Leap Wireless - History

History

• Leap Wireless was founded in 1998, spun off as an independently traded company from San Diego-based Qualcomm. Leap was started with the idea to provide affordable wireless services to a wide range of customers, without credit checks or long-term commitments. Under that principle, it founded Cricket Communications in 1999 and launched in Chattanooga, Tennessee that year. During this time, Leap also operated all-digital wireless service in Mexico and Chile under partnership with other companies. In May 2000 Leap Wireless sold its Chilean wireless operator Smartcom PCS to Endesa.
• In March 2002, Leap sold its 20 percent stake in Mexican Wireless carrier Pegaso PCS to Telefónica Moviles.
• Leap reorganized in 2002 and (trading under the symbol LWIN) was delisted from the Nasdaq stock exchange on December 11, 2002.
• Leap created Jump Mobile in 2005, a pre-paid mobile wireless service company that shared the unlimited motto of Cricket. Jump Mobile opened in its first market in 2005; its service is currently available in parts of 27 states.
• On September 4, 2007, MetroPCS announced a proposal that MetroPCS and Leap Wireless could merge into a single wireless company. The proposal was withdrawn less than two months later on November 1, 2007. However, due to LEAP's current financial situation, some analysts still believe that a merger will take place.
• On September 10, 2007, Leap's Chief Financial Officer Amin Khalifa, resigned. On November 9, 2007 Leap announced that it would restate its financial statements for fiscal years 2004, 2005 and 2006 and for the first and second quarters of 2007.
• On December 28, 2007, filed restatements of its earnings with the Securities and Exchange Commission. Leap reported that it had overstated its income by $22.5 million and service revenue by $7.5 million between 2004 and 2007. During the period, Leap had reported an operating profit of $102.2 million and $3.09 billion in service revenue.
• On February 1, 2010, it was reported that Leap was exploring a sale of the company to a larger rival. Media reports indicated that talks had been held with Verizon Wireless and AT&T Mobility.
• In August 2010, Leap Wireless entered into a 5 year wholesale agreement MVNO with Sprint Nextel, which allows Cricket to offer its products and services over Sprint's 3G network throughout the United States.
• In November 2011 it was reported that AT&T was in negotiations to sell it the T-Mobile customer accounts as well a substantial amount of T-Mobile spectrum. The sale if it went through would make it the fourth largest wireless carrier in the United States. The proposed sale was seen as an 11th hour attempt to allay Justice Department anti-monopoly concerns in AT&T's proposed takeover of T-Mobile.
• On March 31, 2012 Cricket Wireless, part of Leap Wireless International Inc., announced that it plans to become the first pre-paid provider with an iPhone 4 and iPhone 4S in its month-to-month service offer on June 22, 2012.