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Sprint Nextel estimates the costs of Hurricane Katrina

By Denise Pappalardo , NetworkWorld.com , 09/14/2005
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Sprint Nextel announced Wednesday that it expects telecommunications restoration efforts in the Gulf region to cost between $150 million and $200 million through the rest of the year.

The company says that the estimate includes capital and operating expenses associated with the restoration of network infrastructure, retail stores and billing relief for customers that were affected by Hurricane Katrina.

BellSouth announced last week that telecommunications restoration following the devastating hurricane could cost the local telco $600 million.

Sprint Nextel has a command center in Baton Rouge, La., that it calls "Sprint City" where 300 field technicians, engineers and support staff are working to restore wireless and traditional telecommunication services in the Gulf Region.

The service provider says more than 90% and 70% of its wireless network in Mississippi and Louisiana, respectively, are now operational.
 
Sprint Nextel is also working to restore wireline long distance and data service, but the company says customers in Louisiana, Mississippi, Alabama and Florida are still experiencing outages.

In a printed statement, Sprint Nextel CEO Gary Forsee said, "The impact of Hurricane Katrina on Sprint Nextel pales in comparison to the personal losses suffered by our customers and the people of the Gulf Coast states and, in particular, New Orleans. We've been working tirelessly to restore service as soon as possible so the people who have lost so much because of this disaster can get on with the business of rebuilding their lives."

The company went on to say that it has donated $6.5 million in relief efforts to date. The donations, from the company and employees, have been in the form of wireless phones, pre-paid calling cards, meals for relief workers and cash contributions.

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