("US AC"
REQUEST NO.
Please state the number of Idaho subscribers Nextel currently serves to in all areas
outside the requested Designated Areas, identifying these customers as either business or
residence users.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners is not
seeking designation in the areas outside of the requested Designated Areas. To the extent this
request seeks information not previously disclosed in public documents, such information is
confidential, privileged and a Trade Secret.
REQUEST NO.
Please describe the various rate plans and services Nextel provides to its customers
including all rate plans, measured usage services, roaming charges, product lines, service
bundles, and features.
OBJECTION:
Nextel Partners objects to this request as seeking information that is neither admissible
nor reasonably calculated to lead to the discovery of information relevant to the matters
presented in this proceeding. Nextel Partners does not seek universal service support in this
proceeding, or approval of service offerings. Nextel Partners seeks designation as a federal ETC
which will allow it to submit requests for universal service support to the universal service
administrative company ("USAC") in accordance with rules in 47 c.F.R. Ch. 54.
The FCC has rejected claims that an applicant must provide a detailed list of services or
service offerings:
(C)ontrary to the arguments of the Alabama Rural LECs, (an ETC applicant) is
not required to provide detailed description of its planned universal service
offerings beyond its commitment to provide, or statement that it is now providing,
all of the services supported by the universal service mechanism.
In the Matter of Federal State Joint Board on Universal Service CC Docket No. 96-
Memorandum Opinion and Order DA 02-3181 , ,-r 19 (rei. Nov, 27, 2002) RCC Holdings
Order
Once designated as a federal ETC, Nextel Partners would be entitled to seek universal
service funding from USAC for all lines that contain the FCC's supported services. The FCC
rules do not require that federal universal service offerings be at certain rates or subject to certain
service agreements to be eligible for universal service support. Nextel Partners reserves the right
to modify the rates, terms and conditions of its service offerings at any time to respond to
customer demand and market competition.
Nextel Partners further objects to this request as overbroad to the extent it seeks an
identification of all rate plans and service packages that its customers may have.
Subject to those objections, Nextel Partners will identify rates, terms and conditions for
service offerings currently available directly from the Company.
REQUEST NO.
Please provide copies of the documents relating to Nextel's decision to file for ETC status
of Idaho, including but not limited to memorandums, board of directors minutes, management
presentations, correspondence and financial analysis and forecasts.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. To the extent this
request seeks information not previously disclosed in public documents, such information is
confidential, privileged and a Trade Secret.
REOUEST NO.
What is Nextel's monthly average per Idaho subscriber for the six month period ending
June 30, 2003 and for fiscal year 2002 including in the calculation all revenues from all classes
of plans, features, equipment fees and sales, roaming charges, and any other subscriber fees.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as burdensome to the extent it would require Nextel Partners to conduct
analyses of Idaho customer data that do not otherwise exist. Nextel Partner s revenues are not a
consideration in determining whether Nextel Partners qualifies for ETC designation. To the
extent this request seeks information not previously disclosed in public documents, such
information is confidential, privileged and a Trade Secret. Subject to those objections, Nextel
Partners is a publicly traded company that regularly files detailed financial information with the
Securities and Exchange Commission ("SEC"). SEC filings, the Company s 2002 lO-, and
more recent financial information can be reviewed at
REQUEST NO.
Please state Nextel's total debt-to-equity ratio at June 30, 2003, and state the dollar
amounts supporting such ratio.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners' debt-
to-equity ratio is not a consideration in determining whether Nextel Partners qualifies for ETC
designation. To the extent this request seeks information not previously disclosed in public
documents, such information is confidential, privileged and a Trade Secret. Subject to those
objections, Nextel Partners is a publicly traded company that regularly files detailed financial
information with the Securities and Exchange Commission ("SEC"
).
SEC filings, the Company
2002 10-K, and more recent financial information can be reviewed at
REQUEST NO.
Please describe each and every loan facility, funding instrument, promissory note, or
other form of short-term or long-term indebtedness incurred by Nextel, including in such
description, where applicable, the type of instrument, the dollar amount, interest rate and due
dates, amount of origination fees, terms governing repayment, collateral subject to security
agreements, the value of the secured collateral, record of missed payments, penalties for missed
payments, notice of default, and any restrictive covenants that either cap the company
indebtedness or require the lender s approval prior to assuming more debt.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome.To the extent this request seeks
information not previously disclosed in public documents, such information is confidential
privileged and a Trade Secret. Subject to those objections, Nextel Partners is a publicly traded
company that regularly files detailed financial information with the Securities and Exchange
Commission ("SEC"SEC filings, the Company s 2002 10-K, and more recent financial
information can be reviewed at
REQUEST NO.
