Sprint to Take Impairment Charge, Trim Staff

Sprint plans to take a pre-tax non-cash impairment charge in its Q3 financial report, reducing the value of its long- distance network assets. The size of the charge will be disclosed this week. Sprint said it decided to take the charge after conducting an analysis of long-distance business trends and projections that took into account current industry and competitive conditions, recent regulatory rulings, evolving technologies and the company's strategy to expand its position as a leader in telecom solutions.



Sprint Business Solutions plans to ramp up efforts to increase customer migration to wireless-enabled and IP-driven solutions, including transparent wireless and wireline connectivity. The company said it expects to reduce its workforce by up to 700 in SBS, primarily in sales and support areas.



Sprint expects to report third quarter Adjusted EPS, which excludes network impairment, restructuring and certain other one-time items, that is in excess of the current mean analyst estimate of 21 cents per share. http://www.sprint.com