OKLAHOMA CITY, May 10, 2004 (PRIMEZONE) -- Dobson Communications Corporation (Nasdaq:DCEL) today reported a net loss applicable to common shareholders of approximately $16.5 million, or $0.12 per share, for the quarter ended March 31, 2004. Included in the loss were $8.6 million in dividends on mandatorily redeemable preferred stock and $1.9 million in dividends on Dobson's Series F convertible preferred stock, offset partially by a $5.7 million gain on extinguishment of debt and a $4.0 income tax benefit.
In the same quarter last year, the Company reported net income applicable to common shareholders of approximately $18.1 million, or $0.20 per share. Net income applicable to common shareholders for the first quarter last year included a $23.6 million gain on redemption of preferred stock and $4.7 million in income from discontinued operations, net of taxes, as well as $20.5 million in preferred dividends and $6.3 million in non-cash income tax expense. Dobson adopted SFAS No. 150 as of July 1, 2003, which requires certain preferred stock dividends and repurchases to be included in the determination of net income.
Dobson reported EBITDA of $83.1 million for the first quarter of 2004, compared with $60.1 million for the first three months of 2003 (Table 1). As described below, last year's first quarter EBITDA does not include the EBITDA of acquisitions completed subsequent to that quarter.
Dobson reported total revenue of approximately $233.8 million for the first quarter of 2004, of which $181.7 million, or 78 percent, was local service revenue and $42.1 million, or 18 percent, was roaming revenue. For the first quarter last year, Dobson reported total revenue of $128.9 million, of which $82.8 million, or 64 percent, was local service revenue and of which $40.9 million, or 32 percent, was roaming revenue.
Results for the first quarter of 2004 include the operations of the Anchorage Metropolitan Service Area and Alaska Rural Service Area 2, which were acquired in June 2003. Also reflected is Dobson's 100 percent ownership in American Cellular, which the Company acquired on August 19, 2003. Previously Dobson had a 50 percent ownership stake in American Cellular. Complete results for American Cellular for all relevant periods are reflected in Table 5. Finally, Dobson's current-year results include the operations of Michigan Rural Service Area 5 from its acquisition on February 17, 2004.
Service Revenue and Subscriber Trends
Dobson Communications' two operating subsidiaries are Dobson Cellular Systems and American Cellular.
Dobson Cellular Systems increased service revenue 26 percent year-over-year, to $104.3 million from $82.8 million in the first quarter last year. Dobson's average revenue per unit (postpaid), or ARPU, for the first quarter of 2004 was approximately $43, compared with postpaid ARPU of approximately $42 for the first quarter of the previous year. ARPU for the first quarter of 2004 was aided by the inclusion of the two new Alaska properties, acquired in June 2003.
American Cellular's service revenue increased approximately 3 percent year-over-year, to $77.4 million from $75.2 million in the first quarter last year. American Cellular's postpaid ARPU for the first quarter of 2004 was approximately $38, in line with the first quarter of the previous year.
On a consolidated basis, Dobson Communications' subscriber base increased to 1,567,200 subscribers at March 31, 2004, compared with a combined total of 1,370,400 for Dobson Cellular and American Cellular at the end of the first quarter last year. This increase primarily reflected the acquisition of wireless markets in Alaska and Michigan, which Dobson acquired from AT&T Wireless (NYSE: AWE) and Cingular in exchange for Dobson properties in California and Maryland. The operations of the disposed properties have been reflected as discontinued operations in all periods.
As previously announced, Dobson Communications reported a net reduction of approximately 5,400 total subscribers for the first quarter of 2004, based on 68,700 postpaid gross subscriber additions and postpaid customer churn of 1.9 percent. A higher level of postpaid deactivations was the primary cause of the net reduction in subscribers -- Dobson Cellular experienced a net reduction of approximately 10,000 postpaid subscribers during the quarter, while American Cellular experienced a net reduction of approximately 4,300 postpaid subscribers.
