Sprint Nextel Corp. (S) Chief Executive Dan Hesse called the launch of the Palm Inc. (PALM) Pre the smoothest and best executed in the company's history despite supply shortages that left some customers waiting for the device.

The Overland Park, Kan., carrier launched the Pre June 6. Because of supply issues, the company focused on stocking its own Sprint stores at the expense of third-party retailers such as Best Buy Co. Inc. (BBY).

As a result, Pre purchases were mostly by existing subscribers. Sprint is expanding the supply into other distribution outlets, which should attract new consumers, Hesse told analysts during a conference call Wednesday.

Hesse, however, demurred from giving expectations on how well it would attract new customers. He did note that the Pre launch helped mitigate the impact of the launch of the new Apple Inc. (AAPL) iPhone by AT&T Inc. (T).

-By Roger Cheng, Dow Jones Newswires; 212-416-2153; roger.cheng@dowjones.com