Jeff Gardner Sr. V.P. and Chief Financial Officer Lehman Brothers

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Jeff GardnerSr. V.P. and Chief Financial Officer

Lehman Brothers4th Annual Global Communications Wireless Conference

New York, NYMay 20, 2003

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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,” “assumes,” “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.

“Safe Harbor” Statement“Safe Harbor” Statement

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Today’s presentation will include certain non-GAAP financial measures. I refer you to the Investor Relations section of ALLTEL’s Web site where the company has posted additional information regarding these non-GAAP financial measures, including a reconciliation of each such measure to the most directly comparable GAAP measure. The company’s Web site is located at www.alltel.com.

Regulation G DisclaimerRegulation G Disclaimer

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First Quarter 2003 HighlightsFirst Quarter 2003 Highlights

> EPS from current businesses and discontinued operations of $.85, an increase of 10% year-over-year

> Equity Free Cash Flow1 of $290 million, an increase of 12% year-over-year

> Wireless revenue of $1.1 billion, an increase of 17% year-over-year

> Wireline revenue of $609 million, an increase of 22% year-over-year

> Postpay Churn of 2.16%

> ARPU of $45.59, a slight increase year-over-year

> Wireline access line declines much smaller than 4Q ‘02

> Added:– 159,000 wireless customers for a total of 7.76 million– 18,000 DSL customers for a total of 88,000

1 From Current Businesses - defined as Net Income + Depreciation & Amortization - Capital Expenditures (including software development)

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2002 Financial Highlights2002 Financial Highlights

> Grew wireline revenue 11% to $2.2 billion

> Grew wireless revenue 9% to $4.2 billion

> Increased consolidated revenue 6% to $8 billion

> Grew Equity Free Cash Flow1,2 21% to $996 million

> Grew EPS1 14%3 to $3.24

> Earned a 17% Return on Equity1

> Increased the dividend for the 42nd consecutive year to $ 1.40 per share annually1 From Current Businesses (Prior to the restatement for discontinued operations which reflects the 2Q ‘03 sale of the financial services division of the Information services business)

2 Equity Free Cash Flow defined as Net Income + Depreciation & Amortization - Capital Expenditures (excluding software development)3 Reflects January 2002 implementation of SFAS 142

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2002 Operational Highlights2002 Operational Highlights

> Invested over $1.1B to improve and expand our service capabilities, i.e., 1X wireless technology and high-speed wireline technology

> Grew our DSL, high-speed Internet access service customer base by 162%

> Launched downloadable wireless e-mail, games, ring-tones and a variety of other applications via QUALCOMM’s BREW wireless data platform.

> Launched Simple Freedom in about 1,500 Wal -Mart locations across the U.S.

> At year-end we served over:– 7.6 million wireless customers (14% y/y growth)– 3.1 million wireline customers (21% y/y growth)– 1.5 million long distance customers (22% y/y growth)

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Investment HighlightsInvestment Highlights

Solid Financial

Performance

Solid Financial

Performance

Industry Leading Results

Industry Leading Results

Conservative Capital

Structure

Conservative Capital

Structure

Strong Platform for Continued

Growth

Strong Platform for Continued

Growth

Strategic Model

Strategic Model

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Strategic ModelStrategic Model

• Operational Focus

• Financial Discipline

• Opportunistic Growth

Operational Focus

• Point of Sale Experience• Customer Service

Experience• Network Quality

Experience

Financial Discipline

• Invest in Businesses Not Products

• Best Customer/Best Price

• Stay Relevant

Opportunistic Growth

• Focus on Free Cash Flow

• Operational “Fit”• Think Long-Term (5+

years)

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ALLTEL Wireless

Verizon & Other Roaming

Agreements

Strong Platform for Continued Growth Wireless Markets as of 3/31/03 – A Closer LookStrong Platform for Continued Growth Wireless Markets as of 3/31/03 – A Closer Look

• Almost 7.7 million customers• 60 million POPs

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ALLTEL Wireless

Verizon & Other Roaming

Agreements

0%

10%

20%

30%

40%

50%

60%

1st Qtr '02 2nd Qtr '02 3rd Qtr '02 4th Qtr '02 1st Qtr '03

% of Gross Adds on Total/National Freedom Rate Plans

Strong Platform for Continued Growth Total/National Freedom Rate PlansStrong Platform for Continued Growth Total/National Freedom Rate Plans

Total/National Freedom Plans• Leverage Verizon roaming agreement• Net present values are significantly higher than other rate plans• ARPU is 20-30% higher• Approximately 25% of customer base is on a national plan

