OKLAHOMA CITY, Oct. 31, 2005 (PRIMEZONE) -- Dobson Communications Corporation (Nasdaq: DCEL) today reported a net loss applicable to common shareholders of $65.9 million, or $0.45 per share, for the third quarter ended September 30, 2005. (See Table 1.) The third quarter's net loss included income tax expense (non-cash) of $1.2 million and a $66.4 million loss on redemption and repurchases of mandatorily redeemable preferred stock, which resulted from Dobson's repurchase of 70 percent of its outstanding 12.25% and 13% senior exchangeable preferred stock in an exchange for cash and Class A common stock ("the Exchange"). (See below.) For the third quarter of 2004, Dobson reported a net loss applicable to common shareholders of $13.5 million, or $0.10 per share, which included an income tax benefit of $5.6 million.
Total revenue was $315.8 million for the third quarter of 2005, an increase of 15.9 percent over total revenue of $272.4 million for the same period last year.
Third quarter roaming revenue of $80.4 million was 29.3 percent higher than roaming revenue of $62.2 million for the third quarter of 2004.
Dobson reported EBITDA of $119.5 million for the third quarter of 2005, an increase of 25.5 percent over EBITDA of $95.1 million for the third quarter of 2004. Please see Table 3 for the reconciliation of EBITDA to GAAP measures.
Operating income for the third quarter of 2005 was $71.8 million, an increase of 57.1 percent over operating income of $45.7 million for the third quarter of 2004.
Dobson's third quarter 2005 operations reflect the acquisition of RFB Cellular, Inc. in late 2004.
Operating Trends
Dobson increased its total average service revenue per unit (ARPU) to $46.77 for the third quarter of 2005, compared with $45.28 in the second quarter of 2005 and $41.20 in the third quarter of 2004. Dobson includes revenue from postpaid, prepaid and reseller customers in its total ARPU calculation.
Average customer usage per month was 630 minutes of use (MOUs) for the third quarter of 2005, compared with 594 MOUs for the second quarter of 2005 and 502 MOUs for the third quarter of 2004.
Roaming MOUs on the Dobson network were 669 million for the third quarter of 2005, reflecting a year-over-year increase of 44 percent in roaming traffic on a same-store basis, including acquisitions. GSM roaming accounted for approximately 85 percent of all roaming MOUs in the third quarter, compared with 79 percent of Dobson's total roaming MOUs for the second quarter and 70 percent of for the first quarter of 2005.
Dobson reported approximately 131,400 total gross subscriber additions for the third quarter of 2005, in line with the second quarter of 2005 and compared with approximately 121,600 gross subscriber additions in the third quarter of 2004.
Postpaid customer churn was 2.82 percent for the third quarter of 2005, compared with 2.25 percent for the second quarter of 2005 and 2.05 percent for the third quarter of 2004.
The Company's subscriber base declined by 24,100 customers in the third quarter of 2005, compared with a net subscriber loss of approximately 1,100 in the second quarter of 2005 and an increase of approximately 1,200 in the third quarter of 2004. Consequently, as of September 30, 2005, the Company's total subscriber base was approximately 1,565,900.
At the end of the third quarter of 2005, approximately 910,900 of Dobson's customers, or 58 percent of its subscriber base, were on GSM calling plans. This compares with 47 percent at the end of the second quarter and 35 percent at the end of the first quarter of 2005. During the third quarter of 2005, approximately 101,400 of the Company's TDMA subscribers migrated to GSM calling plans, compared with 109,800 in the second quarter and 91,600 migrations in the first quarter of 2005.
Capital expenditures were approximately $36.9 million in the third quarter of 2005, bringing its year-to-date capital expenditures to $113.2 million. During the third quarter of 2005, the Company built 40 cell sites, bringing the total built since January 1, 2005 to 139. The Company plans to build an additional 60 sites in the fourth quarter of 2005. Dobson also recently announced agreements to purchase additional PCS spectrum over its operating footprint in 12 states, which will support further improvements in customer service levels.
The Company ended the third quarter of 2005 with $191.8 million in cash and cash equivalents and $298.5 million in restricted cash and investments. (See Table 2.) The Company used $53.3 million in cash in the preferred exchange transaction during the quarter. On October 17, 2005, the Company used $294.0 million in restricted cash and additional unrestricted cash to redeem the entire $299.0 million outstanding principal amount of its 10.875% senior notes due 2010, plus accrued interest and the applicable redemption premium.
