Document:

<PAGE>   1
                                                                  EXHIBIT 10.2.9

                                  AMENDMENT 002
                                       TO
                   IDEN INFRASTRUCTURE [ * ] SUPPLY AGREEMENT
                                     BETWEEN
                                 MOTOROLA, INC.
                                       AND
                           NEXTEL COMMUNICATIONS, INC.

This Amendment is between Motorola, Inc. a Delaware corporation ("Motorola") and
Nextel Communications, Inc. ("Customer") and amends the iDEN Infrastructure
[ * ] Supply Agreement dated as of April 13, 1999, as previously amended,
("[ * ] Supply Agreement").

WHEREAS, the parties have mutually agreed to enter into this Amendment to the
[ * ] Supply Agreement in order to encourage efforts to enhance the reputation
of iDEN in the United States market place by establishing improvement plans for
Customer operations and Motorola support of Customer's iDEN systems in the
United States; and

WHEREAS, this Amendment shall set joint Customer/Motorola uptime goals ("Overall
System Uptime") and penalties if they are not reached and system outage ("System
Outages") penalties by Motorola; and

WHEREAS, the parties agree to jointly develop plans and procedures capable of
meeting the overall system uptime goals and dramatically reducing system
outages; and

NOW THEREFORE, Consideration of their mutual promises the parties agree as
follows.

I.     OVERALL SYSTEM AVAILABILITY

       i)            Based on data provided by Customer, Motorola will measure
              system availability on a 24 hour basis as well as between the
              hours of 7:00 AM and 11:00 PM.

       ii)           Motorola and Customer jointly agree the quarterly goals for
              Overall System Uptime between the hours of 7:00 AM and 11:00 PM
              shall be as follows:

                     (a)    [ * ]
                     (b)    [ * ]
                     (c)    [ * ]
                     (d)    [ * ]
                     (e)    [ * ]

       iii)          [ * ]

        iv)          [ * ]

              (a)           [ * ]

              (b)           [ * ]

Motorola/Nextel Agreement                     Amendment 002 to iDEN [ * ] Supply

       * Confidential portions omitted and filed separately with the Commission
pursuant to an application for confidential treatment pursuant to Rule 24b-2
under the Securities and Exchange Act of 1934, as amended.

<PAGE>   2

              (c)           [ * ]

              (d)           [ * ]

II.    [ * ]

       [ * ]

III.   SYSTEM OUTAGE

       A.     System Outage Penalty

              (i)           Motorola will pay Customer on a per hour basis for
                     each system outage as defined below [ * ]

                     a)     [ * ]
                     b)     [ * ]
                     c)     [ * ]
                     d)     [ * ]

              (ii)          [ * ]

              (iii)         The above penalties will be assessed upon
                     notification to Motorola, Director of Customer Operations
                     for Nextel, of an event and continue until such event has
                     been corrected and the element is deemed to be in service
                     and fully functional, less any time required to collect
                     failure logs. [ * ]

              (iv)          [ * ]

       B.     System Outage Exclusions

              (i)           [ * ]

              (ii)          [ * ]

              (iii)         [ * ]

              (iv)          [ * ]

              (v)           [ * ]

              (vi)          [ * ]

              (vii)         [ * ]

              (viii)        [ * ]

              (ix)          [ * ]

              (x)           [ * ]

Motorola/Nextel Agreement                     Amendment 002 to iDEN [ * ] Supply

       * Confidential portions omitted and filed separately with the Commission
pursuant to an application for confidential treatment pursuant to Rule 24b-2
under the Securities and Exchange Act of 1934, as amended.

<PAGE>   3

              (xi)          [ * ]

              (xii)         [ * ]

              (xiii)        [ * ]

IV.    GENERAL

       A.  [ * ]

       B.  [ * ]

              (i)    [ * ]

              (ii)   [ * ]

       C.     [ * ]

              (i)           [ * ]

D.     Infrastructure Notice of Claim

              (i)           Customer must make notice of claim in writing to
                     Motorola within 72 hours of Motorola's notification to
                     Customer of direct cause of failure for each outage
                     occurrence. This claim must include an explanation of the
                     rationale for the claim.

              (ii)          Motorola will define a process for responding to
                     Customer claims by April 1, 2000.

              (iii)         Motorola agrees to distribute all direct cause
                     outage reports to the Chief Operating Officer, Chief
                     Technology Officer, Executive Vice President of Engineering
                     and Operations and the Vice President and Director of
                     Operations at Customer.

E.     Other Provisions

              (i)           Parties recognize that to insure minimum restoration
                     time, it may be necessary to forego collection of valuable
                     trace data that would allow for root cause analysis. If
                     customer desires to extend outage duration to collect trace
                     data, Motorola liability terminates upon such notice.

Motorola/Nextel Agreement                     Amendment 002 to iDEN [ * ] Supply

       * Confidential portions omitted and filed separately with the Commission
pursuant to an application for confidential treatment pursuant to Rule 24b-2
under the Securities and Exchange Act of 1934, as amended.

<PAGE>   4

              (ii)          The compensation provisions in this Amendment are
                     effective upon execution of this Amendment, but are made
                     retroactive to September 1, 1999. These penalty provisions
                     shall be in effect through December 31, 2000.

              (iii)         Motorola and Customer Senior Management have
                     developed a set of "joint goals" for the Customer
                     operations and Motorola support teams attached as Exhibit
                     I. Achievement of the goals at an agreed upon threshold
                     level will result in a formal recognition/program incentive
                     to be agreed to by the parties.

