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ˆ1DX8J2TQTST5BKBNŠ    1DX8J2TQTST5BKB
                                                                   CHMFBUAC152138
SPRINT NEXTEL CORP.                        RR Donnelley ProFile                     CHMdavij0cm      13-Nov-2006 17:13 EST                               47531 TX 1 4*
                                                                   9.5.15
FORM 8-K                                                                            WDC                                                                      HTM ESS 0C
                                                                                                                                                            Page 1 of 1


                                  UNITED STATES
                      SECURITIES AND EXCHANGE COMMISSION
                                                                Washington, D.C. 20549


                                                                     FORM 8-K
                                                  CURRENT REPORT
                          Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
                                      Date of Report (Date of earliest event reported) November 13, 2006



                       SPRINT NEXTEL CORPORATION
                                                        (Exact name of Registrant as specified in its charter)



                      Kansas                                                    1-04721                                              48-0457967
               (State of Incorporation)                                (Commission File Number)                                   (I.R.S. Employer
                                                                                                                                 Identification No.)

          2001 Edmund Halley Drive, Reston, Virginia                                                                     20191
                     (Address of principal executive offices)                                                           (Zip Code)

                                                 Registrant’s telephone number, including area code (703) 433-4000

                                                    (Former name or former address, if changed since last report)



Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant
under any of the following provisions:
  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
ˆ1DX8J2TQV1YP28BIŠ    1DX8J2TQV1YP28B
                                                           CHMFBUAC152138
SPRINT NEXTEL CORP.                 RR Donnelley ProFile                    CHMdavij0cm    13-Nov-2006 19:17 EST                             47531 TX 2 6*
                                                           9.5.15
FORM 8-K                                                                    WDC                                                                  HTM ESS 0C
                                                                                                                                                Page 1 of 1
Item 8.01 Other Events.
     On August 12, 2005, Sprint Nextel Corporation (“Sprint Nextel”) completed the merger (the “Merger”) of Nextel
Communications, Inc. (“Nextel Communications”) with and into S-N Merger Corp., a wholly owned subsidiary of Sprint Corporation
(“Sprint”), which changed its name to Sprint Nextel Corporation.

     The Sprint Nextel unaudited pro forma condensed combined statement of operations for the year ended December 31, 2005,
combines the historical consolidated statements of operations of Sprint Nextel and Nextel Communications, giving effect to the
acquisition of Nextel as if it had occurred on January 1, 2005. The historical consolidated financial statements have been adjusted to
give effect to pro forma adjustments that are directly attributable to the acquisition, are factually supportable, and expected to have a
continuing impact on the combined results.

    The unaudited pro forma condensed combined statement of operations was prepared using the purchase method of accounting.
Accordingly, consideration paid by Sprint Nextel to complete the acquisition of Nextel Communications was allocated to Nextel
Communications’ assets and liabilities based upon their estimated fair values.

     The unaudited pro forma condensed combined statement of operations should be read along with the consolidated financial
statements and notes contained in our current report on Form 8-K filed on September 18, 2006, which reflect the presentation of
Sprint Nextel’s local communications business as discontinued operations, and its annual report on Form 10-K for the year ended
December 31, 2005, as amended.

                                               SPRINT NEXTEL
                   UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF OPERATIONS
                                        (Millions, except per share data)

                                                                                               Nextel
                                                                               Sprint      Communications                                      Pro Forma
                                                                               Nextel         (1/1/05-              Pro Forma                    Sprint
Year Ended December 31, 2005                                                 Corporation      8/12/05)             Adjustments                   Nextel
                                                                             $ 28,789      $        9,260          $      128(a)(k)            $ 38,177
Net Operating Revenues
Operating Expenses
      Costs of services and products                                             12,442             2,905                 130(a)(b)(k)             15,477
      Selling, general and administrative                                         8,963             3,046                 188(c)(d)                12,197
      Depreciation                                                                3,864             1,253                (135)(e)(k)                4,982
      Amortization                                                                1,336                 7               2,008(f)                    3,351
      Restructuring and asset impairments                                            43               —                   —                            43
            Total operating expenses                                             26,648             7,211               2,191                      36,050
                                                                                  2,141             2,049              (2,063)                      2,127
Operating Income
      Interest expense                                                           (1,294)             (317)                 12(g)                   (1,599)
      Premium on early retirement of debt                                           —                 (37)                —                           (37)
      Other income, net                                                             444                49                 (17)(h)                     476
      Income from continuing operations before income
         taxes                                                                    1,291             1,744              (2,068)                        967
      Income tax expense                                                           (470)             (378)                510(i)(j)                  (338)
                                                                             $      821    $        1,366          $   (1,558)                 $      629
Income from Continuing Operations
Diluted Earnings per Common Share from Continuing
                                                                             $     0.40                                                        $     0.21
   Operations(l)
Basic Earnings per Common Share from Continuing
                                                                             $     0.40                                                        $     0.21
   Operations(l)
Sprint Nextel diluted weighted average common shares(m)                           2,054                                                             2,961
Sprint Nextel basic weighted average common shares                                2,033                                                             2,941

