The following chart was presented by Bruce Dickinson, a broker of MMDS channels, at a valuation session held on July 11, 2000 during the WCA International Conference in New Orleans. The chart is useful as it lays out what has been paid for spectrum recently. This may be useful to ITFS licensees attempting to determine what their spectrum may be worth currently. The six member panel seemed to agree that the future value of the spectrum is unknown. Given this, it might be worthwhile to consider leasing based upon current value with a clause for reopening discussions if the business model changes. Future changes could be more dramatic than the move from video to two-way fixed broadband with present technology.

Mr. Dickinson noted that the variation in values tends to follow the amount of spectrum gathered in one market and across markets. Thus, higher prices/channel were paid for large amalgamations of spectrum and smaller prices/channel were paid for smaller markets.

6/1/00 – Definitive Agreement

Nucentrix

Individuals

Rockford, IL

MMDS channels

250,000 Households

$5,600,000 stock plus $400,000 debt assumption

$24.00/

Household

$0.73/Ch/Household

Pending Closing-3Q/00

Sprint

Haddonfield Com (E) and G&S TV (F)

Phoenix

920,000 Households

$5,000,000 cash

$0.71/Ch/Household

4Q/99 – Closed

Sprint

Partnership

Nashville, TN

MMDS channels

237,000

Households

$8,000,000 cash

$33.76/

Household

$1.09/Ch/Household

4Q/99 – Closed

Sprint

Wireless Broadcasting Systems of America

13 Markets

2,750,000 Households

$108,000,000 stock

$39.27/

Household

$1.27/Ch/Household

4Q/99 – Closed

Sprint

Wireless Holdings

8 Markets

6,400,000

Households

$210,000,000 cash

$32.86/

Household

$1.43/Ch/Household

4Q/99 – Closed

Sprint

American

Telecasting

53 Markets

10,069,000

Households

$423,000,000 in cash and debt assumption minus $14,000,000 in current assets

$40.61/

Household

$1.79/Ch/Household

4Q/99 – Closed

Sprint

People’s Choice TV

9 Markets

10,159,000

Households

$467,000,000 in cash and debt assumption minus $63,000,000 in current assets

$39.80/

Household

$1.31/Ch/Household

3Q/99 – Closed

Worldcom

CAI Wireless System/CS

Wireless Systems

34 Markets with minor channel positions in 13 markets

24,633,000

Households

$1,057,000,000 in cash and debt assumption minus $67,000,000 in current assets

$40.19/

Household

$1.43/Ch/Household

3Q/99 - Closed

Worldcom

Wireless One

Multiple Markets

11,200,000

Households

$445,400,000 in cash and debt assumption

$39.77/

Household

Prepared by:

Bruce R. Dickinson, Senior Vice President

303.778.5573 – bdickins@bdaniels.com

3200 Cherry Creek South Drive
Suite 500
Denver, Colorado 80209