NEXTEL OWNERSHIP LEGAL - NTC

Makati City, May 8, 2003 -- The National Telecommunications Commission said 
that Next Mobile Inc., formerly Nextel Communications Philippines has 
complied with the constitutional limitations on foreign ownership.

In an order dated May 6, 2003, the NTC said the Securities and Exchange 
Commission, has earlier ruled that ownership structures similar to that of 
Nextel's as of Philippine nationality,

The NSC however said it has no jurisdiction over the legal issues that were 
raised in the complaints.

The NTC further noted that "the jurisdiction and supervision over all 
corporations, partnerships or associations who are grantees of primary 
franchises and/or license or permit issued by the government and the power 
to regulate, investigate or supervise the activities of persons to ensure 
compliance and to impose sanctions for the violation is vested in the SEC."

Earlier, former chief executive officer of Nextel Antonio Urera have 
testified and filed charges against Nextel's ownership structure. The House 
Committee on Transportation and Communication is currently hearing the case.

Nextel said its president and CEO Mel Velarde did a successful management 
buy-out of the telecom firm from the former owners and as a result, the 
company is now wholly-Filipino owned.

But administration Congressman Prospero Nograles earlier said that he 
received reports that Nextel used dummies and an intricate corporate 
layering scheme to conceal its true state of ownership.

Nextel International Inc.(NII), purely a foreign-owned firm, has taken full 
control of Next Mobile after NII bought 20 percent equity interest of the 
Gotesco Group of Jose Go.

Gotesco's holdings went to Gamboa Holdings, one of the alleged dummy 
companies of NII. Nextel's former CEO.

Urera said NII managed to wrest control over Nextel through a series of 
buy-outs involving the company's original stakeholders. At present, he said 
Nextel is now 87 percent owned by NII.

Reported by: Sol Jose Vanzi

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