                   See accompanying Notes to Unaudited Pro Forma Condensed Combined Statements of Operations
ˆ1DX8J2TQV0G59GB0Š
                                                                                                              1DX8J2TQV0G59GB
                                                          CHMFBUDSK138448
SPRINT NEXTEL CORP.                RR Donnelley ProFile                 CHMfoxly0cm   13-Nov-2006 18:57 EST                     47531 TX 3 7*
                                                          9.5.15
FORM 8-K                                                                WDC                                                         HTM ESS 0C
                                                                                                                                   Page 1 of 1
                             NOTES TO UNAUDITED PRO FORMA CONDENSED COMBINED
                                         STATEMENT OF OPERATIONS
     (a) Reflects pro forma intercompany eliminations.

     (b) Reflects the adjustment to record estimated adjustment to lease expense related to Nextel Communications’ lease liabilities.

     (c) Reflects the adjustment to selling, general and administrative expense for estimated deferred compensation expense resulting
from unvested options held by Nextel Communications employees at completion of the merger. The fair value of the unvested options
has been allocated to deferred compensation based on the portion of the vesting period remaining as a percentage of the total vesting
period. The fair value of the options was calculated using the Black-Scholes pricing model.

     (d) Reflects the estimated adjustment to selling, general and administrative expense, which would have been recognized had the
options granted to Nextel Communications employees in 2003, 2004, and 2005 been accounted for in accordance with SFAS No. 123.

   (e) Reflects the estimated adjustment to depreciation expense for the preliminary purchase price adjustment made to Nextel
Communications’ property, plant and equipment.

   (f) Reflects the estimated adjustment to amortization expense for the preliminary purchase price adjustment made to Nextel
Communications’ intangible assets. The customer relationships are being amortized over 5 years using an accelerated method.

      (g) Reflects the estimated adjustment to interest expense for the preliminary purchase price adjustment made to Nextel
Communications’ outstanding debt. For purposes of the unaudited pro forma condensed combined financial statement, the adjustment
is being amortized over the average remaining life of the Nextel Communications’ debt outstanding at August 12, 2005.

     (h) Reflects the estimated adjustment to interest income earned that would have been foregone had the purchase occurred on
January 1, 2005.

      (i) Reflects the estimated adjustment to tax expense to eliminate the benefits recognized by Nextel Communications in 2005
relating to the reversal of valuation allowances previously established for capital loss carryforwards and net operating loss
carryforwards, net of amount recognized for tax uncertainties. Had the merger taken place on January 1, 2005, any adjustment to the
previously established valuation allowance would have reduced goodwill in accordance with SFAS No. 109, Accounting for Income
Taxes.

      (j) Reflects the adjustment of the estimated incremental income taxes that would have been recorded for pro forma results of
operations related to the pro forma adjustments discussed in Notes (a), (b), (c), (d), (e), (f), (g) and (h). An estimated combined
statutory federal and blended state income tax rate of 40% was used for these adjustments.

     (k) Reflects the estimated reclassification of certain items included in Nextel Communications’ net operating revenue, costs of
services and products and selling, general and administrative to conform to Sprint’s reporting classification.

      (l) As the effects of including the incremental shares associated with options, restricted stock units, and employees stock
purchase plan shares are antidilutive for the year ended December 31, 2005, both diluted loss per common share and basic loss per
common share reflect the same calculation in the 2005 unaudited pro forma condensed combined statement of operations. Pro forma
diluted and basic loss per common share from continuing operations is calculated as follows (in millions, except per share amounts):

                                                                                                                                Year Ended
                                                                                                                                December 31,
                                                                                                                                    2005
Pro forma income (loss) from continuing operations                                                                              $      629
Less:
      Preferred stock dividends paid                                                                                                    (7)
      Earnings allocated to participating securities                                                                                   —
Pro forma income (loss) from continuing operations applicable to common stock                                                   $      622
Pro forma Sprint Nextel diluted weighted average common shares (see Note (n))                                                        2,961
Pro forma diluted earnings (loss) per share from continuing operations                                                          $     0.21
Pro forma Sprint Nextel basic weighted average common shares                                                                         2,941
Pro forma basic earnings (loss) per share from continuing operations                                                            $     0.21

     (m) Certain incremental shares associated with options, restricted stock units and employees stock purchase plan shares are
excluded in the calculation of weighted average common shares for 2005 as they are antidilutive.
                                                                            3
ˆ1DX8J2TQTR1P6MBUŠ
                                                                                                                 1DX8J2TQTR1P6MB
                                                          CHMFBUAC152128
SPRINT NEXTEL CORP.                RR Donnelley ProFile                    CHMpeppj0cm   13-Nov-2006 16:48 EST                     47531 TX 4 2*
                                                          9.5.15
FORM 8-K                           START PAGE                              WDC                                                         HTM ESS 0C
                                                                                                                                      Page 1 of 1
                                                                SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned hereunto duly authorized.

