The Prepaid Press - February 2009 - (Page 12)

PREPAID TELECOM February 15 · 2009 - 12 Virgin Mobile USA Compliance Plan Accepted by NYSE Releases Subscriber Metrics WARREN, NJ (January 16, 2009) Virgin Mobile USA (NYSE:VM), a national provider of wireless communications services, says that the New York Stock Exchange has accepted its business plan to comply with NYSE listing standards. The plan submitted on a confidential basis to the NYSE included a discussion of the operational and financial initiatives that Virgin Mobile USA implemented in 2008, and the projected impact of these initiatives on the Company’s plan of operations for 2009 and 2010. Virgin Mobile USA received notice from the NYSE in November 2008 indicating that it was not in compliance with the NYSE’s listing standards, which require an average market capitalization of at least $100 million and an average share price of at least $1 a share. On December 24, 2008, Virgin Mobile USA submitted a plan of compliance to the NYSE on a confidential basis. In a letter dated January 15, 2009, the NYSE notified the Company that it has accepted the plan of compliance and that the Company has until May 2009 to comply with the share price standard and until May 2010 to comply with the market capitalization standard. The Company will be subject to periodic review by the NYSE during this period. In other Virgin Mobile USA news, the Company announced selected preliminary key metrics for the three months and full year ended December 31, 2008. The results reported are preliminary and subject to completion of full audited financial statements for the period referenced. Fourth quarter net customer additions were approximately 216,000 with churn for the fourth quarter 2008 of 4.8%, as the Company saw a benefit from consumers looking for value in a challenging economic environment. Virgin Mobile USA ended the year with approximately 5,380,000 customers, including customers added with the acquisition of Helio which closed on August 22, 2008. The Company attracted more than 3.3 million gross customer additions during the year. “The initiatives we have implemented throughout 2008 have begun to show clear benefits to our results,” said Virgin Mobile USA CEO Dan Schulman. “Our new offers have helped lead to strong customer growth and improved retention as consumers look for value and flexibility during uncertain economic times,” Schulman said. “Our hybrid plans continue to grow in popularity, accounting for over 50% of our gross adds in October and November and 29% of our subscriber base at the end of November. We expect the growth of these plans to lead to continued improvement in ARPU trends in the fourth quarter of 2008.” Virgin Mobile USA expects to release complete financial results for the fourth quarter and full year 2008 on March 3, 2009. Source: Virgin Mobile USA (www.virginmobileusa.com) KIT Communications Selects PhoenixSoft Will Implement Cirrus Softswitch for Port Leasing PHOENIX, AZ (January 7, 2009) KIT Communications, Inc. has deployed PhoenixSoft’s Cirrus Softswitch platform for its port leasing application. Headquartered in Ft. Lauderdale, Florida, KIT offers a port leasing program to companies that do not want to own their own telecommunications switch. Instead of investing capital for an equipment purchase, companies can lower overhead costs by leasing KIT’s switch technology on a per-port basis. In addition to port leasing, KIT provides its customers valuable assistance with the start-up and long-term management of their products and services. Typical applications for leasing customers include Class 4 and Class 5 VoIP solutions, prepaid and post-paid calling, and wholesale carrier routing. “We made this choice because PhoenixSoft has the tools and reporting that our port leasing customers now demand,” said Kevin Gunderson, president and general manager for KIT Communications. “In addition, we now have the ability to provide our customers with proven pre-paid and call-back features, as well as technologically advanced SIP, IP-PBX and IP Phone applications.” “KIT has worked with many technology vendors but has had the best success with our Cirrus Softswitch,” said Paul Amick, PhoenixSoft’s co-founder. “We’ve been able to deliver a reliable network softswitch that fits KIT’s port leasing application perfectly. We have known the personnel from KIT for many years and it’s a pleasure to have them with us as a PhoenixSoft customer.” Source: PhoenixSoft (www.phoenixsoft.com) KIT Communications (www.kitcommunications.net) Sprint Nextel Increases Payments to Virgin Mobile Also Lowers Access Charges CELLULAR NEWS (December 30, 2008) Sprint Nextel has changed the terms of its commission payments to its MVNO partner, Virgin Mobile USA, which online trade publication, Cellular News, says suggests that the firm is taking a more aggressive stance in trying to boost its flagging subscriber base. According to an SEC filing, Sprint Nextel will increase its payment to Virgin Mobile for each gross new subscriber from US$2.50 to US$4.50 in the last three months of this year. A limit of US$10 million on all payments during the quarter has also been removed. The two firms also agreed to lower the access charge that Virgin Mobile makes each year for access to Sprint’s CDMA network. Virgin Mobile was due to pay Sprint Nextel at least $320 million, $370 million and $420 million during 2008, 2009 and 2010, respectively, for wireless network services, including voice, messaging and data traffic. Under the new agreement, these payments have been lowered to US$318 million for 2008, and starting next year, the firm will no longer be subject to minimum annual payments and will pay fixed rates for voice, messaging and data traffic that are lower than rates applicable in 2008. The Company and Sprint Nextel will negotiate rates for 2011 and beyond, but if they fail to reach terms, the rates for 2010 will apply. In August, Virgin Mobile USA completed its acquisition of rival MVNO, Helio - a joint venture between SK Telecom and EarthLink - and sold to Virgin Mobile USA for US$39 million in an all-shares deal. Helio added some 170,000 customers to Virgin Mobile USA’s own 5 million prepaid customers. Source: Cellular News (www.cellular-news.com/story/35321.php) Tata Communications Launches One IP World Interactive Thought-Leadership Platform for Evolving IP Landscape MUMBAI (January 20, 2009) Tata Communications has launched One IP World, a thought leadership platform which will function as an interactive forum fostering dialogue pertaining to IP and Voice over IP (VoIP). Launched publicly at the 2009 Pacific Telecommunications Council (PTC) Annual Conference, in Honolulu, Hawaii, One IP World is an open resource for telecommunications professionals allowing the exchange of business and technical information on challenges associated with IP converged communications. As a wholesale Internet transit provider, Tata Communications has spearheaded the thought leadership platform to provide an open forum to collect, publish and exchange information on the challenges associated with converged IP communications. The platform, located at www. oneipworld.net, serves an open resource for telecommunications professionals to report, discuss and analyze with colleagues and peers the impact of IP on the telecommunications industry. Telecommunications professionals are also encouraged to use the site to gain both industry insight and information. “IP is the universal protocol on top of which all geographically dispersed communications services are developed. As a leader in IP innovation, Tata Communications’ vision for the One IP World platform is to initiate a thought-provoking dialogue with other members of the telecom space,” said Michel Guyot, President, Global Voice Solutions for Tata Communications. “As an interactive community site, One IP World contributors represent leading minds driving IP innovation and change.” One IP World will also feature regular contributions from high-level Tata Communications’ executives discussing VoIP Peering, IP issues and trends as well as their knowledge and expertise on IPV6. Industry analysts and media are invited to participate as part of Tata Communications’ ongoing effort of collecting, promoting, and exchanging information and business insight to address the challenges associated with converged IP communications. Tata says its thought leadership platform facilitates executive communication and collaboration amongst the industry to build together the “future-perfect” IP world. Source: Tata Communications (www.tatacommunications.com) Motorola, Sprint and Boost Mobile Welcome iDEN Flip Motorola Stature i9 Added to Push-to-Talk Network of features, such as a slim design at only 15mm, a 3.1 megapixel camera with flash and auto-focus, a music player and integrated GPS, the ability to store up to 8GB of images, videos and music with optional removable memory (sold separately), and more. “With its advanced feature set and a style that requires a double take, Motorola Stature i9 represents a significant milestone in our iDEN history,” said Rick Gadd, vice president, Motorola Mobile Devices. “In addition, offering this device to consumers in both a post-paid option with Sprint and pre-paid option with Boost Mobile shows the continued consumer demand for iDEN products and our ongoing commitment to the technology.” “A first of its kind for Boost, the addition of Motorola Stature i9 to our diverse handset lineup further exemplifies Boost’s commitment to meeting the needs of every consumer,” said Matt Carter, president of Boost Mobile. “Boost Mobile offers a full suite of solutions for every customer with a range of handsets to choose from and budget-friendly, dependable services such as our new $50 Monthly Unlimited plan. From entry-level to high-end, simply put - Boost has something for everyone.” Motorola Stature i9 will be available through all Sprint Nextel channels, including www. Sprint.com, 1-800-Nextel-9, at a http://www.phoenixsoft.com http://www.kitcommunications.net http://www.virginmobileusa.com http://www.cellular-news.com/story/35321.php http://www.oneipworld.net http://www.oneipworld.net http://www.tatacommunications.com http://www.Sprint.com http://www.Sprint.com http://www.boostmobile.com http://www.motorola.com http://www.sprint.com http://www.boostmobile.com

