partners, Sprint charged the network partners for these amounts.  For the years presented, the Company recorded the
actual costs, after the adjustments, which were recorded for these services provided by Sprint.
Under the Sprint agreements, Sprint provides the Company significant support services such as customer service,
billing, collections, long distance, national network operations support, inventory logistics support, use of the Sprint
brand names, national advertising, national distribution and product development.  Additionally, the Company derives
substantial travel revenue and incurs substantial travel expenses when Sprint and Sprint’s PCS Affiliate partners’
subscribers incur minutes of use in the Company’s territory and when the Company’s subscribers incur minutes of use
in Sprint and Sprint’s PCS Affiliate partners’ territories.  These transactions are recorded as travel revenue, network
operating cost and travel cost, cost of equipment and selling and marketing expense in the Company’s consolidated
statements of income.  Cost of service related to access to the nationwide network, including travel transactions and
long distance expenses, are recorded in network operating costs.  The costs of services such as billing, collections and
customer service are included in selling, general and administrative costs.  Cost of equipment transactions between the
Company and Sprint relate to inventory purchased and subsidized costs of handsets.  These costs also include
transactions related to subsidized costs on handsets and commissions paid to Sprint for sales of handsets through
Sprint’s national distribution programs.
As an exclusive PCS Affiliate of Sprint, the Company has the exclusive right to build, own and maintain its portion of
Sprint’s nationwide PCS network, in the aforementioned areas, to Sprint's specifications.  The initial term of the
Agreement is for 20 years and is automatically renewable for three 10-year options, unless terminated by either party
under provisions outlined in the Agreement.
Note 7.  Significant Contractual Relationship (Continued)
29 ■ 2003 ANNUAL REPORT
SHENANDOAH TELECOMMUNICATIONS COMPANY AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
January 1, 2002.  The $0.10 rate was in effect for the full year of 2002. The travel rate for 2003 was $0.058 per minute
and will remain at this rate through December 31, 2006.