News Release

March 8, 2006

KCC approves transfer of Sprint Nextel local and long distance phone service to Embarq

The Kansas Corporation Commission (KCC) today issued an order approving a stipulation and agreement granting change of control of Sprint Nextel Corporation's local and long distance phone service in Kansas to Embarq Corporation. The stipulation and agreement was reached and agreed to by KCC Staff and Sprint Nextel. The Citizens' Utility Ratepayer Board (CURB) participated in the negotiations and has filed a letter with the Commission stating it does not oppose the agreement.

The change of control calls for the transfer of United Telephone Company of Kansas, United Telephone Company of Eastern Kansas, United Telephone Company of Southcentral Kansas, United Telephone Company of Southeastern Kansas (collectively, known as "United Kansas") and Sprint Long Distance Inc., from Sprint Nextel to LTD Holding Company, recently named Embarq Corporation.

The KCC scrutinized the agreement and found that it adequately addresses the financial concerns raised by parties. Embarq has agreed to several reporting requirements which will permit the Commission to address financial issues before any change in the company's financial condition could have a negative affect on the services received by Kansas consumers. Embarq has also agreed that no direct cost of the transaction will be passed on to Kansas consumers through its rates for telecommunications services.

Under the agreement, customers receiving service from either United Kansas or Sprint Long Distance will continue to receive the same range of services at the same prices under the same rules and regulations. Any future changes would be subject to the appropriate regulatory process. The existing free in-bound 800 service to certain schools and county governments has been extended to July 1, 2010. In addition, United Kansas will continue to invest in high speed internet access capabilities for its customers; with at least 75 percent of its access lines having high speed access by December 31, 2008.

Docket No. 06-SCCC-200-MIS