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ALLTEL Wireless

Verizon & Other Roaming

Agreements

Strong Platform for Continued Growth Wireless Markets as of 3/31/03 – A Closer LookStrong Platform for Continued Growth Wireless Markets as of 3/31/03 – A Closer Look

Customers

Tier 2 & 3• Fewer Competitors• Higher Revenue Growth• Lower Churn• Better EBITDA Margins

• Almost 7.7 million customers• 60 million POPs

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Strong Platform for Continued Growth Local Network Coverage Matters Strong Platform for Continued Growth Local Network Coverage Matters

PCS Competitor vs. ALLTEL Local Package

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ALLTEL Wireline

ALLTEL Wireless

Verizon & Other Roaming

Agreements

Strong Platform for Continued Growth Wireline Markets as of 3/31/03 – A Closer Look Strong Platform for Continued Growth Wireline Markets as of 3/31/03 – A Closer Look

• 2nd largest independent ILEC• Almost 3.2 million customer lines

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ALLTEL Wireline

ALLTEL Wireless

Verizon & Other Roaming

Agreements

Strong Platform for Continued Growth Wireline Markets as of 3/31/03 – A Closer LookStrong Platform for Continued Growth Wireline Markets as of 3/31/03 – A Closer Look

• 2nd largest independent ILEC• Almost 3.2 million customer lines

• Less competitive pressure• Little exposure to UNE-P• Success with vertical and

enhanced services

• Over 1.6 million LD customers (almost 50%

penetration)

• 38%-42% vertical services penetration

• 88,000 DSL customers - 5.1% penetration of addressable lines

• Approximately 85% of DSL customers have

ALLTEL Internet Service

• Over 1.6 million LD customers (almost 50%

penetration)

• 38%-42% vertical services penetration

• 88,000 DSL customers - 5.1% penetration of addressable lines

• Approximately 85% of DSL customers have

ALLTEL Internet Service

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Strong Platform for Continued Growth Wireline Markets as of 3/31/03 – A Closer LookStrong Platform for Continued Growth Wireline Markets as of 3/31/03 – A Closer Look

16,712

19,99622,249

26,816

38,067

56,005

70,182

87,732

32,907

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

1Q01 2Q01 3Q01 4Q01 1Q02 2Q02 3Q02 4Q02 1Q03

1,160

1,212

1,240

1,265

1,364

1,462

1,542

1,605

1,318

1,000

1,100

1,200

1,300

1,400

1,500

1,600

1,700

1Q01 2Q01 3Q01 4Q01 1Q02 2Q02 3Q02 4Q02 1Q03

DSL Customers Long-Distance Customers

In t

hou

sand

s

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Industry Leading Results Wireless EBITDA MarginsIndustry Leading Results Wireless EBITDA Margins

EBITDA Drivers:• Direct Sales Channel is approximately 70% of total sales• CDMA technology• Cash cost per customer competitive with companies with greater scale

Service revenue margin. Source: Company reports.

40%38%

34%

29%

25%

18%

38% 38%

32%

38%

30%

25%27%

34%

0%

10%

20%

30%

40%

ALLTEL Verizon Wireless Cingular Nextel US Cellular AT&T Wireless Sprint PCS

2001 EBITDA Margin 2002 EBITDA Margin

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Industry Leading Results Wireline EBITDA MarginsIndustry Leading Results Wireline EBITDA Margins

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

Source: Company reports.

58%

55%

51%

48%

41%

58%

55%

50% 49%

45%

40%

44%

0%

10%

20%

30%

40%

50%

60%

ALLTEL CenturyTel BellSouth Sprint FON Verizon SBC

2001 EBITDA Margin 2002 EBITDA Margin

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ALLTEL has one of the strongest credit profiles in the telecom industry• Well capitalized balance sheet

– A1 / Prime-1 / F1 (S&P / Moody’s / Fitch) Commercial Paper ratings– A / A2 / A (S&P / Moody’s / Fitch) long-term credit ratings

• Net Debt / EBITDA1 1.7X

Conservative Capital StructureConservative Capital Structure

TELECOM COMPANY CREDIT RATINGS STATISTICS

AWE

Q

NXTL

RCCC

CZN

CTLFON/PCS

TUSMTDS AT

VZBLS

SBC0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0

A+ AA-B+ BB- BB BB+ BBB- BBB BBB+ A- A

S&P Credit Rating

BB-CCC+

Source: Wall Street equity research and company filings.Note : Assumes 80% equity credit for AT, CZN, CTL and Sprint Equity Units. Q pf directories sale and debt exchange, Sprint pf directories sale, SBC pf Cegetel sale, VZ pf Northcoast. 1 Net Debt/Operating Income 3.6X.

