Sprint Nextel to spin off wireline biz, Embarq

Feb 13 2006 - 11:13 AM ET | In The News, Sprint Nextel

Sprint Nextel reached an agreement with a key labor union over the spin-off of its local phone business. The new company will form in the second quarter and will be called Embarq. The Communications Workers of America dropped opposition to the transaction today which was the final hurdle Sprint needed to jump.

Embarq will have $6 billion in annual revenue and employ about 20,000 people.