Also in October, Dobson completed the final portion of the previously announced sale and leaseback of cellular towers to Global Tower Partners. This portion of the transaction comprised the sale of 56 cell towers for $8.8 million.
Third Quarter 2005 Conference Call
On Tuesday, November 1, 2005, Dobson plans to conduct its third quarter earnings conference call beginning at 8:00 a.m. CT (9:00 a.m. ET).
Along with third quarter results, Dobson plans to comment on its guidance for 2005. The Company is today reaffirming its guidance that total outcollect roaming yield should average approximately 11.5 cents for the final three quarters of 2005. Outcollect roaming yield was 12.0 cents in the third quarter of 2005, as compared with 11.8 cents in the second quarter. Dobson expects roaming yield for the fourth quarter to be in a range of 10.5-to-11 cents, based on the anticipated regional mix of roaming traffic in the fourth quarter and continued declines in TDMA and analog roaming traffic.
Dobson is also reaffirming its 2005 EBITDA guidance range of $400 million to $415 million. Based on its current outlook for gross subscriber additions in the year-end holiday season, the Company expects that 2005 EBITDA will be at the midpoint to upper end of the guided range.
Investors may listen by phone or via web-cast on Dobson's web site at www.dobson.net. Those interested may access the call by dialing:
Conference call (866) 564-7444 Pass code 4413760 A call replay will be available later for two weeks via Dobson's website or by phone. Replay number (888) 203-1112 Pass code 4413760
For further analysis of third quarter results, please see the Company's quarterly report on Form 10-Q.
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, 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 or other factors that inhibit the growth of its subscriber base; shortages of key network equipment and/or handsets; restrictions on the Company's ability to finance its growth; accelerated migrations to GSM by the Company's customers, which would increase equipment costs; changes in the Company's roaming agreements that could affect revenue and/or earnings expectations; technology changes; 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 Nine Months Ended
September 30, September 30,
------------------------ ------------------------
2005 2004 2005 2004
----------- ----------- ----------- -----------
($ in thousands except per share data)
(unaudited)
Operating Revenue
Service revenue $ 221,311 $ 198,740 $ 643,377 $ 569,728
Roaming revenue 80,430 62,221 195,009 154,902
Equipment and
other revenue 14,078 11,438 46,857 33,923
----------- ----------- ----------- -----------
Total 315,819 272,399 885,243 758,553
----------- ----------- ----------- -----------
Operating Expenses
(excluding
depreciation and
amortization)
Cost of service
(exclusive of
depreciation and
amortization
shown separately
below) 77,950 69,299 219,214 185,457
Cost of equipment 32,156 30,242 96,777 81,647
Marketing and
selling 35,535 32,816 105,484 95,763
General and
administrative 50,725 44,893 144,844 131,725
----------- ----------- ----------- -----------
Total 196,366 177,250 566,319 494,592
----------- ----------- ----------- -----------
EBITDA(a) 119,453 95,149 318,924 263,961
Depreciation and
amortization (49,102) (49,456) (151,012) (141,539)
Gain on disposition
of operating
assets 1,432 -- 2,371 --
----------- ----------- ----------- -----------
Operating income 71,783 45,693 170,283 122,422
Interest expense (62,457) (54,456) (184,457) (161,477)
(Loss) gain on
redemption and
repurchases of
mandatorily
redeemable
preferred stock (66,383) 1,410 (66,383) 6,478
Dividends on
mandatorily
redeemable
preferred stock (5,464) (8,290) (21,391) (25,197)
Other income, net 2,633 511 2,611 2,230
Gain from
extinguishment of
debt -- -- -- 5,739
Minority interests
in income of
subsidiaries (2,347) (1,512) (6,823) (3,514)
----------- ----------- ----------- -----------
Loss before
income taxes (62,235) (16,644) (106,160) (53,319)
Income tax
(expense) benefit (1,196) 5,636 9,443 13,139
----------- ----------- ----------- -----------
Loss from continuing
operations (63,431) (11,008) (96,717) (40,180)
Discontinued
operations:
Income from
discontinued
operations, net of
taxes(b) -- -- -- 443
----------- ----------- ----------- -----------
Net loss (63,431) (11,008) (96,717) (39,737)
Dividends on
preferred stock (2,419) (2,473) (6,708) (6,190)
----------- ----------- ----------- -----------
Net loss applicable
to common
stockholders $ (65,850) $ (13,481) $ (103,425) $ (45,927)
=========== =========== =========== ===========
Basic and diluted
net loss applicable
to common stock-
holders per common
share $ (0.45) $ (0.10) $ (0.75) $ (0.34)
=========== =========== =========== ===========
Basic and diluted
weighted average
common shares
outstanding 146,485,519 133,790,430 138,173,375 133,763,531
=========== =========== =========== ===========
(a) EBITDA is defined as loss from continuing operations before
gain on disposition of operating assets, depreciation and
amortization, interest expense, (loss) gain on redemption and
repurchases of mandatorily redeemable preferred stock, dividends
on mandatorily redeemable preferred stock, other income, net,
gain from extinguishment of debt, minority interests in income of
subsidiaries and income tax (expense) benefit. 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 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.
