OKLAHOMA CITY, Feb. 17, 2005 (PRIMEZONE) -- Dobson Communications Corporation (Nasdaq:DCEL) today reported a net loss applicable to common shareholders of $13.9 million, or $0.10 per share, for the fourth quarter ended December 31, 2004. The net loss included a $34.7 million gain from extinguishment of debt and a $16.8 million income tax expense (non-cash) for the fourth quarter. (See Table 1.)
For the fourth quarter of 2003, Dobson reported a net loss applicable to common shareholders of $70.3 million, or $0.53 per share. The net loss included a $24.2 million loss from extinguishment of debt, a $26.8 million loss on redemption and repurchases of mandatorily redeemable preferred stock, and a $12.8 million income tax benefit.
Dobson's 2004 results include the operations of Michigan 5 Rural Service Area (RSA), which the Company acquired on February 17, 2004, and the Michigan markets acquired from NPI-Omnipoint Wireless, LLC on June 15, 2004. Excluded as not meaningful are financial results for RFB Cellular, Inc., certain assets of which the Company acquired December 29, 2004.
Dobson reported EBITDA of $87.0 million for the fourth quarter of 2004, compared with EBITDA of $94.2 million for the fourth quarter of 2003. Please see Table 3 for EBITDA reconciliation to GAAP measures.
Total revenue was $264.9 million for the fourth quarter of 2004, of which $53.3 million, or 20 percent, was roaming revenue. For the fourth quarter of 2003, Dobson reported total revenue of $250.3 million, of which $56.1 million, or 22 percent, was roaming revenue.
Average service revenue per unit (ARPU) per month for the fourth quarter of 2004 was $42.17, compared with $40.01 for the fourth quarter last year and $41.20 for the third quarter of 2004. ARPU includes postpaid, prepaid and reseller ARPU.
Dobson Communications reported approximately 393 million roaming minutes of use (MOUs) for the fourth quarter of 2004, with a blended yield of approximately $0.136 per MOU. Roaming MOUs for the fourth quarter of 2004 were approximately 10 percent higher than roaming MOUs of approximately 356 million for the fourth quarter of 2003 on a "same-store" basis that includes Michigan RSA 5 and NPI throughout both periods.
GSM roaming accounted for approximately 221 million roaming MOUs, or 56 percent of total roaming MOUs, for the fourth quarter. This compared with 43 percent of roaming MOUs in the third quarter of 2004 and 25 percent in the second quarter of 2004.
Operating Trends
Dobson reported approximately 112,300 total gross subscriber additions for the fourth quarter of 2004. This compared with approximately 121,600 total gross subscriber additions in the third quarter of 2004, and approximately 117,100 gross subscriber additions in the fourth quarter of 2003.
Among postpaid gross additions in the fourth quarter of 2004, approximately 64,500, or 93 percent, selected GSM calling plans. (See Table 3.)
Postpaid customer churn was 2.35 percent for the fourth quarter of 2004, compared with 2.05 percent for the third quarter of 2004 and 1.86 percent for the fourth quarter of 2003.
For the fourth quarter of 2004, excluding the effect of the RFB acquisition, the Company reported a net subscriber reduction of approximately 25,600, compared with 1,200 net additions in the third quarter of 2004 and 14,400 net subscriber additions in the fourth quarter of 2003.
Dobson acquired approximately 26,200 subscribers during the fourth quarter with the purchase of the non-license wireless assets of RFB Cellular, Inc. Consequently, as of year-end 2004, the Company's total subscriber base was approximately 1,609,300.
During the fourth quarter of 2004, approximately 75,100 TDMA subscribers migrated to GSM calling plans, compared with 74,500 migrations in the third quarter of 2004 and 68,700 migrations in the second quarter of 2004.
At year-end 2004, approximately 415,300 customers, or 26 percent of Dobson's total subscriber base, were on GSM calling plans, compared with approximately 286,500 GSM subscribers, or 18 percent of its subscriber base, at September 30, 2004.
Capital expenditures were approximately $24.2 million in the fourth quarter of 2004, bringing total 2004 capital expenditures to $142.0 million.
The Company ended 2004 with $178.9 million in cash and cash equivalents, $2.5 billion in total debt, and $358.6 million in preferred stock obligations. (See Table 2.)
Outlook for 2005
In 2005, Dobson's growth strategy will focus on increasing ARPU and gross subscriber additions, mitigating churn and strengthening the Cellular One brand in the Company's markets.
Dobson expects ARPU to continue increasing as it adds new GSM subscribers and transitions existing TDMA subscribers to GSM calling plans. As the Company proceeds through this transition, it expects its total subscriber base to remain stable or to decline slightly during 2005.
Consistent with the fourth quarter trend, Dobson expects roaming MOUs in 2005 to increase eight to 10 percent, compared with its total for 2004, and expects that its roaming yield for 2005 will be approximately 13 cents.
Dobson anticipates increased operating expenses in 2005, compared with 2004. Network operating expense is expected to increase during 2005 as the Company's subscriber base continues to migrate from TDMA to GSM. Sales and marketing expense for the year is expected to increase due to the cost of TDMA migrations and initiatives to strengthen the Cellular One brand. Finally, the Company intends to implement SFAS No. 123R, the expensing of stock options, which will increase operating expenses in 2005.
Dobson expects to generate 2005 EBITDA in a range of $345 million to $365 million.
Capital expenditures are expected to be up to $140 million in 2005, reflecting the construction of additional GSM cell sites to improve network performance, the upgrading of acquired networks, and approximately $36 million in E911 compliance investment.