Please state Nextel's debt-service ratio , meaning the ratio of EBITDA (Earnings Before
Interest, Taxes, Depreciation, and Amortization) to all principal payments on long-term debt
plus pro forma cash interest expense for the next succeeding four fiscal quarters.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome. Nextel Partners' debt-service ratio is not a
consideration in determining whether Nextel Partners qualifies for ETC designation. To the
extent this request seeks information not previously disclosed in public documents, such
information is confidential, privileged and a Trade Secret. Subject to those objections, Nextel
Partners is a publicly traded company that regularly files detailed financial information with the
Securities and Exchange Commission ("SEC"). SEC filings, the Company s 2002 lO-, and
more recent financial information can be reviewed at
REQUEST NO.
Please describe all debt securities issues by Nextel, including amounts, maturities and
interest rate or original purchase discount.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome. Nextel Partners' debt securities are not a
consideration in determining whether Nextel Partners qualifies for ETC designation. To the
extent this request seeks information not previously disclosed in public documents, such
information is confidential, privileged and a Trade Secret. Subject to those objections, Nextel
Partners is a publicly traded company that regularly files detailed financial information with the
Securities and Exchange Commission ("SEC"). SEC filings, the Company s 2002 10-K, and
more recent financial information can be reviewed at
REQUEST NO. 10
Please state whether the loan covenants or stock restrictions of any affiliates in any way
restrict or limit Nextel's ability to raise capital , whether through debt or equity, explaining the
nature of such restriction or limitation.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome.To the extent this request seeks
information not previously disclosed in public documents, such information is confidential
privileged and a Trade Secret. Subject to those objections, Nextel Partners is a publicly traded
company that regularly files detailed financial information with the Securities and Exchange
Commission ("SEC"SEC filings, the Company s 2002 1O-K, and more recent financial
information can be reviewed at
REQUEST NO. 11
Please provide copies of all reports or analysis issued by rating agencies on Nextel
including, but not limited to, Standard & Poors Ratings Services for the prior three years.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome. Nextel Partners ' revenues are not a
consideration in determining whether Nextel Partners qualifies for ETC designation. Subject to
those objections, Nextel Partners is a publicly traded company that regularly files detailed
financial information with the Securities and Exchange Commission ("SEC"
).
SEC filings, the
Company s 2002 lO-, and more recent financial information can be reviewed at
REQUEST NO. 14
Please provide copies of Nextel's financial statements for the six months ended June 30
2003 and audited financial statements for the fiscal year 2002.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. To the extent this
request seeks information not previously disclosed in public documents, such information is
confidential, privileged and a Trade Secret. Subject to those objections, Nextel Partners is a
publicly traded company that regularly files detailed financial information with the Securities
and Exchange Commission ("SEC"
).
SEC filings, the Company s 2002 lO-, and more recent
financial information can be reviewed at
REQUEST NO. 15
Please provide copies of all financial reports on Nextel's operations in Idaho for the six
months ended June 30, 2003 and for the fiscal year 2002.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome. Nextel Partners' revenues are not a
consideration in determining whether Nextel Partners qualifies for ETC designation. To the
extent this request seeks information not previously disclosed in public documents, such
information is confidential, privileged and a Trade Secret. Subject to the objection, Nextel
Partners is a publicly traded company that regularly files detailed financial information with the
Securities and Exchange Commission ("SEC"). SEC filings, the Company s 2002 lO-, and
more recent financial information can be reviewed at . Nextel Partners
has no financial reports for Idaho operations.
REQUEST NO. 16
Please provide copies of internal management reports analyzing N extel's financial and
operational performance on a monthly, quarterly, or annual basis for the six months ended June
, 2003 and for the fiscal year 2002.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome.To the extent this request seeks
information not previously disclosed in public documents, such information is confidential
privileged and a Trade Secret. Subject to those objections, Nextel Partners is a publicly traded
company that regularly files detailed financial information with the Securities and Exchange
Commission ("SEC"SEC filings, the Company s 2002 1O-K, and more recent financial
information can be reviewed at
REQUEST NO. 17
Please provide details identifying by type of equipment and location Nextel's budgeted
capital expenditures for the state ofIdaho for fiscal year 2003 and 2004.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. To the extent this
request seeks information not previously disclosed in public documents, such information is
confidential, privileged and a Trade Secret.