F.     Extension of Penalty Provisions

       The parties agree to negotiate in good faith on modification or extension
       of these provisions beyond End of Year 2000 based on perceived benefit of
       these provisions and changes in system performance. A formal review of
       the penalty program will be conducted at the end of Q1 2000.

G.     Dispute Resolution

       Disputes and Dispute Resolution with regards to this Penalty/Incentive
       program will be resolved as outlined in paragraph 30.0 of the [ * ]
       Infrastructure Supply Agreement.

The iDEN [ * ] Supply Agreement shall remain in full force and effect except as
expressly amended hereby.

IN WITNESS WHEREOF, this Amendment has been executed and delivered by the
parties set forth below.

MOTOROLA, INC.                            NEXTEL COMMUNICATIONS, INC.

By:/s/ Charles F. Wright                  By:/s/ Stephen Taylor       12/30/99
   -------------------------                 ---------------------------------
    (Authorized Signatory)                        (Authorized Signatory)

Name: Charles F. Wright                   Name: Stephen Taylor

Title: Sr. V.P. & G.M. CSG-NA             Title: V.P. - Supply Chain Management

Motorola/Nextel Agreement                     Amendment 002 to iDEN [ * ] Supply

       * Confidential portions omitted and filed separately with the Commission
pursuant to an application for confidential treatment pursuant to Rule 24b-2
under the Securities and Exchange Act of 1934, as amended.<PAGE>   1
                                                                    EXHIBIT 10.9

                           NEXTEL INTERNATIONAL, INC.

                             1997 STOCK OPTION PLAN

                          (Restated as of May 13, 1999)

                               SECTION 1. PURPOSE

         The purpose of this Nextel International, Inc. 1997 Stock Option Plan
(this "Plan") is to provide a means whereby selected employees, directors,
officers, consultants, agents, advisors and independent contractors of Nextel
International, Inc., a Washington corporation (the "Company"), and its
Subsidiaries (as defined in Section 4) may be granted options to purchase shares
of the common stock of the Company (the "Common Stock") and thereby share in any
future appreciation in the value of the Common Stock (Amended 7/10/98).

                            SECTION 2. ADMINISTRATION

         This Plan shall be administered by the Board of Directors of the
Company (the "Board") or a committee designated by the Board in its discretion,
which must include two or more members of the Board. If and so long as the
Common Stock is registered under Section 12(b) or 12(g) of the Securities
Exchange Act of 1934, as amended (the "Exchange Act"), the Board shall consider
in selecting the Plan Administrator and the membership of any committee acting
as Plan Administrator, with respect to any persons subject or likely to become
subject to Section 16 of the Exchange Act, the provisions regarding (a) "outside
directors" as contemplated by Section 162(m) of the Internal Revenue Code of
1986, as amended (the "Code"), and (b) "nonemployee directors" as contemplated
by Rule 16b-3 under the Exchange Act. The Board may delegate the responsibility
for administering this Plan with respect to designated classes of eligible
persons to different committees consisting of two or more members of the Board,
subject to such limitations, as the Board deems appropriate. Committee members
shall serve for such term as the Board may determine, subject to removal by the
Board at any time. The Board (or the designated committee, if applicable) shall
hereinafter be referred to as the "Plan Administrator." The Board may also
authorize a senior executive officer of the Company to administer this Plan
within limits specifically prescribed by the Board. Except for the terms and
conditions explicitly set forth in this Plan, the Plan Administrator shall have
the authority, in its discretion, to determine all matters relating to the
options to be granted under this Plan, including selection of the individuals to
be granted options, the number of options to be granted, and all other terms and
conditions of the options. The options granted under this Plan need not be
identical in any respect, even when made simultaneously.

         The Plan Administrator shall be responsible for interpreting and
construing the terms and provisions of this Plan, any options issued hereunder,
or any rule or regulation promulgated in connection with this Plan and
associated options. All actions of the Plan Administrator shall, to the maximum
extent permitted under law, be determined in its good faith discretion, and
subject to appeal or dispute only as to its failure to adhere to such good faith
discretion standard. Any party disagreeing with the Plan Administrator's
interpretation or decision may request the Plan Administrator to reexamine its
action. A request for a reexamination must be made in writing within 60 days of
the Plan Administrator's decision or action, and must specify the reasons why
the Plan Administrator's decision or action was wrong or inappropriate. Within
90 days of its receipt of a request to reexamine a decision or action, the Plan
Administrator will respond in writing to the disputing party. The Plan
Administrator's response shall either reverse or reconfirm its initial decision
or action. If the response reconfirms the initial decision or action, the Plan
Administrator shall state why it disagrees with the points raised by the
disputing party.

         A continuing dispute between the Plan Administrator and a recipient of
options about the proper interpretation of this Plan or the Stock Purchase
Agreement to be entered into between the Company and the

<PAGE>   2

holder of an option upon exercise of an option (the "Stock Purchase Agreement"),
or the correct amount of benefits available under this Plan or the Stock
Purchase Agreement shall be settled in Seattle, Washington, or such other
location reasonably selected by the Company, by arbitration in accordance with
the procedures utilized by Commercial Arbitration Rules of the American
Arbitration Association (the "AAA Rules"). The arbitrator shall be either
selected by the mutual agreement of the parties or chosen in accordance with the
AAA Rules. Judgment upon the award rendered by the arbitrator may be entered in
any court having jurisdiction thereof. Notwithstanding anything in the AAA Rules
to the contrary, the prevailing parties shall not be entitled to costs, expenses
or attorneys' fees.

