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2009 Opportunities

Looking ahead, the current economic turmoil provides us with a significant opportunity. We continue to use our thoughtful, time-tested launch approach as we enter our largest markets to date. With our joint venture partner, we brought our Cricket product portfolio to Chicago and Philadelphia in the first quarter of 2009, and expect to launch in Baltimore and Washington D.C. by the middle of 2009. We are innovating value on an unprecedented scale just as the average American consumer is increasingly looking for greater value.

We believe Leap has an opportunity to make strategic gains in the current downturn. History tells us that in periods of major economic disruptions the competitive field in any industry can get reshuffled and players can emerge from the pack to win new leadership positions. If we look back, many successful companies have used economic downturns as a catalyst to create opportunity and move ahead. We plan to be one of those companies.

Growth Strategies

To that end, we are positioning our business, operations, brand and culture to support our expansion. First, we are growing our business with new market launches, broader coverage and even higher-density networks to provide a great customer experience at industry-leading pricing. We continue to expand our popular Cricket Broadband service, and we are evaluating a potential transition of Cricket PAYGo from a trial to commercial operation. Our focus on continually offering richer products, across even higher-quality networks, makes us more competitive, while driving growth and long-term value.

Second, we are taking advantage of our growing operational scale, as well as enhancing and streamlining our processes from billing to logistics to customer care. Our strategy is designed to improve the customer experience across our networks, devices, distribution and service.