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NEXTEL BOOMS IN 1997, NEW PHONE ADDS BATTERY POWER

McLEAN, Va.-Nextel Communications Inc. introduced several new products and services, including the i600 phone, and announced record subscriber numbers in the fourth quarter 1997.

Nextel’s digital subscriber units in service increased 324,100 during the fourth quarter, exceeding the company’s third-quarter additions. During 1997, Nextel added more than 970,000 digital units, ending the year with about 1.3 million units in service, representing an increase of 323 percent over 300,300 in 1996.

Fourth-quarter revenue per unit also increased 21 percent over the 1996 fourth quarter, from $56 per unit to $68. Churn levels remained below 1.5 percent during 1997.

The Nextel i600, manufactured by Motorola Inc., is smaller and lighter than current Nextel phone models and offers up to 120-percent more battery life than previous models with the same battery, Nextel said. It also offers new features including a vibration alert, voice mail, paging, three-way calling and the option for a second line.

Nextel’s enhanced specialized mobile radio network operates using Motorola’s integrated Digital Enhanced Network technology.

Expansion of the Nextel national iDEN network “resulted in the addition of approximately 2,100 new digital cell sites, ending 1997 with more than 4,000 digital cell sites in service,” said Dan Akerson, chairman and chief executive officer of Nextel.

Nextel also announced the introduction of business networks in its local markets, the availability of nationwide caller ID in 75 percent of its markets and online paging from its Web site.

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