(b) Operating results from income from discontinued operations:
Three Months Ended Nine Months Ended
September 30, September 30,
------------------------ ------------------------
2005 2004 2005 2004
----------- ----------- ----------- -----------
Service revenue $ -- $ -- $ -- $ 2,383
Roaming revenue -- -- -- 1,067
Equipment and
other revenue -- -- -- 106
----------- ----------- ----------- -----------
Total operating
revenue -- -- -- 3,556
----------- ----------- ----------- -----------
Cost of service
(exclusive of
depreciation and
amortization
shown separately
below) -- -- -- 824
Cost of equipment -- -- -- 235
Marketing and
selling -- -- -- 605
General and
administrative -- -- -- 529
----------- ----------- ----------- -----------
Total operating
expenses (ex-
cluding depre-
ciation and
amortization) -- -- -- 2,193
----------- ----------- ----------- -----------
EBITDA -- -- -- 1,363
----------- ----------- ----------- -----------
Depreciation and
amortization -- -- -- (647)
Interest expense
and other -- -- -- (2)
Income tax
expense -- -- -- (271)
----------- ----------- ----------- -----------
Income from dis-
continued
operations $ -- $ -- $ -- $ 443
=========== =========== =========== ===========
Table 2
Dobson Communications Corporation
Selected Balance Sheet and Statistical Data
Sept. 30, Dec. 31,
Balance Sheet Data: 2005 2004
-------- --------
($ in millions)
(unaudited)
Cash and cash equivalents
(unrestricted)(a) $ 191.8 $ 139.9
Restricted cash and investments(b) $ 298.5 $ 10.4
Marketable securities $ -- $ 39.0
Total Debt:
DCC Senior Floating Rate Notes $ 150.0 $ --
DCC Senior Convertible Debentures(c) 150.0 --
DCS 8.375% Senior Notes 250.0 250.0
DCS 9.875% Senior Notes 325.0 325.0
DCS Floating Rate Senior Notes 250.0 250.0
DCC 10.875% Senior Notes, net(b) 297.9 297.7
DCC 8.875% Senior Notes 419.7 419.7
ACC 9.5% Senior Notes, net 14.5 13.7
ACC 10.0% Senior Notes 900.0 900.0
-------- --------
Total debt $2,757.1 $2,456.1
======== ========
Preferred Stock:
Senior Exchangeable Preferred
Stock, 12.25%, net(d)(f) 13.7 44.6
Senior Exchangeable Preferred
Stock, 13.00%, net (e)(f) 57.5 191.5
Series F Preferred Stock 135.3 122.5
-------- --------
Total preferred stock $ 206.5 $ 358.6
======== ========
Nine Months Ended
September 30,
--------------------------
2005 2004
-------- --------
($ in millions)
Capital Expenditures: $ 113.2 $ 117.8
======== ========
(a) Includes $55.7 million and $41.5 million of cash and cash
equivalents from American Cellular at September 30, 2005 and
December 31, 2004, respectively.
(b) Includes $294.0 million of net proceeds from the new senior
floating rate notes and the senior convertible debentures, which
was used, along with cash on hand, to pay the redemption price of
the entire $299.0 million outstanding principal amount of the
Company's 10.875% senior notes on October 17, 2005.
(c) On October 13, 2005 the initial purchasers of the Company's
$150.0 million principal amount of senior convertible debentures
due 2025 exercised their right to purchase an additional $10.0
million principal amount of debentures. As of October 13, 2005,
the aggregate principal amount of senior convertible debentures
outstanding was $160.0 million.