                      SECTION 3. STOCK SUBJECT TO THIS PLAN

3.1       AUTHORIZED NUMBER OF SHARES

         Subject to adjustment from time to time as provided in Section 7, a
maximum of 2,725,000 shares of Common Stock shall be available for issuance
under this Plan. Shares issued under this Plan shall be drawn from authorized
and unissued shares or shares now held or subsequently acquired by the Company.
(Amended 5/13/99)

3.2      REUSE OF SHARES

         Any shares of Common Stock that have been made subject to an option
that cease to be subject to the option (other than by reason of exercise of the
option to the extent it is exercised for shares) shall again be available for
issuance in connection with future grants of options under this Plan.

                             SECTION 4. ELIGIBILITY

         An option may be granted to any employee, director, officer,
consultant, agent, advisor or independent contractor of the Company or its
Subsidiaries that the Plan Administrator from time to time selects. For purposes
of this Plan, except as provided below, the term "Subsidiary" means any entity
that is directly or indirectly controlled by the Company or in which the Company
has a significant ownership interest, as determined by the Plan Administrator.
In addition, an option may be granted to any person who was granted a stock
appreciation right under the Company's Stock Appreciation Rights Plan and who is
an employee of Nextel Communications, Inc. ("Nextel") on the date of grant.
Anyone to whom an option is granted under this Plan shall be referred to
hereinafter as an "Optionee."

         Notwithstanding anything in this Plan to the contrary, the Plan
Administrator may grant options under this Plan in substitution for awards
issued under other plans, or assume under this Plan awards issued under other
plans, if the other plans are or were plans of other acquired entities
("Acquired Entities") (or the parent of the Acquired Entity) and the new option
is substituted, or the old award is assumed, by reason of a merger,
consolidation, acquisition of property or of stock, reorganization or
liquidation (the "Acquisition Transaction"). In the event that a written
agreement pursuant to which the Acquisition Transaction is completed is approved
by the Board and said agreement sets forth the terms and conditions of the
substitution for or assumption of outstanding awards of the Acquired Entity,
said terms and conditions shall be deemed to be the action of the Plan
Administrator without any further action by the Plan Administrator, except as
may be required for compliance with Rule 16b-3 under the Exchange Act, and the
persons holding such awards shall be deemed to be Optionees.

                   SECTION 5. TERMS AND CONDITIONS OF OPTIONS

         The Plan Administrator shall have the authority, in its sole
discretion, to determine the awards to be made under this Plan. Such awards
shall consist of incentive stock options that are intended to qualify under
Section 422 of the Code or nonqualified stock options.

         Options granted under this Plan shall be evidenced by individual
written agreements ("option letter agreements"), which shall contain such terms,
conditions, limitations and restrictions as the Plan Administrator shall deem
advisable and consistent with this Plan. Notwithstanding the foregoing, all
options shall include or

<PAGE>   3

incorporate by reference the following terms and conditions, except as provided
otherwise in the applicable option letter agreement:

5.1      NUMBER OF OPTIONS AND EXERCISE PRICE

         At the time a grant of an option is made, the Plan Administrator shall
establish the maximum number of shares of Common Stock subject to the option
contained in the grant. Also at the time an option is granted, the corresponding
option letter agreement shall designate the exercise price for shares purchased
under the option, which shall be as determined by the Plan Administrator, but
shall not be less than 100% of the fair market value (as determined below) of a
single share of Common Stock on the date of grant with respect to incentive
stock options.

5.2       DETERMINATION OF FAIR MARKET VALUE

          The per share fair market value shall be established by the Plan
Administrator as follows:

          5.2.1

         Within 90 days following the close of the Company's fiscal year, the
Plan Administrator shall establish the fair market value of a share of the
Common Stock for purposes of this Plan, based on financial data dated as of the
end of the most recently closed fiscal year, and shall deliver written notice of
such value to each Optionee within a reasonable period of time of determining
such value (the "Year-End Valuation Notice"). In setting such per share fair
market value, the Plan Administrator shall attempt, in good faith, to establish
the Company's fair market value, consistently using formulas and other valuation
techniques generally used in purchasing and selling businesses similar to the
Company. For purposes of determining the per share fair market value of the
Common Stock at the date of grant and/or exercise of an option that occurs at a
time other than during the first Semi-Annual Exercise Period (as defined in
Section 5.4 below) each year, the per share fair market value shall be
determined by the Plan Administrator after taking into account such factors as
the Plan Administrator shall deem appropriate.