Dobson Communications had approximately 11,800 GSM subscribers as of the end of the first quarter of 2004 as it began to sell the new technology in limited markets. Just over half of its GSM subscribers added during the quarter represented migrations from the TDMA technology.
In April 2004, the Company launched retail sales and increased advertising of its GSM products in its Continental U.S. markets. Dobson is currently overlaying its markets in Alaska with GSM/GPRS/EDGE technology and plans to launch retail GSM sales in those markets in July.
Roaming Trends
Dobson Communications reported approximately 303 million roaming minutes of use (MOUs) for the first quarter of 2004, with a blended yield of $0.14 per MOU. Roaming MOUs for the first quarter of 2004 were in line with those for the same period last year, pro forma for the Alaska, American Cellular and Michigan acquisitions.
Not included in roaming MOU totals are the results of NPI-Omnipoint Wireless, LLC (NPI) in northern Michigan. Dobson has received preliminary FCC approval of the NPI acquisition and expects to close the transaction next month.
Although the Company's two largest roaming partners, AT&T Wireless and Cingular, continued to account for approximately 90 percent of roaming MOUs in the first quarter, Dobson's MOU mix again shifted further toward Cingular.
AT&T Wireless accounted for approximately 56 percent of Dobson's total first quarter 2004 roaming MOUs, compared with the combined total of 63 percent for Dobson Cellular and American Cellular in the first quarter last year. On a year-over-year basis, AT&T Wireless' roaming MOUs in the first quarter declined by approximately 12 percent, compared with the same period last year.
Cingular contributed 35 percent of first quarter 2004 MOUs, versus 27 percent in the same period last year. On a year-over-year basis, Cingular's first quarter 2004 roaming MOUs were approximately 30 percent higher than MOUs for the same period last year.
Approximately 10 percent of Dobson's first quarter 2004 roaming MOUs were on its GSM network. Cingular accounted for approximately 85 percent of this GSM roaming traffic.
Capital Expenditures and Balance Sheet
Dobson Communications' capital expenditures were approximately $40.6 million in the first quarter of 2004. As noted, the Company completed on schedule and budget the overlay of its network in the Continental United States in the first quarter, and is now completing the overlay of its Alaska properties. Dobson plans to complete the upgrade of its data service capabilities with EDGE software by early July 2004.
The Company ended the first quarter with approximately $142 million in cash and cash equivalents, approximately $2.4 billion in total debt, and approximately $376 million in preferred stock obligations (Table 2). During the first quarter of 2004, the Company completed a series of open market transactions to repurchase approximately $55.5 million (original principal amount) of its 8 7/8% Senior Notes for approximately $48.3 million.
Credit Facility Amended
Dobson also reported that it has successfully completed a second amendment of its Dobson Cellular Systems Inc. credit facility. This amendment adjusts the required covenant levels for the leverage ratios and fixed charge coverage ratio through December 31, 2006 and provides Dobson with improved operating flexibility.
Credit agreement provisions governing Dobson Cellular Systems' ability to distribute cash to the parent for interest, dividends and taxes have not changed, and the $150 million revolver portion of the credit facility remains available under the amended agreement. Finally, under specified terms and conditions, including covenant compliance, the Dobson Cellular credit facility may be increased by as much as an additional $200 million.
First Quarter 2004 Conference Call
On Tuesday, May 11, 2004, Dobson plans to hold a conference call to discuss its first quarter 2004 results. The call is scheduled to begin at 10 a.m. CDT, 11 a.m. EDT. Investors will be able to listen by phone or via web-cast on Dobson's web site at www.dobson.net. During the call, management may review its expectations for 2004. Those interested may access the call by dialing:
Conference call (800) 818-5264 Pass code 538364 A replay of the call will be available later in the day via Dobson's web site or by phone. Replay (888) 203-1112 Pass code 538364 The replay will be available by phone for two weeks.
