Overview of Index:

The SpecEx Spectrum Index TM (the “SpecEx Index”) is an indicator of the current and historical value of licensed spectrum. The SpecEx Index represents the composite market value for all licensed spectrum traded on the secondary market. It combines the key elements of the wireless marketplace including bellwether wireless carrier companies, key equipment providers, market leading service providers, and network operators with the most recent data accumulated from secondary market transactions. These factors are weighted to accurately reflect the current state of the secondary market for spectrum and provide an essential metric in valuing licensed spectrum for buyers, sellers, financial analysts, and all professionals involved in the wireless industry.

The SpecEx Index also utilizes custom weighting of value, spectrum, and macro-economic based factors driven by SpecEx valuation and trading data. Some of the key components include:

• Capitalization of large publicly traded spectrum holders weighted for relative size and coverage of their spectrum holdings
• Major wireless equipment and device supplier capitalization, weighted for their position in the wireless value chain
• Weighted public values of leading wireless service and infrastructure providers
• Past and recent spectrum prices paid on the secondary market and FCC auctions

Until now, companies and individuals buying and selling licensed spectrum on the secondary market have had to set pricing with little or no current valuation data. This pricing was derived based on past FCC auctions, or a single retail transaction that may have happened more than a decade ago.

The SpecEx Index provides the following benefits:

• An unbiased, consistent indication of value for professionals transacting spectrum.
• The ability to confidently track trends as well as the current value.
• Greater transparency into secondary market pricing for wireless communications spectrum

The Index is updated daily to assure a current view of market data.

The SpecEx Spectrum Index is also available in widget format for use on personal and commercial WebPages and blogs.

• Daily Index Value –Index algorithm that includes financial data combined with current market data which represents the current market conditions for the value of spectrum. The index was a assigned a basis of 100 points on January 1, 2005. All index values reported are relative to this date and basis.
• Percentage Change – Daily percentage change based on the fluctuation of the Index Value.
• Point Change – Daily numeric change based on the fluctuation of the Index Value.
• Prior Close – Index value from the prior day close.