RURAL CELLULAR CORPORATION

Breaking into the Emerging PCS Market

While cellular telephone and wireless paging service have had an enormous impact on the world, the full scope of wireless communications is in its infancy. PCS, personal communications service, vastly expands the communications potential of cellular service, adding such features as high-speed data transmission, tele-fax, two-way text messaging, and caller ID to the voice transmission and numeric paging services. It is ideal for business, mobile and residential applications.

In an innovative move to expand into markets where RCC does not have cellular licenses, and at the same time break into the next generation of wireless communications, RCC and Aerial Communications jointly established Wireless Alliance to provide personal communications service networks in several areas with high customer potential. RCC is providing the management and marketing abilities; Aerial, one of the nation's largest PCS operators, brings the licenses and experience of Global System for Mobile (GSM) communica- tions technology.

GSM, the most widely used PCS technology in the world, is a feature-rich technology deployed throughout Aerial's other networks. Dual-mode handsets will handle both the GSM frequency and RCC's cellular service frequency for seamless wireless performance. Customers will be able to communicate on this integrated wireless network throughout Minnesota- including Aerial's PCS networks in the Minneapolis/St. Paul Metropolitan area and the rest of the world.

Wireless Alliance will roll out PCS service early in 1998, beginning in Fargo, North Dakota; Duluth, Virginia, and Hibbing, Minnesota; Superior, Wisconsin and Grand Forks, North Dakota. Recently added to the Wireless Alliance, the Sioux Falls, South Dakota market, will come on line later in 1998.

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