Dobson Communications is a leading provider of wireless phone services to rural and suburban markets in the United States. Headquartered in Oklahoma City, the Company owns wireless operations in 16 states. For additional information on Dobson and its operations, please visit its web site at www.dobson.net.
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These include, but are not limited to, statements regarding the Company's plans, intentions and expectations. Such statements are inherently subject to a variety of risks and uncertainties that could cause actual results to differ materially from those projected. These risks include, but are not limited to, increased levels of competition; shortages of key network equipment and/or handsets; restrictions on the Company's ability to finance its growth; and other factors. A more extensive discussion of the risk factors that could impact these areas and the Company's overall business and financial performance can be found in the Company's reports and other filings filed with the Securities and Exchange Commission. Given these concerns, investors and analysts should not place undue reliance on forward-looking statements.
Table 1
Dobson Communications Corporation
Statements of Operations
Three Months Ended
March 31,
2004 2003
------------ ------------
($ in thousands except per
share data)
(unaudited)
Operating Revenue
Service revenue $ 181,699 $ 82,786
Roaming revenue 42,075 40,919
Equipment & other revenue 10,017 5,187
------------ ------------
Total 233,791 128,892
------------ ------------
Operating Expenses
(excluding depreciation & amortization)
Cost of service 54,186 30,547
Cost of equipment 23,534 8,496
Marketing & selling 29,162 13,142
General & administrative 43,776 16,607
------------ ------------
Total 150,658 68,792
------------ ------------
EBITDA (1) 83,133 60,100
Depreciation & amortization (45,448) (19,940)
------------ ------------
Operating income 37,685 40,160
Minority interest (944) (1,619)
Interest expense (54,238) (23,872)
Gain from extinguishment of debt 5,739 --
Dividends on mandatorily redeemable
preferred stock (8,618) --
Other income, net 1,277 1,959
------------ ------------
(Loss) income before income taxes (19,099) 16,628
Income tax benefit (expense) 3,974 (6,318)
------------ ------------
(Loss) income from continuing operations (15,125) 10,310
Discontinued operations:
Income from discontinued operations,
net of taxes (2) 443 4,736
------------ ------------
Net (loss) income (14,682) 15,046
Dividends on preferred stock (1,859) (20,530)
Gain on redemption of preferred stock -- 23,615
------------ ------------
Net (loss) income applicable to
common shareholders $ (16,541) $ 18,131
============ ============
Basic net (loss) income applicable to
common shareholders per common share:
Continuing operations $ (0.11) $ 0.12
Discontinued operations 0.00 0.05
Dividends on and redemption of
preferred stock (0.01) 0.03
------------ ------------
Total basic net (loss) income
applicable to common shareholders
per common share $ (0.12) $ 0.20
============ ============
Basic weighted average common
shares outstanding 133,727,123 90,111,815
============ ============
Total diluted net (loss) income
applicable to common shareholders
per common share $ (0.12) $ 0.20
============ ============
Diluted weighted average common
shares outstanding 133,727,123 91,789,635
============ ============
(1) EBITDA is defined as income (loss) from continuing operations
before interest income, interest expense, income taxes,
depreciation, amortization, other income, gain (loss) from
extinguishment of debt., dividends on mandatorily redeemable
preferred stock and minority interests. We believe that EBITDA
provides meaningful additional information concerning a company's
operating results and its ability to service its long-term debt
and other fixed obligations and to fund its continued growth.
Many financial analysts consider EBITDA to be a meaningful
indicator of an entity's ability to meet its future financial
obligations, and they consider growth in EBITDA to be an
indicator of future profitability, especially in a
capital-intensive industry such as wireless telecommunications.
You should not construe EBITDA as an alternative to net income
(loss) as determined in accordance with GAAP, as an alternative
to cash flows from operating activities as determined in
accordance with GAAP or a measure of liquidity. Because EBITDA is
not calculated in the same manner by all companies, it may not be
comparable to other similarly titled measures of other companies.
