Question-and-Answer Session
Operator
(Operator instructions) Your first question comes from the line of Rick Prentiss with Raymond James.
Rick Prentiss – Raymond James
Thanks, good morning, guys.
Tim Yager
Good morning, Rick.
Steb Chandor
Good morning.
Rick Prentiss – Raymond James
Couple questions. First on the customer care item. Did I write the number down right that it was $4 million higher year-over-year and $2 million higher in the negative revenue quarter-over-quarter, so that was the delta, the $4 million and $2 million?
Steb Chandor
Yes, sir, that’s correct.
Rick Prentiss – Raymond James
Okay, and I guess you would theoretically think that customer care and retention stuff like that, would improve churn, but it really didn’t seem to drive churn down that much. What do you think they’re doing there?
Tim Yager
You know, we’re not exactly sure, Rick. You know, we don’t get as much visibility, I think, as we would like to see on the customer care credits. Obviously, our churn was down year-over-year to the tune of about 50 beeps, which is obviously heading in the right direction and I don’t know, Steb, if you want to add anything further to that?
Steb Chandor
Seasonally, we typically see an up tick in churn in the third quarter from the second quarter we saw if flat to flat.
Rick Prentiss – Raymond James
And then on the QChat product that you launched in early September, I think in the prepared marks in the beginning you talked about porting in Nextel customers. Does that mean Nextel customers in the Grand Rapids area are now all moved over on your network, or just the ones that took a QChat phone?
Steb Chandor
Certainly all of the Nextel customers in the Grand Rapids area have not been moved over to our network. We’re competing Rick, with the Nextel Direct Connect QChat product in the marketplace against Verizon’s Push to Talk product, as well as Nextel’s Push to Talk product. So we’re just another competitor out there. We can tell you that the product from our perspective seems to be working very well. As Conrad said in his remarks, the customer feedback we’re getting has been very positive, and as we said, we haven’t been aggressively advertising. We want to make sure we had the kinks worked out; but just through a soft launch, we’ve had pretty favorable responses to it thus far.
- To read the full transcript on Seeking Alpha, click here »