(d) Net of deferred financing costs of $(0.9) million at December
31, 2004, and a discount of $(0.2) million and $(0.7) million at
September 30, 2005 and December 31, 2004, respectively.
(e) Net of deferred financing costs of $(0.3) million and $(1.4)
million at September 30, 2005 and December 31, 2004,
respectively.
(f) On October 4, 2005, the Company entered into agreements with
certain holders of its 12.25% preferred stock and its 13%
preferred stock under which the holders have agreed to exchange
8,700 shares of 12.25% preferred stock and 30,021 shares of 13%
preferred stock for 5,982,040 shares of the Company's Class A
common stock and cash consideration of $1.6 million. As a result,
the aggregate outstanding liquidation preference of the 12.25%
preferred stock and the 13% preferred stock will decrease from
$71.7 million to $33.0 million.
Table 3
Dobson Communications Corporation
For the Quarter Ended
----------------------------------------------------------
9/30/2005 6/30/2005 3/31/2005 12/31/2004 9/30/2004
---------- ---------- ---------- ---------- ----------
($ in thousands except per subscriber data)
Operating (unaudited)
Revenue
Service
revenue $ 221,311 $ 215,984 $ 206,082 $ 201,882 $ 198,740
Roaming
revenue 80,430 61,149 53,430 53,252 62,221
Equipment
and other
revenue 14,078 20,533 12,246 9,794 11,438
---------- ---------- ---------- ---------- ----------
Total 315,819 297,666 271,758 264,928 272,399
---------- ---------- ---------- ---------- ----------
Operating
Expenses
(excluding
depreciation
and
amortization)
Cost of
service 77,950 68,965 72,299 69,851 69,299
Cost of
equipment 32,156 34,255 30,366 27,321 30,242
Marketing and
selling 35,535 35,855 34,094 32,927 32,816
General and
adminis-
trative 50,725 49,308 44,811 47,800 44,893
---------- ---------- ---------- ---------- ----------
Total 196,366 188,383 181,570 177,899 177,250
---------- ---------- ---------- ---------- ----------
EBITDA
(a)(b) $ 119,453 $ 109,283 $ 90,188 $ 87,029 $ 95,149
========== ========== ========== ========== ==========
Pops 11,854,000 11,757,400 11,757,400 11,757,400 11,436,800
Post-paid
Gross Adds 84,800 87,600 77,400 69,500 83,200
Net Adds (34,500) (9,000) (28,500) (33,100) (7,500)
Sub-
scribers 1,392,700 1,426,600 1,435,600 1,464,100 1,472,600
Churn 2.8% 2.3% 2.4% 2.3% 2.0%
Average
Service
Revenue per
Subscriber
(ARPU) $ 51.10 $ 49.20 $ 46.36 $ 45.26 $ 43.92
Pre-paid
Gross Adds 21,600 20,700 19,200 16,300 14,500
Net Adds 3,300 5,300 3,900 (400) (200)
Subscribers 58,800 55,500 50,200 46,300 45,100
Reseller
Gross Adds 25,000 23,200 25,400 26,500 23,900
Net Adds 7,100 2,600 5,800 7,900 8,900
Subscribers 114,400 107,300 104,700 98,900 91,000
Total
Gross Adds 131,400 131,500 122,000 112,300 121,600
Net Adds (24,100) (1,100) (18,800) (25,600) 1,200
Sub-
scribers 1,565,900 1,589,400 1,590,500 1,609,300 1,608,700
ARPU $ 46.77 $ 45.28 $ 42.94 $ 42.17 $ 41.20
Penetration 13.2% 13.5% 13.5% 13.7% 14.1%
(a) Includes $2.7 million, $3.1 million, $2.3 million, $1.8
million, and $1.9 million of EBITDA for the quarters ended
September 30, 2005, June 30, 2005, March 31, 2005, December 31,
2004, and September 30, 2004 respectively, related to minority
interests.