                                                                                SPRINT NEXTEL CORPORATION

Date: November 13, 2006                                                             /S/ LEONARD J. KENNEDY
                                                                                By: Leonard J. Kennedy
                                                                                    General Counsel
                                                                            4

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Sprint Nextel Pro Forma Historical Results from 2005

  • 1. ˆ1DX8J2TQTST5BKBNŠ 1DX8J2TQTST5BKB CHMFBUAC152138 SPRINT NEXTEL CORP. RR Donnelley ProFile CHMdavij0cm 13-Nov-2006 17:13 EST 47531 TX 1 4* 9.5.15 FORM 8-K WDC HTM ESS 0C Page 1 of 1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported) November 13, 2006 SPRINT NEXTEL CORPORATION (Exact name of Registrant as specified in its charter) Kansas 1-04721 48-0457967 (State of Incorporation) (Commission File Number) (I.R.S. Employer Identification No.) 2001 Edmund Halley Drive, Reston, Virginia 20191 (Address of principal executive offices) (Zip Code) Registrant’s telephone number, including area code (703) 433-4000 (Former name or former address, if changed since last report) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
  • 2. ˆ1DX8J2TQV1YP28BIŠ 1DX8J2TQV1YP28B CHMFBUAC152138 SPRINT NEXTEL CORP. RR Donnelley ProFile CHMdavij0cm 13-Nov-2006 19:17 EST 47531 TX 2 6* 9.5.15 FORM 8-K WDC HTM ESS 0C Page 1 of 1 Item 8.01 Other Events. On August 12, 2005, Sprint Nextel Corporation (“Sprint Nextel”) completed the merger (the “Merger”) of Nextel Communications, Inc. (“Nextel Communications”) with and into S-N Merger Corp., a wholly owned subsidiary of Sprint Corporation (“Sprint”), which changed its name to Sprint Nextel Corporation. The Sprint Nextel unaudited pro forma condensed combined statement of operations for the year ended December 31, 2005, combines the historical consolidated statements of operations of Sprint Nextel and Nextel Communications, giving effect to the acquisition of Nextel as if it had occurred on January 1, 2005. The historical consolidated financial statements have been adjusted to give effect to pro forma adjustments that are directly attributable to the acquisition, are factually supportable, and expected to have a continuing impact on the combined results. The unaudited pro forma condensed combined statement of operations was prepared using the purchase method of accounting. Accordingly, consideration paid by Sprint Nextel to complete the acquisition of Nextel Communications was allocated to Nextel Communications’ assets and liabilities based upon their estimated fair values. The unaudited pro forma condensed combined statement of operations should be read along with the consolidated financial statements and notes contained in our current report on Form 8-K filed on September 18, 2006, which reflect the presentation of Sprint Nextel’s local communications business as discontinued operations, and its annual report on Form 10-K for the year ended December 31, 2005, as amended. SPRINT NEXTEL UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF OPERATIONS (Millions, except per share data) Nextel Sprint Communications Pro Forma Nextel (1/1/05- Pro Forma Sprint Year Ended December 31, 2005 Corporation 8/12/05) Adjustments Nextel $ 28,789 $ 9,260 $ 128(a)(k) $ 38,177 Net Operating Revenues Operating Expenses Costs of services and products 12,442 2,905 130(a)(b)(k) 15,477 Selling, general and administrative 8,963 3,046 188(c)(d) 12,197 Depreciation 3,864 1,253 (135)(e)(k) 4,982 Amortization 1,336 7 2,008(f) 3,351 Restructuring and asset impairments 43 — — 43 Total operating expenses 26,648 7,211 2,191 36,050 2,141 2,049 (2,063) 2,127 Operating Income Interest expense (1,294) (317) 12(g) (1,599) Premium on early retirement of debt — (37) — (37) Other income, net 444 49 (17)(h) 476 Income from continuing operations before income taxes 1,291 1,744 (2,068) 967 Income tax expense (470) (378) 510(i)(j) (338) $ 821 $ 1,366 $ (1,558) $ 629 Income from Continuing Operations Diluted Earnings per Common Share from Continuing $ 0.40 $ 0.21 Operations(l) Basic Earnings per Common Share from Continuing $ 0.40 $ 0.21 Operations(l) Sprint Nextel diluted weighted average common shares(m) 2,054 2,961 Sprint Nextel basic weighted average common shares 2,033 2,941 See accompanying Notes to Unaudited Pro Forma Condensed Combined Statements of Operations
