FALLS CHURCH, Va., Oct. 12 /PRNewswire/ -- Capital One Financial Corporation (NYSE: COF) and Sprint PCS (NYSE: PCS) have entered into an agreement to test direct marketing initiatives for growth potential in incremental customers for Sprint PCS.

Capital One, through its telecommunications subsidiary, America One Communications, will use its proprietary Information-Based Strategy (IBS) to identify and test new market segments for Sprint PCS. Using IBS, Capital One links one of the world's largest databases with highly sophisticated analytics to create offers tailored to customers' individual needs. Sprint PCS will provide wireless services, billing and network infrastructure for accounts developed through this marketing agreement.

"We're pleased to be working with a wireless industry leader like Sprint PCS," said N. Andrew Cohen, president of America One. "We can leverage their nationwide, all-digital network and powerful brand identity while focusing on Capital One's core strength, which is targeted marketing using our information-based strategy."

America One will discontinue its operations as a wireless reseller. The company has sold 72,000 wireless customer accounts to Sprint PCS in a transaction that closed prior to September 30, 2000, and is in the process of selling its remaining accounts over the next several months to other telecommunications network service providers.

Headquartered in Falls Church, Virginia, Capital One Financial Corporation (www.CapitalOne.com) is a holding company whose principal subsidiaries, Capital One Bank and Capital One, F.S.B., offer consumer lending products. Capital One's subsidiaries collectively had 29.4 million accounts and $24.2 billion in managed loans outstanding as of September 30, 2000. Capital One is one of the major financial services providers on the Internet, with on-line account decisioning, real-time account numbering, on-line retail deposits and a growing number of customers serviced on-line. Capital One trades on the New York Stock Exchange under the symbol "COF" and is included in the S&P 500 index.

About Sprint PCS

Sprint PCS operates the largest 100 percent digital, 100 percent PCS nationwide wireless network in the United States, already serving the majority of the nation's metropolitan areas including more than 4,000 cities and communities across the country. Sprint PCS has licensed PCS coverage of nearly 270 million people in all 50 states, Puerto Rico and the U.S. Virgin Islands. For more information, visit the Sprint PCS web site at http://www.sprintpcs.com. Sprint PCS is a wholly-owned tracking group of Sprint Corporation trading on the NYSE under the symbol "PCS."

Sprint is a global communications company at the forefront in integrating long distance, local and wireless communications services and a large carrier of Internet traffic. Sprint built and operates the United States' first nationwide all-digital, fiber optic network and is a leader in advanced data communications services. Sprint has $20 billion in annual revenues and serves more than 20 million business and residential customers. SOURCE Capital One Financial Corporation

CONTACT: Paul Paquin, V.P., Investor Relations, 703-205-1039; or Patrick Moore, Media Relations, 703-205-1084; both of Capital One; or Dan Wilinsky, Media Relations of Sprint PCS, 816-559-3600/