(2) Operating results from income from discontinued operations:
Three Months Ended March 31,
2004 2003
------------ ------------
Service revenue $ 2,383 $ 12,070
Roaming revenue 1,067 13,379
Equipment & other revenue 106 604
------------ ------------
Total operating revenue 3,556 26,053
------------ ------------
Cost of service 824 5,901
Cost of equipment 235 1,411
Marketing & selling 605 2,513
General & administrative 529 3,117
------------ ------------
Total operating expenses
(excluding depreciation
and amortization) 2,193 12,942
------------ ------------
EBITDA 1,363 13,111
------------ ------------
Depreciation & amortization (647) (3,363)
Interest expense & other (2) (2,108)
Income tax expense (271) (2,904)
------------ ------------
Income from discontinued operations $ 443 $ 4,736
============ ============
Table 2
Dobson Communications Corporation
Selected Balance Sheet and Statistical Data
Balance Sheet Data: March 31, 2004 December 31, 2003
-------------- -----------------
($ in millions) ($ in millions)
(unaudited)
Cash and cash equivalents
(unrestricted) (1) $ 142.0 $ 208.2
============== ================
Total Debt:
DCS credit facility $ 547.2 $ 548.6
DCC 10.875% Senior Notes, net 298.5 298.4
DCC 8.875% Senior Notes 594.5 650.0
Dobson/Sygnet Senior Notes -- 5.3
ACC 9.5% Senior Notes, net 13.1 12.9
ACC 10.0% Senior Notes 900.0 900.0
-------------- ----------------
Total debt $ 2,353.3 $ 2,415.2
============== ================
Preferred Stock:
Senior Exchangeable Preferred
Stock, 12.25%, net (2) 59.4 59.2
Senior Exchangeable Preferred
Stock, 13.00%, net (3) 194.2 194.1
Series F Preferred Stock 122.5 122.5
-------------- ----------------
Total preferred stock $ 376.1 $ 375.8
============== ================
Quarter Ended Quarter Ended
March 31, 2004 March 31, 2003
-------------- ----------------
($ in millions) ($ in millions)
Capital Expenditures (4): $ 40.6 $ 16.8
============= ===============
(1) Includes $19.8 million and $30.8 million of cash from American
Cellular at March 31, 2004 and December 31, 2003, respectively.
(2) Net of deferred financing costs of $(0.5) million and $(0.6)
million and discount of $(1.1) million and $(1.2) million at
March 31, 2004 and December 31, 2003, respectively.
(3) Net of deferred financing costs of $(1.8) million and $(1.9)
million at March 31, 2004 and December 31, 2003, respectively.
(4) Does not include $13.2 million of capital expenditures for
American Cellular for the quarter ended March 31, 2003.