          5.2.2

         Notwithstanding the other paragraphs of Section 5.2, for purposes of
determining the per share fair market value at the date of exercise of certain
put rights to sell to the Company shares acquired upon exercise of an option (a
"Put Right") as described in Section 13.2 that occurs at a time other than
during the first Semi-Annual Exercise Period (as defined in Section 5.4) each
year, the Plan Administrator shall at its election either (i) use the year-end
financial information for the Company's most recently ended fiscal year and
determine the per share fair market value as of that year-end, and then adjust
that value forward at the Applicable Rate to the date of exercise, which
adjusted amount shall be the applicable per share fair market value, or (ii) use
month-end financial information for the Company's most recently ended month and
determine the per share fair market value as of that month-end, which such
determined amount shall be the applicable per share fair market value; provided,
however, unless a material transaction has occurred within the three-month
period following the most recent determination of per share fair market value,
such per share fair market value shall be applicable during such period; and
provided, further, that, (x) if a Put Right is exercised during the last 45 days
of the Company's fiscal year, then the Company shall wait and use the year-end
financial information for that fiscal year to determine per share fair market
value and (y) immediately prior to a material transaction the Plan Administrator
shall establish the per share fair market value applicable immediately prior to
(and disregarding any value impact associated with) such transaction; and
provided, further that in no event shall such per share fair market value for an
exercise date during any fiscal year be lower than the per share fair market
value stated in the Year-End Valuation Notice for that year. The Plan
Administrator shall, within 90 days following the close of the second fiscal
quarter of the Company's fiscal year, establish the per share fair market value
of the Common Stock, based on either of the methodologies described in clause
(i) or (ii) above and shall deliver written notice of such value to each
Optionee (the "Six-Month Valuation Notice") (the Year-End Valuation Notice and
the Six-Month Valuation Notice are each

<PAGE>   4

a "Valuation Notice"). For purposes of this Plan, "Applicable Rate" shall mean
an annual rate equal to the prime rate (adjusted quarterly) announced from time
to time by Seattle-First National Bank plus 2%.

          5.2.3

         Notwithstanding the preceding paragraphs of this Section 5.2, in the
event the grant and/or exercise of options or the exercise of a Put Right occurs
in connection with the sale of the Company, an initial public offering, merger,
or other similar event that utilizes or produces a purchase value for the
Company or for individual shares of the Common Stock, then that value shall be
used for computing the per share fair market value under this Plan. Otherwise,
in setting the per share fair market value in connection with the granting or
exercising of options or the exercise of a Put Right, the determination of the
Plan Administrator acting in good faith and using formulas and other valuation
techniques generally used in purchasing and selling businesses similar to the
Company shall be conclusive and binding on all parties; provided, in the event
of a dispute over the valuation, the arbitration process discussed in Section 2
shall not affect or alter the Plan Administrator's determination if the
arbitrator concludes the Plan Administrator (i) acted in good faith and (ii)
based its determination on formulas and other valuation techniques generally
used in the purchase and sale of businesses similar to the Company.

          5.2.4

         Notwithstanding the foregoing, if the Common Stock is listed on the
NASDAQ National Market, the per share fair market value shall be the average of
the high and low per share sales prices for the Common Stock as reported by the
NASDAQ National Market for a single trading day or, if the Common Stock is
listed on the New York Stock Exchange or the American Stock Exchange, the per
share fair market value shall be the average of the high and low per share sales
prices for the Common Stock as such price is officially quoted in the composite
tape of transactions on such exchange for a single trading day. If there is no
such reported price for the Common Stock for the date in question, then such
price on the last preceding date for which such price exists shall be
determinative of the per share fair market value.

5.3      TERM AND VESTING

         The term of each option shall be ten years from the date of grant,
unless the Plan Administrator establishes a different term and set forth in the
option letter agreement issued to the individual Optionee. The Plan
Administrator may, in its discretion, extend the term period of an option. In
addition, the term of an option shall expire, if earlier than ten years or the
different term specified in the option letter agreement, earlier in accordance
with the provisions of Section 5.8 if the Optionee's employment or service
relationship with the Company terminates before the end of ten years from the
date of grant or the different term specified in the option letter agreement. To
the extent not exercised within the applicable time period provided herein,
options shall become null and void.

         To ensure that the Company achieves the purpose and receives the
benefits contemplated in this Plan, any option granted to any person hereunder
shall, unless the condition of this sentence is waived or modified by the Plan
Administrator in the individual option letter agreement or at any later time,
vest on a monthly basis over a four-year period, with the Optionee becoming
vested in 1/48th of the option grant after the completion of each full calendar
month of employment or service relationship with the Company following the date
as of which the option was granted.

5.4        EXERCISE

         After an Optionee becomes at least 50% vested with respect to any
single option grant, the Optionee may exercise vested options included in that
grant; provided that, an Optionee may not exercise more than 20% of the options
conveyed in a specific grant in a single fiscal year of the Company. This 50%
threshold shall apply separately to each separate grant of options. The Plan
Administrator may in its discretion increase the percentage of options, which
may be exercised. To the extent options are exercised upon a termination of
employment or

<PAGE>   5

service relationship with the Company (as described in Section 5.8), the
preceding 50% and 20% limits shall not apply. During an Optionee's lifetime, any
options granted under this Plan are personal to him or her and may be exercised
solely by such Optionee except as permitted under Section 5.7.

         To the extent that the right to purchase shares has accrued thereunder,
an option may be exercised only during a Semi-Annual Exercise Period by
delivering during such Semi-Annual Exercise Period written notice to the
Company, in accordance with procedures established by the Plan Administrator,
setting forth the number of shares with respect to which the option is being
exercised and accompanied by payment in full as described below. "Semi-Annual
Exercise Periods" means the 30-day periods commencing each year on each of (a)
the date the Plan Administrator delivers to the Optionee the Year-End Valuation
Notice pursuant to Section 5.2.1 and (b) the date the Plan Administrator
delivers to the Optionee the Six-Month Valuation Notice pursuant to Section
5.2.2, during which periods an Optionee is entitled to exercise his or her
options pursuant to the terms hereof.