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Solid Financial Performance Delivering Consistent GrowthSolid Financial Performance Delivering Consistent Growth

$5.8

$6.5$7.2

$7.5$8.0

1998 1999 2000 2001 2002

Revenue ($bn)

$2.1$2.5

$2.7$2.9

$3.1

1998 1999 2000 2001 2002

EBITDA1 ($bn)

$2.14

$2.59 $2.72 $2.84

$3.24

1998 1999 2000 2001 2002

Earnings per Share1

$1.18$1.24

$1.29$1.33

$1.37

1998 1999 2000 2001 2002

Dividends per Share

1 From Current Businesses (prior to the restatement of discontinued operations which reflects the 2Q ‘03 sale of the financial services division of the information services business).

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0

200

400

600

800

1,000

1998 1999 2000 2001 2002

12%

16%

20%

24%

28%

Equity Free Cash Flow CAPEX as a % of Revenues

Millions

* Defined as Net Income + Depreciation & Amortization - CAPEX and Capitalized Software Development Costs.

% of Revenues

$

*

Solid Financial Performance Strong and Growing Free Cash FlowSolid Financial Performance Strong and Growing Free Cash Flow

4-Year CAGR = 31%

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ALLTEL has performed better than the S&P 500 and its Peers over the last 5 yearsALLTEL has performed better than the S&P 500 and its Peers over the last 5 years

Assumes that $100 was invested on the last trading day of 1997 and that all dividends were reinvested.1 Peer group = an index of a group of peer issuers consisting of: American Management Systems Incorporated, AT&T Corp., BellSouth Corporation, CenturyTel Inc., Broadwing Communications Inc., Electronic Data Systems Corp., SBC Communications Inc., Sprint FON Group, Verizon Communications Inc., and Qwest Communications International Inc., respectively.

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Reconciliation of non-GAAP MeasuresReconciliation of non-GAAP Measures

EBITDA from Current Businessesfor the years ended December 31

(Dollars in billions) 1998 1999 2000 2001 2002Operating income under GAAP 1.0$ 1.5$ 1.7$ 1.6$ 1.8$ Items excluded from measuring results from current businesses: Merger and integration expenses and other charges 0.3 0.1 - 0.1 0.1

1.3 1.6 1.7 1.7 1.9 Depreciation and amortization expense 0.8 0.9 1.0 1.2 1.2 EBITDA from current businesses 2.1$ 2.5$ 2.7$ 2.9$ 3.1$

Diluted Earnings per Sharefor the years ended December 31

1998 1999 2000 2001 2002Diluted earnings per share under GAAP $1.95 $2.47 $6.08 $3.40 $2.96Items excluded from measuring results from current businesses, net of tax: Write-down of receivables due to interexchange carrier's bankruptcy filing - - - - 0.03 Net financing costs related to prefunding the Company's wireline and wireless acquisitions - - - - 0.05 Litigation settlement - - 0.02 - - Merger and integration expenses and other charges 0.65 0.20 0.04 0.17 0.20 Provision to reduce carrying value of certain assets 0.11 - - - - Gain on exchange or disposal of assets (0.58) (0.08) (3.57) (0.67) (0.03) Write-down of investments - 0.03 - 0.03 Termination fees on early retirement of long-term debt 0.01 - - - - Cumulative effect of accounting change - - 0.12 (0.06) - Diluted earnings per share from current businesses $2.14 $2.59 $2.72 $2.84 $3.24

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Wireless Service Revenue EBITDA Marginfor the years ended December 31

(Dollars in millions) 2002 2001Wireless segment income from current businesses 950.9$ 827.7$ Depreciation and amortization expense 577.7 619.0 Wireless EBITDA from current businesses (A) 1,528.6$ 1,446.7$ Wireless service revenues (B) 3,999.2$ 3,636.8$ Wireless service revenue EBITDA margins from current businesses (A) / (B) 38.2% 39.8%

Wireless segment income under GAAP (A) 947.9$ 827.7$ Wireless service revenues 3,999.2$ 3,636.8$ Wireless product sales 161.0 192.2 Total wireless revenues and sales (B) 4,160.2$ 3,829.0$ Wireless operating margin under GAAP (A) / (B) 22.8% 21.6%

Wireless segment income from current businesses 950.9$ 827.7$ Items excluded from measuring results from current businesses, net of tax: Write-down of receivables due to interexchange carrier's bankruptcy filing (3.0) - Wireless segment income under GAAP 947.9$ 827.7$