Table 3
Dobson Communications Corporation
(Includes results of American Cellular since
its acquisition on 8/19/03)
For the Quarter Ended
3/31/2003 6/30/2003 9/30/2003 12/31/2003 3/31/2004
--------- --------- ---------- ---------- ----------
($ in thousands except per subscriber data)
(unaudited)
Operating
Revenue
Service
revenue $ 82,786 $ 89,022 $ 148,344 $ 185,708 $ 181,699
Roaming
revenue 40,919 48,427 55,721 56,132 42,075
Equipment
& other
revenue 5,187 6,028 9,005 8,475 10,017
--------- --------- ---------- ---------- ----------
Total 128,892 143,477 213,070 250,315 233,791
--------- --------- ---------- ---------- ----------
Operating Expenses
(excluding
depreciation &
amortization)
Cost of
service 30,547 33,468 49,958 59,463 54,186
Cost of
equipment 8,496 9,440 16,924 21,752 23,534
Marketing &
selling 13,142 14,051 21,607 30,747 29,162
General &
administrative 16,607 15,985 29,324 44,192 43,776
--------- --------- ---------- ---------- ----------
Total 68,792 72,944 117,813 156,154 150,658
--------- --------- ---------- ---------- ----------
EBITDA (1)(2) $ 60,100 $ 70,533 $ 95,257 $ 94,161 $ 83,133
========= ========= ========== ========== ==========
Pops 5,240,800 5,623,900 10,620,900 10,620,900 10,790,300
Post-paid
Gross Adds 36,500 38,100 68,800 89,100 68,700
Net Adds 6,700 11,300 12,000 8,200 (14,300)
Subscribers 646,300 772,900 1,441,800 1,451,700 1,457,600
Churn 1.5% 1.4% 1.7% 1.9% 1.9%
Average Service
Revenue per
Subscriber
(ARPU) $ 42 $ 43 $ 44 $ 42 $ 41
Pre-paid
Gross Adds 3,100 3,600 7,000 12,600 16,000
Net Adds 1,900 800 1,700 4,700 7,400
Subscribers 7,400 20,900 30,600 28,700 36,400
Reseller
Gross Adds 7,200 6,500 11,000 15,400 14,900
Net Adds 3,200 2,400 900 1,500 1,500
Subscribers 24,600 34,700 70,200 71,700 73,200
Total
Gross Adds 46,800 48,200 86,800 117,100 99,600
Net Adds 11,800 14,500 14,600 14,400 (5,400)
Subscribers 678,300 828,500 1,542,600 1,552,100 1,567,200
Penetration 12.9% 14.7% 14.5% 14.6% 14.5%
(1) Includes, $1.9 million, $2.1 million, $2.2 million, $1.7 million
and $1.3 million of EBITDA for the quarters ended March 31, 2003,
June 30, 2003, September 30, 2003, December 31, 2003 and March
31, 2004, respectively, related to minority interests.
(2) A reconciliation of EBITDA to net income from continuing
operations as determined in accordance with generally accepted
accounting principles is as follows:
Income (loss)
from con-
tinuing
operations $ 10,310 $ 16,515 $ (22,472)$ (55,053)$ (15,125)
Add back non-
EBITDA items
included in
income from
continuing
operations:
Deprecia-
tion &
amortiza-
tion (19,940) (21,323) (32,601) (45,560) (45,448)
Interest
expense (23,872) (23,450) (37,869) (52,957) (54,238)
Minority
Interest (1,619) (1,785) (1,846) (1,291) (944)
(Loss) gain
from ex-
tinguishment
of debt -- -- (28,102) (24,175) 5,739
Loss from
redemption
of preferred
stock -- -- -- (26,777) --
Dividends on
mandatorily
redeemable
preferred
stock -- -- (17,833) (12,735) (8,618)
Other income
(expense) 1,959 2,653 (2,313) 1,530 1,277
Income tax
expense (6,318) (10,113) 2,835 12,751 3,974
--------- --------- ---------- ---------- ----------
EBITDA $ 60,100 $ 70,533 $ 95,257 $ 94,161 $ 83,133
========= ========= ========== ========== ==========
Table 4
Dobson Cellular Systems
(Formerly DOC and Sygnet)
For the Quarter Ended
3/31/2003 6/30/2003 9/30/2003 12/31/2003 3/31/2004