         The limitations on exercisability contained in this Section 5.4 shall
not apply at any time during which the Common Stock is registered under Section
12(b) or 12(g) of the Exchange Act. The Plan Administrator may determine at any
time that an option may not be exercised as to less than 100 shares at any one
time (or the lesser number of remaining shares covered by the option).

5.5      PAYMENT OF THE EXERCISE PRICE

         The exercise price for shares purchased under an option shall be paid
in full to the Company by delivery of consideration equal to the product of the
option exercise price and the number of shares purchased. Such consideration
must be paid in cash or by check or, unless the Plan Administrator in its sole
discretion determines otherwise, either at the time the option is granted or at
any time before it is exercised, a combination of cash and/or check (if any) and
any of the following alternative forms: (a) tendering (either actually or, if
and so long as the Common Stock is registered under Section 12(b) or 12(g) of
the Exchange Act, by attestation) Common Stock already owned by the Optionee for
at least six months (or any shorter period necessary to avoid a charge to the
Company's earnings for financial reporting purposes) having a fair market value
on the day prior to the exercise date equal to the aggregate option exercise
price; (b) if and so long as the Common Stock is registered under Section 12(b)
or 12(g) of the Exchange Act, delivery of a properly executed exercise notice,
together with irrevocable instructions, to (i) a brokerage firm designated by
the Company to deliver promptly to the Company the aggregate amount of sale or
loan proceeds to pay the option exercise price and any withholding tax
obligations that may arise in connection with the exercise and (ii) the Company
to deliver the certificates for such purchased shares directly to such brokerage
firm, all in accordance with the regulations of the Federal Reserve Board; or
(c) surrendering to the Company a portion of a particular grant equal to or less
than the result of dividing the total exercise price of the options being
exercised by the fair market value of one share of Common Stock and receiving
from the Company in whole shares the difference between the total shares of the
option grant and the number of whole option shares surrendered. In addition, to
the extent permitted by the Plan Administrator in its sole discretion, the price
for shares purchased under an option may be paid, either singly or in
combination with one or more of the alternative forms of payment authorized by
this Section 5.5, by (y) a promissory note delivered pursuant to Section 12 or
(z) such other consideration as the Plan Administrator may permit.

 5.6      STOCK PURCHASE AGREEMENT

         Prior to and as a condition to the exercise of an option, the Optionee
shall become a party to and agree to the terms of a Stock Purchase Agreement,
which agreement provides terms and conditions regarding the ownership and
disposition of the Common Stock issued upon the exercise of an option. A copy of
the Stock Purchase Agreement, in its substantial form, shall be provided to the
Optionee upon the grant of an option to the Optionee.

  5.7      NON-TRANSFERABILITY OF OPTIONS

         Options granted under this Plan and the rights and privileges conferred
thereby may not be transferred, assigned, pledged or hypothecated in any manner
(whether by operation of law or otherwise) other than by will or

<PAGE>   6

by the applicable laws of descent and distribution, and shall not be subject to
execution, attachment or similar process. Upon any attempt to transfer, assign,
pledge, hypothecate or otherwise dispose of any option under this Plan or of any
right or privilege conferred thereby, contrary to the provisions hereof, or upon
the sale or levy or any attachment or similar process upon the options or rights
and privileges conferred thereby, such option shall terminate and become null
and void. Notwithstanding the foregoing, and to the extent permitted by Section
422 of the Code, the Plan Administrator, in its sole discretion, may permit the
assignment or transfer of an option and may permit an Optionee to designate a
beneficiary who may exercise the option after the Optionee's death; provided,
however, that any option so assigned or transferred shall be subject to all the
same terms and conditions contained in the option letter agreement.

5.8      TERMINATION OF EMPLOYMENT OR SERVICE RELATIONSHIP WITH THE COMPANY

         If the Optionee terminates his or her employment or service
relationship with the Company for any reason (including retirement, death,
disability or otherwise), the Optionee may exercise the vested portion of his or
her options, as governed by the vesting schedule defined in Section 5.3. The
unvested portion of his or her options shall be forfeited. In addition, an
Optionee whose employment or service relationship with the Company is terminated
for cause shall forfeit all outstanding options, including vested and unvested
portions. A termination shall be considered for "cause" if the Plan
Administrator determines that the Optionee's termination of employment or
service relationship with the Company was for one of the following reasons: (a)
proven embezzlement by the Optionee of the Company's assets, or other crimes by
the Optionee against or directly involving the Company's property; (b) material
violation by the Optionee, whether or not an employee, of the policies
applicable to employees of the Company; (c) the Optionee acting in any fashion
as an independent consultant or employee, for himself or herself or any other
business or employer other than the Company, in any endeavor that in any way
competes with the Company; or (d) the Optionee's willful engaging in conduct
that is materially injurious to Nextel, the Company or their subsidiaries,
financially or otherwise. For purposes of this Section 5.8, no act, or failure
to act, on the Optionee's part shall be considered "willful" unless done, or
omitted to be done, by the Optionee not in good faith and without reasonable
belief that such action or omission was in the best interest of Nextel, the
Company or their subsidiaries.