(b) A reconciliation of EBITDA to loss from continuing operations
as determined in accordance with generally accepted accounting
principles is as follows:
Loss from
continuing
operations $(63,431) $(10,029) $(23,257) $(11,883) $(11,008)
Add back non-
EBITDA items
included in
loss from
continuing
operations:
Depreciation
and
amortization (49,102) (50,340) (51,570) (51,279) (49,456)
Gain on
disposition
of operating
assets 1,432 939 -- -- --
Interest
expense (62,457) (61,258) (60,742) (58,182) (54,456)
(Loss) gain
on redemp-
tion and
repurchases
of manda-
torily re-
deemable
preferred
stock (66,383) -- -- -- 1,410
Dividends
on manda-
torily re-
deemable
preferred
stock (5,464) (7,996) (7,931) (6,877) (8,290)
Other income
(expense),
net 2,633 744 (766) 891 511
Gain from
extinguish-
ment of debt -- -- -- 34,662 --
Minority
interests
in income
of sub-
sidiaries (2,347) (2,646) (1,830) (1,352) (1,512)
Income tax
(expense)
benefit (1,196) 1,245 9,394 (16,775) 5,636
---------- ---------- ---------- ---------- ----------
EBITDA $ 119,453 $ 109,283 $ 90,188 $ 87,029 $ 95,149
========== ========== ========== ========== ==========
Table 4
Dobson Cellular Systems
For the Quarter Ended
9/30/2005 6/30/2005 3/31/2005 12/31/2004 9/30/2004
---------- ---------- ---------- ---------- ----------
($ in thousands except per subscriber data)
Operating (unaudited)
Revenue
Service
revenue $ 128,599 $ 125,134 $ 119,524 $ 115,768 $ 114,732
Roaming
revenue 45,771 34,985 30,911 31,421 35,695
Equipment
and other
revenue 12,295 17,606 10,250 7,411 9,203
---------- ---------- ---------- ---------- ----------
Total 186,665 177,725 160,685 154,600 159,630
---------- ---------- ---------- ---------- ----------
Operating
Expenses
(excluding
depreciation
and amor-
tization)
Cost of
service 48,376 43,374 43,978 43,193 42,847
Cost of
equipment 18,708 21,486 18,708 16,754 18,660
Marketing
and
selling 20,531 20,961 19,721 18,967 18,472
General and
adminis-
trative 30,137 27,838 25,279 25,980 24,513
---------- ---------- ---------- ---------- ----------
Total 117,752 113,659 107,686 104,894 104,492
---------- ---------- ---------- ---------- ----------
EBITDA
(a)(b) $ 68,913 $ 64,066 $ 52,999 $ 49,706 $ 55,138
========== ========== ========== ========== ==========
Pops 6,687,500 6,687,500 6,687,500 6,687,500 6,439,800
Post-paid
Gross Adds 50,800 52,500 45,700 39,900 46,300
Net Adds (15,700) (900) (12,900) (17,200) (7,200)
Sub-
scribers 783,500 799,200 800,100 813,000 805,600
Churn 2.8% 2.2% 2.4% 2.4% 2.2%
Average
Service
Revenue
per
Subscriber
(ARPU) $ 52.84 $ 50.93 $ 48.23 $ 47.26 $ 46.11
Pre-paid
Gross Adds 14,600 14,200 13,300 11,100 10,100
Net Adds 1,700 3,300 2,000 (1,200) 100
Sub-
scribers 39,900 38,200 34,900 32,900 32,500
Reseller
Gross Adds 11,400 11,100 11,500 11,700 11,000
Net Adds 3,800 1,100 2,000 1,800 3,000
Sub-
scribers 60,300 56,500 55,400 53,400 51,600
Total
Gross Adds 76,800 77,800 70,500 62,700 67,400
Net Adds (10,200) 3,500 (8,900) (16,600) (4,100)
Sub-
scribers 883,700 893,900 890,400 899,300 889,700
ARPU $ 48.23 $ 46.75 $ 44.52 $ 43.78 $ 42.89
Penetration 13.2% 13.4% 13.3% 13.4% 13.8%
(a) Includes $2.7 million, $3.1 million, $2.3 million, $1.8
million, and $1.9 million of EBITDA for the quarters ended
September 30,2005, June 30, 2005, March 31, 2005, December 31,
2004, and September 30, 2004 respectively, related to minority
interests.