  • 3. ˆ1DX8J2TQV0G59GB0Š 1DX8J2TQV0G59GB CHMFBUDSK138448 SPRINT NEXTEL CORP. RR Donnelley ProFile CHMfoxly0cm 13-Nov-2006 18:57 EST 47531 TX 3 7* 9.5.15 FORM 8-K WDC HTM ESS 0C Page 1 of 1 NOTES TO UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF OPERATIONS (a) Reflects pro forma intercompany eliminations. (b) Reflects the adjustment to record estimated adjustment to lease expense related to Nextel Communications’ lease liabilities. (c) Reflects the adjustment to selling, general and administrative expense for estimated deferred compensation expense resulting from unvested options held by Nextel Communications employees at completion of the merger. The fair value of the unvested options has been allocated to deferred compensation based on the portion of the vesting period remaining as a percentage of the total vesting period. The fair value of the options was calculated using the Black-Scholes pricing model. (d) Reflects the estimated adjustment to selling, general and administrative expense, which would have been recognized had the options granted to Nextel Communications employees in 2003, 2004, and 2005 been accounted for in accordance with SFAS No. 123. (e) Reflects the estimated adjustment to depreciation expense for the preliminary purchase price adjustment made to Nextel Communications’ property, plant and equipment. (f) Reflects the estimated adjustment to amortization expense for the preliminary purchase price adjustment made to Nextel Communications’ intangible assets. The customer relationships are being amortized over 5 years using an accelerated method. (g) Reflects the estimated adjustment to interest expense for the preliminary purchase price adjustment made to Nextel Communications’ outstanding debt. For purposes of the unaudited pro forma condensed combined financial statement, the adjustment is being amortized over the average remaining life of the Nextel Communications’ debt outstanding at August 12, 2005. (h) Reflects the estimated adjustment to interest income earned that would have been foregone had the purchase occurred on January 1, 2005. (i) Reflects the estimated adjustment to tax expense to eliminate the benefits recognized by Nextel Communications in 2005 relating to the reversal of valuation allowances previously established for capital loss carryforwards and net operating loss carryforwards, net of amount recognized for tax uncertainties. Had the merger taken place on January 1, 2005, any adjustment to the previously established valuation allowance would have reduced goodwill in accordance with SFAS No. 109, Accounting for Income Taxes. (j) Reflects the adjustment of the estimated incremental income taxes that would have been recorded for pro forma results of operations related to the pro forma adjustments discussed in Notes (a), (b), (c), (d), (e), (f), (g) and (h). An estimated combined statutory federal and blended state income tax rate of 40% was used for these adjustments. (k) Reflects the estimated reclassification of certain items included in Nextel Communications’ net operating revenue, costs of services and products and selling, general and administrative to conform to Sprint’s reporting classification. (l) As the effects of including the incremental shares associated with options, restricted stock units, and employees stock purchase plan shares are antidilutive for the year ended December 31, 2005, both diluted loss per common share and basic loss per common share reflect the same calculation in the 2005 unaudited pro forma condensed combined statement of operations. Pro forma diluted and basic loss per common share from continuing operations is calculated as follows (in millions, except per share amounts): Year Ended December 31, 2005 Pro forma income (loss) from continuing operations $ 629 Less: Preferred stock dividends paid (7) Earnings allocated to participating securities — Pro forma income (loss) from continuing operations applicable to common stock $ 622 Pro forma Sprint Nextel diluted weighted average common shares (see Note (n)) 2,961 Pro forma diluted earnings (loss) per share from continuing operations $ 0.21 Pro forma Sprint Nextel basic weighted average common shares 2,941 Pro forma basic earnings (loss) per share from continuing operations $ 0.21 (m) Certain incremental shares associated with options, restricted stock units and employees stock purchase plan shares are excluded in the calculation of weighted average common shares for 2005 as they are antidilutive. 3
  • 4. ˆ1DX8J2TQTR1P6MBUŠ 1DX8J2TQTR1P6MB CHMFBUAC152128 SPRINT NEXTEL CORP. RR Donnelley ProFile CHMpeppj0cm 13-Nov-2006 16:48 EST 47531 TX 4 2* 9.5.15 FORM 8-K START PAGE WDC HTM ESS 0C Page 1 of 1 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. SPRINT NEXTEL CORPORATION Date: November 13, 2006 /S/ LEONARD J. KENNEDY By: Leonard J. Kennedy General Counsel 4