         The portion of the Optionee's options that are vested and
nonforfeitable on the date of the Optionee's termination of employment or
service relationship with the Company for any reason other than total disability
or death may be immediately exercised for a period of 90 days following the
Optionee's termination of employment or service relationship with the Company.
If termination of employment or service relationship with the Company is due to
an Optionee's total disability (as defined in Section 5.12.4), then the right to
exercise the Optionee's vested and nonforfeitable options under this Section 5.8
shall extend to one year from the date of termination of employment or service
relationship. If termination of employment or service relationship with the
Company is due to an Optionee's death (or the Optionee dies within 90 days
following a termination of employment or service relationship with the Company,
but prior to exercising his or her options), then the right to exercise the
Optionee's vested and nonforfeitable options under this Section 5.8 shall pass
to the Optionee's personal representative or estate, and the period for exercise
shall extend to one year from the date of death. The Plan Administrator, may, in
its discretion, waive or extend these exercise periods. Following these exercise
periods, any remaining unexercised options shall automatically terminate and be
forfeited.

         For purposes of this Section 5.8, employment or service relationship
with the Company shall be deemed to continue while the Optionee is on military
leave, sick leave or other bona fide leave of absence (as determined by the Plan
Administrator). The foregoing notwithstanding, employment or service
relationship with the Company shall not be deemed to continue beyond the first
90 days of such leave, unless the Optionee's reemployment rights are guaranteed
by statute or contract.

  5.9      CONTINUATION OF EMPLOYMENT OR SERVICE RELATIONSHIP WITH THE COMPANY

         Nothing in this Plan or in any options granted pursuant to this Plan
shall confer upon any Optionee any right to continue in the employment or
service relationship of the Company or of any Subsidiary, or to interfere in

<PAGE>   7

any way with the right of the Company or of any Subsidiary to terminate the
Optionee's employment or other relationship with the Company or the Subsidiary
at any time.

5.10     MODIFICATION AND AMENDMENT OF OPTIONS

         Subject to the terms and conditions and within the limitations of this
Plan, the Plan Administrator may modify or amend outstanding options granted
under this Plan. Except as expressly provided under the terms of this Plan as in
effect at the time of granting the relevant option, the modification or
amendment of an outstanding option shall not, without the consent of the
Optionee, impair or diminish any of his or her options that have been granted,
or any of the obligations of the Company under such options.

5.11     BUYOUT PROVISIONS

         The Plan Administrator may at any time offer to buy out for a payment
in cash an option previously granted and held by an Optionee whose employment or
service relationship with the Company has been terminated, based on such terms
and conditions as the Plan Administrator shall establish and communicate to the
Optionee at the time such offer is made.

5.12     INCENTIVE STOCK OPTION LIMITATIONS

         To the extent required by Section 422 of the Code, incentive stock
options shall be subject to the following additional terms and conditions:

          5.12.1 DOLLAR LIMITATION

         To the extent the aggregate fair market value (determined as of the
grant date) of Common Stock with respect to which incentive stock options held
by an individual Optionee are exercisable for the first time during any calendar
year (under this Plan and all other stock option plans of the Company) exceeds
$100,000, such portion in excess of $100,000 shall be treated as a nonqualified
stock option. In the event an Optionee holds two or more such options that
become exercisable for the first time in the same calendar year, such limitation
shall be applied on the basis of the order in which such options are granted.

          5.12.2 10% SHAREHOLDERS

         If an individual owns more than 10% of the total voting power of all
classes of the Company's stock, then the exercise price per share of an
incentive stock option shall not be less than 110 % of the fair market value of
the Common Stock on the grant date and the option term shall not exceed five
years. The determination of 10% ownership shall be made in accordance with
Section 422 of the Code.

          5.12.3 ELIGIBLE EMPLOYEES

         Individuals who are not employees of the Company or one of its
subsidiary corporations or parent corporations may not be granted incentive
stock options. For purposes of this Section 5.12.3, "parent corporation" and
"subsidiary corporation" shall have the meanings attributed to those terms for
the purposes of Section 422 of the Code.

          5.12.4 TERM

           The term of an incentive stock option shall not exceed ten years.

          5.12.5 EXERCISABILITY

         To qualify for incentive stock option tax treatment, an option
designated as an incentive stock option must be exercised within three months
after termination of employment for reasons other than death, except that,

<PAGE>   8

in the case of termination of employment due to total disability, such option
must be exercised within one year after such termination. Employment shall not
be deemed to continue beyond the first 90 days of a leave of absence unless the
Optionee's reemployment rights are guaranteed by statute or contract. For
purposes of this Section 5.12, "total disability" shall mean a mental or
physical impairment of the Optionee that is expected to result in death or that
has lasted or is expected to last for a continuous period of 12 months or more
and that causes the Optionee to be unable, in the opinion of the Company and two
independent physicians, to perform his or her duties for the Company and to be
engaged in any substantial gainful activity. Total disability shall be deemed to
have occurred on the first day after the Company and the two independent
physicians have furnished their opinion of total disability to the Plan
Administrator.

          5.12.5 TAXATION OF INCENTIVE STOCK OPTIONS

         In order to obtain certain tax benefits afforded to incentive stock
options under Section 422 of the Code, the Optionee must hold the shares issued
upon the exercise of an incentive stock option for two years after the grant
date of the incentive stock option and one year from the date of exercise. An
Optionee may be subject to the alternative minimum tax at the time of exercise
of an incentive stock option. The Plan Administrator may require an Optionee to
give the Company prompt notice of any disposition of shares acquired by the
exercise of an incentive stock option prior to the expiration of such holding
periods.