REQUEST NO. 19
Please provide copies of internal reports analyzing customer servIce and billing
complaints for the past twenty-four months ending June 30 2003.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome.To the extent this request seeks
information not previously disclosed in public documents, such information is confidential
privileged and a Trade Secret.
REQUEST NO. 20
Please provide copies of internal reports analyzing customer churn for the past twenty-
four months ending June 30 2003.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome.To the extent this request seeks
information not previously disclosed in public documents, such information is confidential
privileged and a Trade Secret.
REQUEST NO. 22
Please provide copies of financial budgets or forecasts detailing or describing the use of
proceeds from the USAC in the event the company s ETC application is approved for the
requested Designated Areas in Idaho.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome.To the extent this request seeks
information not previously disclosed in public documents, such information is confidential
privileged and a Trade Secret. Subject to that objection, no such budgets or forecasts exist.
REQUEST NO. 25
Please provide details as to the amount of local usage that will be included in Nextel's
proposed universal service offering in the requested Designated Areas.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of information relevant to the matters
presented in this proceeding. Nextel Partners does not seek universal service support in this
proceeding, and does not seek approval of any universal service offerings. Nextel Partners seeks
designation as a federal ETC, which will allow it to submit requests for universal service support
to the universal service administrative company ("USAC") in accordance with rules in 47 c.F.
Ch. 54.Subject to that objection and without waiver thereof, Nextel Partners will offer
consumers an amount of local usage as required by FCC rules. Local usage levels for offerings
currently available directly from the Company will be provided.
REQUEST NO. 26
Please identify each ofNextel's competitors in the requested Designated Area.
OBJECTION:
Nextel Partners objects to this request as overbroad and vague as to what constitutes a
competitor. II Subject to that objection, Nextel Partners views each of the incumbent carriers as
its competitor. Nextel Partners also competes with other wireless carriers in providing service in
Idaho. Nextel Partners does not know exactly where those other companies provide wireless
services. Owners of wireless licenses in Idaho can be determined by the requesting companies
by reviewing the FCC's universal licensing system at
REQUEST NO. 27
Please provide copies of documents showing Nextel's estimated market share for the
entire company, state ofIdaho, and in the requested Designated Area.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Nextel Partners
objects to this request as overbroad and burdensome, and as vague as to the meaning of the term
market share." To the extent this request seeks information not previously disclosed in public
documents, such information is confidential, privileged and a Trade Secret.
REQUEST NO. 29
Please identify the specific media that would be utilized to advertise the nine supported
services and the amount of advertising funds that would be expended during the first twelve
months following the Commission s approval ofthe application.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence. Subject to that
objection, Nextel Partners expects to advertise its provision of universal services throughout its
designated areas in Idaho. Through its arrangement with Nextel Communications, Inc., the
Nextel Brand name will be advertised nationally using media of general distribution that reaches
customers throughout Idaho, including television, radio, and newspapers. The Nextel brand
name is also advertised in conjunction with sponsorships of major events such as NFL football
professional golf and college basketball on CBS, major league baseball and Nlll.- hockey on
ABC and ESPN channels. Nextel Partners cannot state the amount of advertising funds that
would be expended during the first twelve months following the Commission s approval of the
application.
REQUEST NO. 34
Please provide details on any known instances in the requested Designated Areas where
end users are currently not receiving the nine supported services contained in the FCC's
definition of universal service.
OBJECTION:
Nextel Partners objects to this request as vague with regard to the meaning of the term
end user." Subject to that objection, Nextel Partners knows of no specific instance in which a
consumer in the designated areas is without access to the nine supported services.
REQUEST NO. 37:
If Nextel does not have interconnection agreements or reciprocal compensation
agreements with the incumbent LECs in the Designated Areas, please explain how the incumbent
LECs are compensated for the termination of calls originated by Nextel customers to the
incumbent LECs' customers.
OBJECTION:
Nextel Partners objects to this request as calling for information that is neither admissible
nor reasonably calculated to lead to the discovery of admissible evidence.
Respectfully submitted
Dated: August --,2003
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McDEVITT & MILLER, LLP
Dean 1. Miller
420 West Bannock Street
O. Box 2564-83701
Boise, Idaho 83702
Phone [phone]
Facsimile [phone]
BRIGGS AND MORGAN, P.
Philip R. Schenkenberg (MN #260551)
Matthew Slaven (MN #288226)
2200 First National Bank Building
332 Minnesota Street
Saint Paul, Minnesota 55101
Phone [phone]
Facsimile [phone]
COUNSEL FOR APPliCANT
NPCR, INC d/b/a NEXTEL PARTNERS