--------- --------- ---------- ---------- ----------
($ in thousands except per subscriber data)
(unaudited)
Operating
Revenue
Service
revenue $ 82,786 $ 89,022 $ 109,714 $ 107,335 $ 104,327
Roaming
revenue 40,919 48,427 41,182 30,722 23,962
Equipment &
other revenue 5,187 6,028 7,749 6,357 7,330
--------- --------- ---------- ---------- ----------
Total 128,892 143,477 158,645 144,414 135,619
--------- --------- ---------- ---------- ----------
Operating
Expenses
(excluding
depreciation &
amortization)
Cost of
service 30,547 33,468 38,536 36,013 32,218
Cost of
equipment 8,496 9,440 12,424 11,148 13,410
Marketing &
selling 13,142 14,051 15,053 16,283 15,947
General &
administrative 16,602 15,980 20,997 23,010 23,284
--------- --------- ---------- ---------- ----------
Total 68,787 72,939 87,010 86,454 84,859
--------- --------- ---------- ---------- ----------
EBITDA (1)(2) $ 60,105 $ 70,538 $ 71,635 $ 57,960 $ 50,760
========= ========= ========== ========== ==========
Pops 5,240,800 5,623,900 5,623,900 5,623,900 5,793,300
Post-paid
Gross Adds 36,500 38,100 47,700 45,700 37,800
Net Adds 6,700 11,300 9,700 2,700 (10,000)
Subscribers 646,300 772,900 776,400 780,800 791,000
Churn 1.5% 1.4% 1.6% 1.8% 2.0%
Average Service
Revenue per
Subscriber
(ARPU) $ 42 $ 43 $ 46 $ 45 $ 43
Pre-paid
Gross Adds 3,100 3,600 5,700 7,000 9,000
Net Adds 1,900 800 1,600 2,300 4,200
Subscribers 7,400 20,900 22,500 18,200 22,700
Reseller
Gross Adds 7,200 6,500 8,900 10,000 9,200
Net Adds 3,200 2,400 1,100 1,900 1,200
Subscribers 24,600 34,700 42,000 43,900 45,100
Total
Gross Adds 46,800 48,200 62,300 62,700 56,000
Net Adds 11,800 14,500 12,400 6,900 (4,600)
Subscribers 678,300 828,500 840,900 842,900 858,800
Penetration 12.9% 14.7% 15.0% 15.0% 14.8%
(1) Includes, $1.9 million, $2.1 million, $2.2 million, $1.7 million
and $1.3 million of EBITDA for the quarters ended March 31, 2003,
June 30, 2003, September 30, 2003, December 31, 2003 and March
31, 2004, respectively, related to minority interests.
(2) A reconciliation of EBITDA to net income from continuing
operations as determined in accordance with generally accepted
accounting principles is as follows:
Income from
continuing
operations $ 14,983 $ 21,346 $ 1,094 $ 3,771 $ 10,837
Add back non-
EBITDA items
included in
net income
from con-
tinuing
operations:
Deprecia-
tion &
amortiza-
tion (19,821) (21,206) (23,975) (25,774) (25,217)
Interest
expense (16,033) (16,159) (13,842) (7,701) (9,216)
Minority
Interest (1,619) (1,785) (1,847) (1,291) (944)
Loss from
extinguish-
ment of
debt -- -- (28,102) (24,175) (349)
Other income
(expense) 1,533 3,043 (2,105) 3,838 2,445
Income tax
expense (9,182) (13,085) (670) 914 (6,642)
--------- --------- ---------- ---------- ----------
EBITDA $ 60,105 $ 70,538 $ 71,635 $ 57,960 $ 50,760
========= ========= ========== ========== ==========
Table 5
American Cellular Corporation
For the Quarter Ended
Predecessor
---------------------------------------
7/1/03 -
3/31/2003 6/30/2003 8/18/2003
---------- ---------- ----------
($ in thousands except per subscriber data)
(unaudited)
Operating Revenue
Service revenue $ 75,176 $ 78,120 $ 42,492
Roaming revenue 27,680 34,718 19,989
Equipment & other revenue 3,634 4,099 2,819
---------- ---------- ----------
Total 106,490 116,937 65,300
---------- ---------- ----------
Operating Expenses
(excluding depreciation
& amortization)
