Upload
sabrina-simon
View
214
Download
0
Tags:
Embed Size (px)
Citation preview
Click to edit Master subtitle Click to edit Master subtitle stylestyle
Overview of Overview of Cricket Wireless Cricket Wireless LifelineLifeline
June 2010June 2010
Cricket Background
• Parent Company - Leap Wireless International, Inc. (NASDAQ: LEAP)
• Founded in 1998
• Headquartered in San Diego, CA
• Markets in 35 states; Nationwide Coverage
• Over 5.4 million customers
• 7th Largest Wireless Provider in US
Consumer Focused Business Model
• Unlimited, Flat-Rate Mobile Voice and Data Services
• No Long-Term Service Contracts
• No Early Termination Fees
• No Credit Checks
• Underserved Customer Demographics
• Simple, Easy-to-Understand Pricing & Predictable Bills
®®
60% From Ethnic Groups*
45% Younger Than 35*
50% Earn Less Than $35,000/yr*
Our Customer Demographics
* Source: Cricket Q2 09 Customer Survey, Cricket customer database, Yankee Group, M:Metrics
Providing Customers Value
>90% Use Cricket as
Primary Phone*
>75% Use Cricket as
Only Phone*
~1,500 minutes/month
average*
~82% Use Text Message Each
Month*
*Source: Cricket Q2 09 Customer Survey, Cricket customer database, Yankee Group
Cricket Lifeline
– Overview of Lifeline• Designed to ensure that quality telecommunications services are available to low-income
customers at reasonable and affordable rates. • Qualified customers can receive the following:
• Monthly Subsidy of $13.50/household for phone services (landline or wireless)• A 50% reduction in their activation fee (up to $30) which is also reimbursed by USF
– Cricket Offering• Qualified customers will receive a monthly discount of $13.50 off of any Cricket rate plan
– Plans begin at $30 per month for unlimited local and long distance with nationwide coverage
• Will receive 50% reduction ($7.50) off the activation fee of $15.00
– Unlimited Cricket Rate Plans• All rate plans include unlimited local and long distance calling with nationwide coverage.
Additional features available either through rate plans or purchase at $5.00 per month• Most popular plan - $40 includes:
+ Voice Mail
+ Call-Waiting
+ 3-Way Calling
+ Caller-ID
+ Call-Forwarding
+ Unlimited Video Messaging
+ Unlimited Mobile Web
+ Unlimited Directory Assistance
+ Unlimited Local
+ Unlimited Long Distance
+ Unlimited US Text Messaging
+ Unlimited Picture Messaging
ETC Application Process
• Application Process– Vast difference between states. Some long and involved and others
much more condensed
• Rules and regulations primarily directed to wireline companies– Trying to fit a square peg in round hole– Cellular coverage areas do not have hard fast boundaries
• In most states, wireless providers are not eligible for state USF funds
• Focus different when applying for Low Cost Support only– Wire center issues