S&P: iPCS outlook stable

Standard & Poor's said it affirmed its ratings on iPCS Inc., including the B- corporate credit rating, and revised the outlook to stable from negative following the resolution of a number of operational and financial issues between Sprint Nextel Corp. and iPCS that dampened iPCS' 2007 operating performance. iPCS is a Sprint PCS affiliate and has the exclusive right to provide Sprint PCS digital wireless services to 80 markets located in seven states.

The agency said the ratings on iPCS reflect an aggressive financial policy; its reliance on Sprint Nextel, which owns the wireless spectrum licenses used by the company to provide service; its highly leveraged financial profile; and its below-average profitability.

Tempering factors include opportunity for growth given the company's relatively low 5.3% penetration rate of covered population equivalents and adequate liquidity, S&P said.

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