          5.12.6 PROMISSORY NOTES

         The amount of any promissory note delivered pursuant to Section 12 in
connection with an incentive stock option shall bear interest at a rate
specified by the Plan Administrator but in no case less than the rate required
to avoid imputation of interest (taking into account any exceptions to the
imputed interest rules) for federal income tax purposes.

                        SECTION 6. STATUS AS SHAREHOLDERS

         Neither the Optionee nor any person or persons to whom the Optionee's
options and related privileges under this Plan may pass shall be or have any of
the rights and privileges of a shareholder of the Company except to the extent
that shares are acquired upon exercise of an option, and provided that nothing
in this Plan prohibits or prevents an Optionee from otherwise becoming a
shareholder of the Company.

                        SECTION 7. CAPITALIZATION CHANGES

         The aggregate number and kind of securities subject to this Plan as set
forth in Section 3, the number and kind of securities subject to any outstanding
options granted under this Plan and the per share option exercise price (without
any change in the aggregate exercise price to be paid therefor) shall all be
proportionately adjusted for any increase or decrease in the number of issued
shares of Common Stock of the Company resulting from a split up or consolidation
of shares or other similar capital adjustment, or the payment of any stock
dividend, or any other increase or decrease in the number of shares of Common
Stock of the Company without the Company's receipt (or release) of
consideration, proportionately equivalent to the added or eliminated shares. In
the event of any adjustment in the number of such securities, any fractional
shares of Common Stock resulting from the adjustment shall be disregarded.

                      SECTION 8. AMENDMENT AND TERMINATION

         The Board may at any time suspend, amend or terminate this Plan;
provided, however, to the extent required for compliance with any applicable law
or regulation, shareholder approval will be required for any amendment that will
(a) increase the total number of shares as to which options may be granted under
this Plan, (b) modify the class of persons eligible to receive options, or (c)
otherwise require shareholder approval under any applicable law or regulation.
No option may be granted after such termination, or during any suspension of
this Plan. No incentive stock option may be granted more than ten years after
this Plan's adoption by the Board. The

<PAGE>   9

amendment or termination of this Plan shall not, without the consent of the
Optionee, alter or impair any options or obligations under any option previously
granted under this Plan.

                            SECTION 9. GOVERNING LAW

         The provisions of this Plan shall be construed and interpreted
according to the laws of the State of Washington, without regard to its
conflicts of laws principles.

                              SECTION 10. VALIDITY

         In case any provision of this Plan is deemed illegal or invalid for any
reason, the illegal or invalid portion shall not affect the remaining parts of
this Plan, and this Plan shall be construed and enforced as if the illegal or
invalid provision had never been inserted.

                        SECTION 11. TAXES AND WITHHOLDING

         The Company may withhold from any payment under this Plan or require
the Optionee to pay in cash any and all employment and income taxes that are
required to be withheld under applicable law. Subject to this Plan and
applicable law, the Plan Administrator may, in its sole discretion, permit the
Optionee to satisfy withholding obligations, in whole or in part, by paying
cash, by electing to have the Company withhold shares of Common Stock or by
transferring shares of Common Stock to the Company, in such amounts as are
equivalent to the fair market value of the withholding obligation. The Company
shall have the right to withhold from any shares of Common Stock issuable
pursuant to an option or from any cash amounts otherwise due or to become due
from the Company to the Optionee an amount equal to such taxes. The Company may
also deduct from any option any other amounts due from the Optionee to the
Company or a Subsidiary.

           SECTION 12. LOANS, INSTALLMENT PAYMENTS AND LOAN GUARANTEES

         To assist an Optionee (including an Optionee who is an officer or
director of the Company) in acquiring shares of Common Stock pursuant to an
option granted under this Plan, the Plan Administrator, in its sole discretion,
may authorize, either at the grant date or at any time before the acquisition of
Common Stock pursuant to the option, (a) the extension of a loan to the Optionee
by the Company, (b) the payment by the Optionee of the purchase price, if any,
of the Common Stock in installments, or (c) the guarantee by the Company of a
loan obtained by the Optionee from a third party. The terms of any loans,
installment payments or loan guarantees, including the interest rate and terms
of repayment, will be subject to the Plan Administrator's discretion. Loans,
installment payments and loan guarantees may be granted with or without
security. The maximum credit available is the purchase price, if any, of the
Common Stock acquired, plus the maximum federal and state income and employment
tax liability that may be incurred in connection with the acquisition.

           SECTION 13. FIRST REFUSAL AND PUT RIGHTS; MARKET STAND-OFF

  13.1    FIRST REFUSAL RIGHTS

         Until the date on which the initial registration of the Common Stock
under Section 12(b) or 12(g) of the Exchange Act first becomes effective, the
Company shall have the right of first refusal with respect to any proposed sale
or other disposition by the holder of any shares of Common Stock issued pursuant
to an option granted under this Plan. Such right of first refusal shall be
exercisable in accordance with the terms and conditions established by the Plan
Administrator and set forth in the Stock Purchase Agreement evidencing such
right.

  13.2     PUT RIGHTS

         Until the date on which the initial registration of the Common Stock
under Section 12(b) or 12(g) of the Exchange Act first becomes effective, the
shares of Common Stock issued pursuant to the exercise of an option

<PAGE>   10

shall be entitled to certain put rights by the Optionee to compel the purchase
of the shares by the Company pursuant to the terms and conditions established by
the Plan Administrator and set forth in the Stock Purchase Agreement.