Reconciliation of non-GAAP MeasuresReconciliation of non-GAAP Measures

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Wireline EBITDA Marginfor the years ended December 31

(Dollars in millions) 2002 2001Wireline segment income from current businesses 803.9$ 732.7$ Depreciation and amortization expense 465.6 412.0 Wireline EBITDA from current businesses (A) 1,269.5$ 1,144.7$ Wireline revenues and sales (B) 2,179.7$ 1,964.9$ Wireless EBITDA margins from current businesses (A) / (B) 58.2% 58.3%

Wireline segment income under GAAP (A) 793.0$ 732.7$ Wireline revenues and sales (B) 2,179.7$ 1,964.9$ Wireline operating margin under GAAP (A) / (B) 36.4% 37.3%

Wireline segment income from current businesses 803.9$ 732.7$ Items excluded from measuring results from current businesses, net of tax: Write-down of receivables due to interexchange carrier's bankruptcy filing (10.9) - Wireline segment income under GAAP 793.0$ 732.7$

Reconciliation of non-GAAP MeasuresReconciliation of non-GAAP Measures

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Reconciliation of non-GAAP MeasuresReconciliation of non-GAAP Measures

Equity Free Cash Flowfor the years ended December 31

(Dollars in millions) 2002 2001 Amount %Net income from current businesses 1,011.3$ 889.6$ 121.7$ 14% Depreciation and amortization 1,178.6 1,167.7 10.9 1% Capital expenditures (1,194.1) (1,231.9) 37.8 -3%Equity free cash flow from current businesses 995.8$ 825.4$ 170.4$ 21%

Adjustments to reconcile to net cash provided from operations: Capital expenditures 1,194.1 1,231.9 Write-down of receivables due to interexchange carrier's bankruptcy filing, net of tax (8.7) - Net financing costs related to prefunding the Company's wireline and wireless acquisitions, net of tax (16.3) - Integration expenses and other charges, net of tax (62.5) (54.8) Income taxes related to gain on disposal of assets (6.8) (144.9) Income taxes related to write-down of investments 6.3 - Non-cash portion of integration expenses and other charges 48.3 46.6 Provision for doubtful accounts 267.0 144.0 Increase in deferred income taxes 373.0 216.2 Changes in operating assets and liabilities, net of the effects of acquisitions (210.5) (218.8) Other non-cash changes, net 15.2 24.9 Net cash provided from operations 2,594.9$ 2,070.5$

Increase (Decrease)

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Return on Equityfor the year ended December 31, 2002

FromCurrent Under

(Dollars in millions) Businesses GAAPNet income (A) 1,011.3$ 924.3$ Shareholders' equity, beginning of year 5,998.1 5,998.1 Shareholders' equity, end of year 5,565.8 5,565.8 Average shareholders' equity for the year (B) 5,782.0$ 5,782.0$ Return on equity (A) / (B) 17% 16%

Net income from current businesses 1,011.3$ Items excluded from measuring results from current businesses, net of tax: Write-down of receivables due to interexchange carrier's bankruptcy filing (8.7) Net financing costs related to prefunding the Company's wireline and wireless acquisitions (16.3) Integration expenses and other charges (62.5) Gain on disposal of assets 10.6 Write-down of investments (10.1) Net income under GAAP 924.3$

Reconciliation of non-GAAP MeasuresReconciliation of non-GAAP Measures

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Diluted Earnings per Sharefor the three months ended March 31:

2003 2002 Amount %Diluted earnings per share under GAAP $.90 $.68 $.22 32% Items excluded from measuring results from current businesses, net of tax: Integration expenses and other charges - .09 (.09) -100% Cumulative effect of accounting change, net of tax (.05) - (.05) - Diluted earnings per share from current businesses and discontinued operations $.85 $.77 $.08 10% Discontinued operations .12 .06 .06 100%Diluted earnings per share from current businesses $.73 $.71 $.02 3%

Increase (Decrease)

Reconciliation of non-GAAP MeasuresReconciliation of non-GAAP Measures

Net Incomefor the three months ended March 31:

(Dollars in millions) 2003 2002Net income under GAAP 280,285$ 213,806$ Items excluded from measuring results from current businesses, net of tax: Integration expenses and other charges - 26,090 Cumulative effect of accounting change, net of tax (15,591) - Net income from current businesses and discontinued operations 264,694 239,896 Discontinued operations 37,072 18,870 Net income from current businesses 227,622$ 221,026$

