Scott Ford

1

Scott Ford President and Chief Executive
Officer 13th Annual Salomon Smith Barney
Global Entertainment, Media Telecommunications
Conference La Quinta Resort Club, La Quinta,
CA January 8, 2003
2
Safe Harbor Statement

• This presentation includes certain estimates and
  other forward-looking statements, including
  statements with respect to anticipated operating
  and financial performance, growth opportunities
  and growth rates, acquisition and divestiture
  opportunities, and other statements of
  expectation. Words such as expects,
  anticipates, intends, plans, believes,
  seeks, estimates, and should, and
  variations of these words and similar
  expressions, are intended to identify these
  forward-looking statements. Forward-looking
  statements are subject to uncertainties that
  could cause actual future performance, outcomes
  and results to differ materially. These
  statements by the Company and its management are
  based on estimates, projections, beliefs and
  assumptions of management and are not guarantees
  of future performance. The company disclaims any
  obligation to update or revise any
  forward-looking statement based on the occurrence
  of future events, the receipt of new information,
  or otherwise.

3
ALLTEL has performed better than the SP 500 over
the last 5 years

• Assumes that 100 was invested on the last
  trading day of 1997 and that all dividends were
  reinvested.
• Note - ALLTEL has raised dividends for 42
  consecutive years - new annual dividend is 1.40
  per common share pre-tax.

4
3Q 2002 Highlights

• Wireless revenue increased 12 year-over-year
  driven by the addition of 762,000 lines from
  CenturyTel
• Wireline revenue increased 17 year-over-year
  driven by the addition of 589,000 lines in
  Kentucky from Verizon
• Consolidated EBITDA increased 10 year-over-year
  to 818 million, a 39 margin
• More than 50 of wireless gross adds signed up on
  our higher revenue Freedom plans
• EPS increased 14 year-over-year to .84
• Includes impact of SFAS 142

5
Investment Highlights
Proven Strategic Model
Solid Financial Performance
Strong Platform for Continued Growth
Industry Leading Results
Conservative Capital Structure
6
Proven Strategic Model

• Focus Operationally

• Focus Operationally
• Retail Experience
• Call Center Experience
• Network Experience

7
Proven Strategic Model

• Focus Operationally
• Finance Conservatively

• Focus Operationally
• Retail Experience
• Call Center Experience
• Network Experience

• Finance Conservatively
• Invest in Businesses Not Products
• Best Customer/Best Price
• Stay Relevant

8
Proven Strategic Model

• Focus Operationally
• Finance Conservatively
• Grow Opportunistically

• Focus Operationally
• Retail Experience
• Call Center Experience
• Network Experience

• Finance Conservatively
• Invest in Businesses Not Products
• Best Customer/Best Price
• Stay Relevant

• Grow Opportunistically
• Focus on Free Cash Flow
• Operational Fit
• Think Long-Term

9
Strong Platform for Continued Growth Wireless
Markets A Closer Look
ALLTEL Wireless Verizon Other Roaming
Agreements

• 7.6 mm customers
• 59mm POPs

As of 9/30/02.
10
Strong Platform for Continued Growth
Total/National Freedom Rate Plans
ALLTEL Wireless Verizon Other Roaming
Agreements

• Total/National Freedom Plans
• Net present values are significantly higher than
  other rate plans
• ARPU is 20-25 higher
• Leverage Verizon Roaming agreement

11
Strong Platform for Continued Growth Local
Network Coverage Matters
PCS Competitor vs. ALLTEL Local Package
12
Strong Platform for Continued Growth Wireline
Markets A Closer Look
ALLTEL Wireline ALLTEL Wireless Verizon Other
Roaming Agreements

• 2nd largest independent ILEC
• 3.2 mm customer lines

13
Industry Leading Results Wireless EBITDA Margins

• Direct Sales Channel is approximately 70-75 of
  total sales
• CDMA technology

Service revenue margin. Source Company reports.
14
Industry Leading Results Wireless 3Q 2002
Market Penetration
Market Share Gain
Churn
Cash Flow Margins
15
Industry Leading Results Wireline EBITDA Margins

• Focused on second and third tier cities and rural
  markets
• Convergence drives better margins

Source Company reports. Source Wall Street
Research.
16
Industry Leading Results Wireline 3Q 2002
Cash Flow Margin
Customer Growth (vs. 3Q01)
Excludes DSL
17
Conservative Capital Structure

• ALLTEL has one of the strongest credit profiles
  in the telecom industry
• Well capitalized balance sheet
• A1 / Prime-1 / F1 (SP / Moodys / Fitch)
  Commercial Paper ratings
• A / A2 / A (SP / Moodys / Fitch) long-term
  credit ratings
• Debt / EBITDA 1.9X (a)
• Debt / Total Capitalization 45(a)

TELECOM COMPANY CREDIT RATINGS STATISTICS
9.0
RCCC
8.0
7.0
6.0
Total Debt / 2002E EBITDA (x)
CZN
5.0
Q
T
NXTL
4.0
AWE
3.0
FON/PCS
CTL
AT
TDS
2.0
VZ
BLS
SBC
1.0
USM
0.0
A
AA-
B
BB-
BB
BB
BBB-
BBB
BBB
A-
A
SP Credit Rating
Source Wall Street equity research and company
filings. Debt/EBITDA as of 9/30/02 analyst
estimates. SP credit ratings as of 9/30/02. (a)
Based on ALLTEL 9/30/02 LTM EBITDA. Assumes
80 equity credit for Equity Units.
18
Solid Financial Performance Delivering
Consistent Growth
Revenue (bn)
EBITDA (bn)


Dividends per Share
Earnings per Share
Not restated for new reporting
standard. Excluding merger and integration
expenses.
19
Solid Financial Performance Strong and Growing
Free Cash Flow
Millions
of Revenues

5-Year CAGR 27

15
Defined as Net Income Depreciation
Amortization - CAPEX.
20
(No Transcript)