ALLTEL CORP.

ALLTEL CORP. CONtinued to grow by leaps and bounds in 1999, both through acquisition of other wireless companies and introduction of new services.

The Little Rock-based telecommunications company made moves in the Midwest through its $1.5 billion purchase of Aliant Communications Inc. of Lincoln, Neb., and its $600 million acquisition of Liberty Cellular of Kansas. Together with the purchases of Durago Cellular, Standard Group Inc. and others, Alltel finished 1999 as the fifth largest wireless company in the United States with more than 5 million wireless customers.

Overall, the company finished the year with 8.5 million communications customers, increasing its POPS (population served) to more than 39.3 million across 25 states. Alltel employed 24,678 at year-end.

During 1999, Alltel unveiled the concept of "bundling," allowing customers to consolidate mobile phone, paging, Internet service and local phone service on one bill, The company also began competing for local phone customers in several markets in which it was not the incumbent provider.

The market responded favorably to Alltel's moves, sending the company's stock to record highs during the year. On Dec. 6, the stock peaked, closing at $91.37 a share before ending 1999 with a record year-end price of $82.68 -- a 38 percent increase over the 1998 year-end price.

For the 12 months ended Dec. 31, 1999, Alltel had revenue of $6.3 billion, up 12 percent from $5.6 billion in 1998, according to financial data restated for the effects of the year's mergers. Operating income increased to $1.5 billion, up from $1 billion in 1998.

Wireless operating income grew 31 percent in 1999, to $886.5 million, while wireline income was up 17 percent, to $619.1 million. Income from the company's information services division was up 8 percent, to $175.3 million.