Cost of service 23,569 24,854 13,802
Cost of equipment 8,909 9,182 5,527
Marketing & selling 12,391 12,442 6,348
General & administrative 17,694 17,253 9,488
---------- ---------- ----------
Total 62,563 63,731 35,165
---------- ---------- ----------
EBITDA (1) $ 43,927 $ 53,206 $ 30,135
========== ========== ==========
Pops 4,997,000 4,997,000 4,997,000
Post-paid
Gross Adds 38,500 37,900 22,800
Net Adds (200) 3,500 2,000
Subscribers 657,600 661,100 663,100
Churn 2.0% 1.7% 2.0%
Average Service Revenue
per Subscriber (ARPU) $ 38 $ 39 $ 40
Pre-paid
Gross Adds 3,400 3,200 1,800
Net Adds 1,700 1,000 400
Subscribers 6,600 7,600 8,000
Reseller
Gross Adds 5,200 5,200 2,500
Net Adds 200 900 (400)
Subscribers 27,900 28,800 28,400
Total
Gross Adds 47,100 46,300 27,100
Net Adds 1,700 5,400 2,000
Subscribers 692,100 697,500 699,500
Penetration 13.9% 14.0% 14.0%
(1) A reconciliation of EBITDA to net income (loss) as determined in
accordance with generally accepted accounting principles is as
follows:
Net income (loss) from
continuing operations $ (2,406) $ 2,103 $ 2,642
Add back non-EBITDA
items included in net
income (loss):
Depreciation &
amortization (17,004) (17,573) (9,014)
Interest expense (31,254) (31,211) (15,672)
Dividends on mandatorily
redeemable preferred stock -- -- (703)
Other income (loss) 321 (917) 58
Income tax (expense) benefit 1,604 (1,402) (2,162)
---------- ---------- ----------
EBITDA $ 43,927 $ 53,206 $ 30,135
========== ========== ==========
ACC
---------------------------------------
8/19/03 -
9/30/2003 12/31/2003 3/31/2004
---------- ---------- ----------
Operating Revenue
Service revenue $ 38,630 $ 78,372 $ 77,372
Roaming revenue 14,539 25,410 18,113
Equipment & other revenue 1,994 3,679 4,424
---------- ---------- ----------
Total 55,163 107,461 99,909
---------- ---------- ----------
Operating Expenses
(excluding depreciation
& amortization)
Cost of service 11,612 23,849 22,148
Cost of equipment 4,500 10,604 10,124
Marketing & selling 6,553 14,464 13,215
General & administrative 8,872 22,338 22,044
---------- ---------- ----------
Total 31,537 71,255 67,531
---------- ---------- ----------
EBITDA (1) $ 23,626 $ 36,206 $ 32,378
========== ========== ===========
Pops 4,997,000 4,997,000 4,997,000
Post-paid
Gross Adds 21,100 43,400 30,900
Net Adds 2,300 5,500 (4,300)
Subscribers 665,400 670,900 666,600
Churn 2.1% 1.9% 1.8%
Average Service Revenue per
Subscriber (ARPU) $ 41 $ 39 $ 38
Pre-paid
Gross Adds 1,300 5,600 7,000
Net Adds 100 2,400 3,200
Subscribers 8,100 10,500 13,700
Reseller
Gross Adds 2,100 5,400 5,700
Net Adds (200) (400) 300
Subscribers 28,200 27,800 28,100
Total
Gross Adds 24,500 54,400 43,600
Net Adds 2,200 7,500 (800)
Subscribers 701,700 709,200 708,400
Penetration 14.0% 14.2% 14.2%
(1) A reconciliation of EBITDA to net income (loss) as determined in
accordance with generally accepted accounting principles is as
follows:
Net income (loss) from
continuing operations $ 656 $ (5,005) $ (7,364)
Add back non-EBITDA
items included in net
income (loss):
Depreciation &
amortization (8,861) (19,786) (20,231)
Interest expense (13,849) (23,924) (23,675)
Dividends on mandatorily
redeemable preferred
stock -- -- --
Other income (loss) 142 (568) (350)
Income tax (expense)
benefit (402) 3,067 4,514
---------- ---------- ----------
EBITDA $ 23,626 $ 36,206 $ 32,378
========== ========== ==========