Question-and-Answer Session
Operator
(Operator instructions) We will go first to Ric Prentiss with Raymond James.
Ric Prentiss – Raymond James
Hi, good morning.
Adele Skolits
Good morning.
Christopher French
Good morning.
Ric Prentiss – Raymond James
Hi, couple of quick questions. I think Adele you mentioned the customer care credit issue with Sprint, can you also – I couldn’t catch it quick enough, the bad debt collection stuff. Is that also a problem with Sprint’s billing system or is it really just the credits?
Adele Skolits
It is really – we had good news in the quarter with respect to write offs. Unfortunately the good news with respect to the write-offs is being offset by the bad news with respect to credits and adjustments. So no write-offs are not a problem in this quarter.
Ric Prentiss – Raymond James
Okay. And can you put a dollar figure on the customer care credits as far as what has been the trend over the last couple of quarters in dollar terms.
Adele Skolits
It is grown. We’re now in the third quarter of 2008 at $4 million in those credits for various types.
Ric Prentiss – Raymond James
And, like a year ago what would that level have been, less than 1 maybe?
Adele Skolits
No, it probably would have been around the order of two.
Ric Prentiss – Raymond James
Okay, it is a pretty significant increase. Obviously Sprint is trying to keep customers anyway they can but even happy customers seem to be getting pretty big credits.
Earle MacKenzie
Ric this is Earle. That is exactly the case. It is not the billing system. We’re actually – we have worked through the (inaudible) conversion and actually we feel that that is fairly steady state right now. It is really more decisions that are being made in customer service by Sprint related to credits.
Ric Prentiss – Raymond James
And on the data side, I think you said $15 worth of data ARPU before credits. Are you seeing significant credits also in the data side also?
Christopher French
Not significant. I would say that they probably are – ratio between voice and data remains relatively constant.
Ric Prentiss – Raymond James
Okay, and then Qcheck coming up in the fourth quarter have you seen any porting from Nextel over to your CDMA network even before Qcheck coming online?
Christopher French
Yes, we have really for the last two years as we are offering PowerSource phones which are dual-mode phones which offer the push to talk is on the iDEN network and the advanced services and voice is on the CDMA network and we have a reasonable number of those customers converting each month.
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