Sprint - Nextel 2010 Annual Report Download - page 12

We occasionally license our intellectual property to others, including licenses to others to use the trademarks “Sprint”
and “Nextel.”
We have received claims in the past, and may in the future receive claims, that we, or third parties from whom we
license or purchase goods or services, have infringed on the intellectual property of others. These claims can be time-
consuming and costly to defend, and divert management resources. If these claims are successful, we could be forced to pay
significant damages or stop selling certain products or services or stop using certain trademarks. We, or third parties from
whom we license or purchase goods or services, also could enter into licenses with unfavorable terms, including royalty
payments, which could adversely affect our business.
Employee Relations
As of December 31, 2010, we employed approximately 40,000 personnel.
Access to Public Filings and Board Committee Charters
Important information is routinely posted on our website at www.sprint.com. Information contained on the website is
not part of this annual report. Public access is provided to our annual reports on Form 10-K, quarterly reports on Form 10-Q,
current reports on Form 8-K, and amendments to these reports filed with the Securities and Exchange Commission (SEC) under
the Securities Exchange Act of 1934. These documents may be accessed free of charge on our website at the following address:
http://investors.sprint.com. These documents are available as soon as reasonably practicable after filing with the SEC and may
also be found at the SEC's website at www.sec.gov.
Public access is provided to our Code of Ethics, entitled the Sprint Nextel Code of Conduct, our Corporate
Governance Guidelines and the charters of the following committees of our board of directors: the Audit Committee, the
Compensation Committee, the Executive Committee, the Finance Committee, and the Nominating and Corporate Governance
Committee. The Code of Conduct, corporate governance guidelines and committee charters may be accessed free of charge on
our website at the following address: www.sprint.com/governance. Copies of any of these documents can be obtained free of
charge by writing to: Sprint Nextel Shareholder Relations, 6200 Sprint Parkway, Mailstop KSOPHF0302-3B424, Overland
Park, Kansas 66251 or by email at shareholder.r[email protected]. If a provision of the Code of Conduct required under the
NYSE corporate governance standards is materially modified, or if a waiver of the Code of Conduct is granted to a director or
executive officer, a notice of such action will be posted on our website at the following address: www.sprint.com/governance.
Only the Audit Committee may consider a waiver of the Code of Conduct for an executive officer or director.
Item 1A. Risk Factors
In addition to the other information contained in this Form 10-K, the following risk factors should be considered
carefully in evaluating us. Our business, financial condition, liquidity or results of operations could be materially adversely
affected by any of these risks.
If we are not able to attract and retain wireless subscribers, our financial performance will be impaired.
We are in the business of selling communications services to subscribers, and our economic success is based on our
ability to attract new subscribers and retain current subscribers. If we are unable to attract and retain wireless subscribers, our
financial performance will be impaired, and we could fail to meet our financial obligations, which could result in several
outcomes, including controlling investments by third parties, takeover bids, liquidation of assets or insolvency. Beginning in
2008 through 2010, we experienced decreases in our total retail postpaid subscriber base of approximately 8.5 million
subscribers (excluding the impact of our 2009 acquisitions), while our two largest competitors increased their subscribers. In
addition, our average postpaid churn rate was 1.95% and 2.15% for the years ended December 31, 2010 and 2009, respectively,
while our two largest competitors had churn rates that were substantially lower. Although we have begun to see a reduction in
our net loss of postpaid subscribers, if this trend does not continue our financial condition, results of operations and liquidity
could be materially adversely affected.
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