Verizon Wireless to Divest Markets for Alltel Merger

Verizon Wireless is offering to divest airwaves in 85 largely rural markets as part of talks with the Justice Department over a pending merger with Alltel Corp. In comments filed to the Federal Communications Commission on Tuesday, Verizon Wireless, a joint venture between Verizon Communications Inc. and Vodafone Group PLC, said it is committed to divesting overlapping properties with Alltel in the entire states of North Dakota and South Dakota and in parts of 16 additional states. In a statement, Verizon Wireless said the markets in which it is volunteering to strip holdings represent a preliminary list that may be expanded following additional discussions with the Justice Department. Verizon Wireless also promised to give small, rural carriers the option of maintaining any roaming agreements they now have with Alltel after the merger. The company also said small and rural companies that have roaming agreements with both Alltel and Verizon Wireless can opt for either agreement to govern all roaming traffic after the merger. The deal must be approved by both the Justice Department and the FCC before it can be finalized.