13.3     MARKET STAND-OFF

          In connection with any underwritten public offering by the Company of
its equity securities pursuant to an effective registration statement filed
under the Securities Act of 1933, as amended (the "Securities Act"), including
the Company's initial public offering, a person shall not sell, or make any
short sale of, loan, hypothecate, pledge, grant any option for the purchase of,
or otherwise dispose or transfer for value or otherwise agree to engage in any
of the foregoing transactions with respect to, any shares issued pursuant to an
option granted under this Plan without the prior written consent of the Company
or its underwriters. Such limitations shall be subject to the terms and
conditions established by the Plan Administrator and set forth in the Stock
Purchase Agreement.

                            SECTION 14. REGISTRATION

          The Company shall be under no obligation to any Optionee to register
for offering or resale or to qualify for exemption under the Securities Act, or
to register or qualify under state securities laws, any shares of Common Stock,
security or interest in a security paid or issued under, or created by, this
Plan, or to continue in effect any such registrations or qualifications if made.
The Company may issue certificates for shares with such legends and subject to
such restrictions on transfer and stop-transfer instructions as counsel for the
Company deems necessary or desirable for compliance by the Company with federal
and state securities laws.

          Inability of the Company to obtain, from any regulatory body having
jurisdiction, the authority deemed by the Company's counsel to be necessary for
the lawful issuance and sale of any shares hereunder or the unavailability of an
exemption from registration for the issuance and sale of any shares hereunder
shall relieve the Company of any liability in respect of the nonissuance or sale
of such shares as to which such requisite authority shall not have been
obtained.

          As a condition to the exercise of an option, the Company may require
the Optionee to represent and warrant at the time of any such exercise or
receipt that such shares are being purchased or received only for the Optionee's
own account and without any present intention to sell or distribute such shares
if, in the opinion of counsel for the Company, such a representation is required
by any relevant provision of the aforementioned laws. At the option of the
Company, a stop-transfer order against any such shares may be placed on the
official stock books and records of the Company, and a legend indicating that
such shares may not be pledged, sold or otherwise transferred, unless an opinion
of counsel is provided (concurred in by counsel for the Company) stating that
such transfer is not in violation of any applicable law or regulation, may be
stamped on stock certificates to ensure exemption from registration. The Plan
Administrator may also require such other action or agreement by the Optionee as
may from time to time be necessary to comply with the federal and state
securities laws.

                        SECTION 15. CALIFORNIA RESIDENTS

          Persons who are residents of the State of California shall be subject
to the additional terms and conditions set forth in Appendix A to the Plan.
(Added 1/10/97)

                     SECTION 16. EFFECTIVENESS OF THIS PLAN

          This Plan shall become effective upon adoption by the Board, so long
as it is approved by the Company's shareholders at any time within 12 months of
such adoption. (Renumbered 8/6/97)

           Approved by the Board on June 23, 1997.

           Approved by the shareholder on January 5, 1998.

<PAGE>   11

                           NEXTEL INTERNATIONAL, INC.

                                   APPENDIX A
                                       TO
                             1997 STOCK OPTION PLAN
                            FOR CALIFORNIA RESIDENTS

          This Appendix to the Nextel International, Inc. 1997 Stock Option Plan
(the "Plan") shall have application only to optionees who are residents of the
State of California. Notwithstanding any provision contained in the Plan to the
contrary, the following terms and conditions shall apply to any options granted
under the Plan to residents of the State of California, to the extent stated
above and required by applicable law:

          1.   Nonqualified stock options shall have an exercise price that is
not less than 85% of the fair value of the stock at the time the option is
granted, as determined by the Board, except that the exercise price shall be 110
% of the fair value in the case of any person who owns stock possessing more
than 10 % of the total combined voting power of all classes of stock of the
Company or its parent or subsidiary corporations.

          2.   Options shall have a term of not more than 10 years from the date
the option is granted.

          3.   Options shall be nontransferable other than by will or the laws
of descent and distribution.

          4.   Options shall become exercisable at the rate of at least 20% per
year over 5 years from the date the option is granted, subject to reasonable
conditions such as continued employment. However, in the case of an option
granted to officers, directors or consultants of the Company or any of its
affiliates, the option may become fully exercisable, subject to reasonable
conditions such as continued employment, at any time or during any period
established by the Company or any of its affiliates.

          5.   Unless employment is terminated for "cause" as defined by the
Plan, the right to exercise an option in the event of termination of employment,
to the extent that the optionee is otherwise entitled to exercise on the date
employment terminates, shall be:

               a. at least 6 months from the date of termination of employment
if termination was caused by death or disability; and

               b. at least 30 days from the date of termination if termination
of employment was caused by other than death or disability;

               c. but in no event later than the remaining term of the option.

          6.   No option may be granted to a resident of California more than
ten years after the earlier of the date of adoption of the Plan and the date the
Plan is approved by the shareholders.

          7.   Any option exercised before shareholder approval is obtained
shall be rescinded if shareholder approval is not obtained within 12 months
before or after the Plan is adopted. Such shares shall not be counted in
determining whether such approval is obtained.

<PAGE>   12

          8.   The Company shall provide annual financial statements of the
Company to each California resident holding an outstanding option under the
Plan. Such financial statements need not be audited and need not be issued to
key employees whose duties at the Company assure them access to equivalent
information.

          (Added 7/10/98)

                                     PAGE 2

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