(b) A reconciliation of EBITDA to income (loss) from continuing
operations as determined in accordance with generally accepted
accounting principles is as follows:
Income (loss)
from con-
tinuing
operations $ 3,900 $ (2,478) $ (8,956) $(91,976) $ (2,562)
Add back non-
EBITDA
items in-
cluded in
income
(loss)
from con-
tinuing
operations:
Depreciation
and
amortiza-
tion (28,744) (29,179) (30,315) (30,000) (28,575)
Gain on
disposition
of operating
assets 783 -- -- -- --
Interest
expense (38,198) (37,433) (37,025) (35,222) (30,161)
Other income,
net 2,132 1,195 1,726 1,143 977
Loss from
extinguish-
ment of
debt -- -- -- (14,200) --
Minority
interests
in income
of sub-
sidiaries (2,347) (2,646) (1,830) (1,352) (1,512)
Income tax
benefit
(expense) 1,361 1,519 5,489 (62,051) 1,571
---------- ---------- ---------- ---------- ----------
EBITDA $ 68,913 $ 64,066 $ 52,999 $ 49,706 $ 55,138
========== ========== ========== ========== ==========
Table 5
American Cellular Corporation
For the Quarter Ended
9/30/2005 6/30/2005 3/31/2005 12/31/2004 9/30/2004
--------- -------- -------- -------- --------
($ in thousands except per subscriber data)
Operating (unaudited)
Revenue
Service
revenue $ 92,712 $ 90,850 $ 86,558 $ 86,113 $ 84,008
Roaming
revenue 34,659 26,164 22,519 21,831 26,526
Equipment
and
other
revenue 4,794 5,939 5,008 4,121 3,973
--------- -------- -------- -------- --------
Total 132,165 122,953 114,085 112,065 114,507
--------- -------- -------- -------- --------
Operating Expenses
(excluding depreciation
and amortization)
Cost of
service 30,872 26,890 29,619 26,838 26,633
Cost of
equipment 13,448 12,769 11,658 10,567 11,582
Marketing
and selling 15,004 14,894 14,373 13,960 14,343
General and
administrative 22,296 23,178 21,241 23,373 21,933
--------- -------- -------- -------- --------
Total 81,620 77,731 76,891 74,738 74,491
--------- -------- -------- -------- --------
EBITDA(a) $ 50,545 $ 45,222 $ 37,194 $ 37,327 $ 40,016
========= ======== ======== ======== ========
Pops 5,166,500 5,069,900 5,069,900 5,069,900 4,997,000
Post-paid
Gross Adds 34,000 35,100 31,700 29,600 36,900
Net Adds (18,800) (8,100) (15,600) (15,900) (300)
Subscribers 609,200 627,400 635,500 651,100 667,000
Churn 2.8% 2.3% 2.5% 2.3% 1.9%
Average Service
Revenue per
Subscriber
(ARPU) $ 48.89 $ 47.00 $ 44.02 $ 42.85 $ 41.27
Pre-paid
Gross Adds 7,000 6,500 5,900 5,200 4,400
Net Adds 1,600 2,000 1,900 800 (300)
Subscribers 18,900 17,300 15,300 13,400 12,600
Reseller
Gross Adds 13,600 12,100 13,900 14,800 12,900
Net Adds 3,300 1,500 3,800 6,100 5,900
Subscribers 54,100 50,800 49,300 45,500 39,400
Total
Gross Adds 54,600 53,700 51,500 49,600 54,200
Net Adds (13,900) (4,600) (9,900) (9,000) 5,300
Subscribers 682,200 695,500 700,100 710,000 719,000
ARPU $ 44.88 $ 43.40 $ 40.92 $ 40.17 $ 39.09
Penetration 13.2% 13.7% 13.8% 14.0% 14.4%
(a) A reconciliation of EBITDA to net income (loss) as determined in
accordance with generally accepted accounting principles is as
follows:
Net income
(loss) $ 4,555 $ 481 $ (5,268) $ (7,457) $ (3,380)
Add back non-
EBITDA items
included in net
income (loss):
Depreciation
and amortiza-
tion (20,358) (21,161) (21,255) (21,279) (20,881)
Gain on
disposition
of operating
assets 649 939 -- -- --
Interest
expense (23,782) (23,778) (23,784) (23,457) (23,971)
Other
expense,
net (400) (446) (652) (471) (616)
Income tax
(expense)
benefit (2,099) (295) 3,229 423 2,072
--------- -------- -------- -------- --------
EBITDA $ 50,545 $ 45,222 $ 37,194 $ 37,327 $ 40,016
========= ======== ======== ======== ========