A wireless communication system transmits a data packet from a cell to a terminal and to a diversity relay. The diversity relay stores the data packet and, based on a state of an acknowledgement signal from the terminal indicating a failure of the terminal to receive and decode the data packet, determines that a subsequent data packet will be a retransmission and, in response, retrieves and transmits the stored data packet to the terminal, cooperative with the retransmission from the data packet from the cell to the terminal. Optionally, the diversity relay transmits pilot signals to the terminal and, optionally, modifies channel quality reports sent from the terminal to the cell.