Table of Contents Feed for the Digital Edition of The Prepaid Press - February 2009

Payments & Processing: Prepaid Debit Card Trends Contents The Retske Report: A Courthouse Divided Regulatory Rundown Prepaid Business: 5 Minutes With Darren Dat Lu, CEO of Lunex Group Prepaid Telecom: International Mobile Top-Up Virgin Mobile USA Compliance Plan Accepted by NYSE Tata Communications Launches One IP World KIT Communications Selects PhoenixSoft Sprint Nextel Increases Payments to Virgin Mobile Motorola, Sprint and Boost Mobile Welcome iDEN Flip PhoenixSoft Announces New Program Virgin Mobile Partners with Susan G. Komen The State of Prepaid Technology: Prepaid Virtual Operators Emerge Prepaid Wireless Roundup Boost Launches ‘Monthly Unlimited’ in More Cities Cricket Selects Callidus On-Demand Solution ICC Worldwide Expands Prepaid Products IPsmarx Launches SIP Based Card Platform The Legal Line Prepaid Telecom in Brief Pinnacle Rolls Out Ingenico’s Payment Terminals TransCard Makes Staff Announcements H&R Block Bank Selects MasterCard Avangate Pays Vendors and Affiliates with Prepaid MC TIO Networks Announces Grant of Stock Options TSYS Offers Enhanced Loyalty Solution First American Payment Systems Inks Deal with RDM Hypercom Introduces HyperSafe Remote Key System i2c Expands Team iPayStation Integrates with Movistar Payments & Processing in Brief New Javelin Report on Evolving Prepaid Card Market TransCard, Socialwise Plan to Revolutionize Prepaid Congresswoman Introduces Financial Literacy Act Industry Analysis on Mobile Banking Available Gift Cards & Promotions: Seven Cost-Conscious Marketing Strategies for 2009 Ntreev USA Announces PvP Tournament hhgregg to Help Circuit City Customers NRF Releases December Industry Sales Cellfire Expands Kroger Mobile Coupon Program Petrofix.com Offers a New Fuel Solution Gift Cards & Promotions in Brief Our Advertisers Contact Us

The Prepaid Press - February 2009

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