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Reconciliation of non-GAAP MeasuresReconciliation of non-GAAP Measures

Equity Free Cash Flowfor the three months ended March 31:

(Dollars in millions) 2003 2002 Amount %Net income from current businesses 227,622$ 221,026$ 6,596.0$ 3% Depreciation and amortization expense 303,523 247,497 56,026.0 23% Capital expenditures (227,751) (190,864) (36,887.0) 19% Capitalized software development costs (13,549) (18,749) 5,200.0 -28%Equity free cash flow from current businesses 289,845 258,910 30,935.0$ 12%

Adjustments to reconcile to net cash provided from operations: Capital expenditures 227,751 190,864 Capitalized software development costs 13,549 18,749 Integration expenses and other charges, net of tax - (26,090) Non-cash portion of integration expenses and other charges - 11,445 Provision for doubtful accounts 52,808 54,171 Increase in deferred income taxes 77,983 33,865 Other non-cash changes, net (1,798) 4,961 Changes in operating assets and liabilities, net of the effects of acquisitions and dispositions (113,288) 20,813 Net cash provided from operations 546,850$ 567,688$

Increase (Decrease)

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Debt to Equity Ratio Under GAAP as of March 31, 2003(Dollars in millions)Long-term debt, including current maturities (A) 6,469.4$ Total shareholders equity 6,172.5 Total debt and equity (B) 12,641.9$ Debt to equity ratio under GAAP (A) / (B) 51.2%

Long-term debt, including current maturities (A) 6,469.4$ Operating income under GAAP for the twelve months ended March 31, 2003 (B) 1,807.8$ Ratio of long-term debt to operating income (A) / (B) 3.6 x

Reconciliation of non-GAAP MeasuresReconciliation of non-GAAP Measures

Net Debt to Total Capitalization as of March 31, 2003(Dollars in millions) Actual Pro FormaLong-term debt, including current maturities 6,469.4$ 6,469.4$ Cash and short-term investments (52.9) (517.4) (1)Net debt 6,416.5$ 5,952.0$ Assumed conversion of equity units (80% of $1,385.0) (1,108.0) (1,108.0) Adjusted net debt (A) 5,308.5$ 4,844.0$

Net debt 6,416.5$ 5,952.0$ Total shareholders' equity 6,172.5 6,514.3 (2)Total capitalization (B) 12,589.0$ 12,466.3$ Net debt to total capitalization (A) / (B) 42% 39%

Net Debt to Trailing 12 Months EBITDA as of March 31, 2003(Dollars in millions) Actual Pro FormaAdjusted net debt (from above) (A) 5,308.5$ 4,828.0$ EBITDA from current businesses for the twelve months ended March 31, 2003 3,000.4$ 3,000.4$ EBITDA from discontinued operations for the twelve months ended March 31, 2003 198.3 (3) - EBITDA from current businesses and discontinued operations for the twelve months ended March 31, 2003 (B) 3,198.7$ 3,000.4$ Net debt to EBITDA for the twelve months ended March 31, 2003 (A) / (B) 1.7 x 1.6 x

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Reconciliation of non-GAAP MeasuresReconciliation of non-GAAP Measures

Notes:(1)-Pro forma amount includes net after-tax cash proceeds of $464.5 million received from the sale of the financial services division to Fidelity National Financial, Inc.(2)-Pro forma amount includes after-tax net gain of $341.8 million realized from the sale of the financial services division to be recorded by ALLTEL in the second quarter of 2003.(3)-Supplemental information related to discontinued operations under GAAP for the twelve months ended March 31, 2003 was as follows:

Revenues and sales 871.3$ Operating expenses 673.0 Depreciation and amortization 70.2 Total expenses 743.2 Operating income 128.1 Non-operating income 7.6 Pretax income from discontinued operations 135.7 Income tax expense 43.3 Income from discontinued operations 92.4$

Operating income 128.1$ Depreciation and amortization 70.2 EBITDA from discontinued operations 198.3$

2003 Earnings per Share Guidance:

2003 Estimated annual diluted earnings per share under GAAP $4.26 to $4.36 Cumulative effective of accounting change (1st quarter 2003) (.05) (.05)

Estimated gain on sale of financial services division (2nd quarter 2003) (1.09) (1.09) 2003 estimated annual diluted earnings per share from current businesses

and discontinued operations $3.12 to $3.22

Note: This forward-looking information is provided as of April 24, 2003 and speaks only as of that date. ALLTEL is not obligated to update

forward-looking information to reflect events occurring after the date the information is provided.

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