S&P: Sprint Nextel unaffected

Standard & Poor's said the ratings and outlook on Sprint Nextel Corp. (BBB/negative/A-3) are not immediately affected by Relational Investors LLC's plan to seek representation on the company's board.

Relational Investors, which owns 1.9% of Sprint Nextel shares, said it's concerned about management strategy and that it would like the company to consider selling its fiber optic and long distance operations. But the investor is focused on operating challenges and has not suggested a more aggressive financial policy, according to the agency.

The negative outlook reflects the agency's concerns that Sprint Nextel may not be able to finance the WiMax deployment within the current leverage target of 3 times, S&P said.

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