Fourth Quarter 2004 Conference Call
On Friday, February 18, 2005, Dobson plans to hold a conference call to discuss its fourth quarter 2004 results. The call is scheduled to begin at 8 a.m. CT (9 a.m. ET). 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 is likely to discuss its expectations for 2005.
Those interested may access the call by dialing:
Conference call (800) 289-0569
Pass code 7070461
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 7070461
The replay will be available by phone for two weeks.
For further analysis of the fourth quarter of 2004, please see the Company's annual report on Form 10-K, which Dobson plans to file by March 16, 2005.
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 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 Twelve Months Ended
December 31, December 31,
------------------------ ------------------------
2004 2003 2004 2003
----------- ----------- ----------- -----------
($ in thousands except per share data)
Operating Revenue
Service revenue $ 201,882 $ 185,708 $ 771,610 $ 505,860
Roaming revenue 53,252 56,132 208,154 201,199
Equipment &
other revenue 9,794 8,475 43,718 28,695
----------- ----------- ----------- -----------
Total 264,928 250,315 1,023,482 735,754
----------- ----------- ----------- -----------
Operating Expenses
(excluding depre-
ciation & amortiza-
tion)
Cost of service
(exclusive of
depreciation &
amortization
shown separately
below) 69,851 59,463 255,308 173,436
Cost of equipment 27,321 21,752 108,968 56,612
Marketing &
selling 32,927 30,747 128,691 79,547
General &
administrative 47,800 44,192 179,525 106,108
----------- ----------- ----------- -----------
Total 177,899 156,154 672,492 415,703
----------- ----------- ----------- -----------
EBITDA (1) 87,029 94,161 350,990 320,051
Depreciation &
amortization (51,279) (45,560) (192,818) (119,424)
----------- ----------- ----------- -----------
Operating income 35,750 48,601 158,172 200,627
Interest expense (58,182) (52,957) (219,658) (138,148)
Dividends on
mandatorily re-
deemable pre-
ferred stock (6,877) (12,735) (32,075) (30,568)
Other income,
net 891 1,530 3,121 3,829
Gain (loss) from
extinguishment
of debt 34,662 (24,175) 40,401 (52,277)
(Loss) gain on
redemption and
repurchases of
mandatorily re-
deemable pre-
ferred stock -- (26,777) 6,478 (26,777)
Minority interests
in income of
subsidiaries (1,352) (1,291) (4,867) (6,541)
----------- ----------- ----------- -----------
Income (loss)
before income
taxes 4,892 (67,804) (48,428) (49,855)
Income tax
(expense)
benefit (16,775) 12,751 (3,635) (845)
----------- ----------- ----------- -----------
Loss from
continuing
operations (11,883) (55,053) (52,063) (50,700)
Discontinued
operations:
(Loss) income
from discontinued
operations, net
of taxes (2) -- (596) 443 11,945
(Loss) gain on
discontinued
operations, net
of taxes -- (12,729) -- 14,786
----------- ----------- ----------- -----------
Net loss (11,883) (68,378) (51,620) (23,969)
Dividends on
preferred stock (1,988) (1,879) (8,178) (43,300)
Gain on redemp-
tion and re-
purchases of
preferred stock -- -- -- 218,310
----------- ----------- ----------- -----------
Net (loss) income
applicable to
common
shareholders $ (13,871) $ (70,257) $ (59,798) $ 151,041
=========== =========== =========== ===========
Basic net (loss)
income applicable
to common share-
holders per
common share $ (0.10) $ (0.53) $ (0.45) $ 1.42
=========== =========== =========== ===========
Basic weighted
average common
shares
outstanding 133,847,952 133,686,530 133,784,752 106,291,582
=========== =========== =========== ===========
Diluted net (loss)
income applicable
to common share-
holders per
common share $ (0.10) $ (0.53) $ (0.45) $ 1.38
=========== =========== =========== ===========
Diluted weighted
average common
shares
outstanding 133,847,952 133,686,530 133,784,752 109,676,631
=========== =========== =========== ===========
(1) EBITDA is defined as loss from continuing operations
before depreciation and amortization, interest expense, dividends
on mandatorily redeemable preferred stock, other income
(expense), net, gain (loss) from extinguishment of debt, gain
(loss) from redemption and repurchases of mandatorily redeemable
preferred stock, minority interests in income of subsidiaries and
income tax benefit (expense). 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 Twelve Months Ended
December 31, December 31,
2004 2003 2004 2003
---- ---- ---- ----
Service revenue $ -- $ 4,224 $ 2,383 $ 31,649
Roaming revenue -- 3,059 1,067 36,577
Equipment &
other revenue -- 127 106 1,469
-------- -------- -------- --------
Total operating
revenue -- 7,410 3,556 69,695
-------- -------- -------- --------
Cost of service
(exclusive of
depreciation &
amortization
shown separately
below) -- 2,029 824 15,656
Cost of
equipment -- 563 235 3,628
Marketing &
selling -- 1,823 605 7,752
General &
administrative -- 1,600 529 8,845
-------- -------- -------- --------
Total operating
expenses
(excluding
depreciation
and
amortization) -- 6,015 2,193 35,881
-------- -------- -------- --------
EBITDA -- 1,395 1,363 33,814
-------- -------- -------- --------
Depreciation
& amortization -- (1,267) (647) (8,858)
Interest
expense &
other -- (1,089) (2) (5,690)
Income tax
benefit
(expense) -- 365 (271) (7,321)
-------- -------- -------- --------
(Loss) income
from dis-
continued
operations $ -- $ (596) $ 443 $ 11,945
======== ======== ======== ========
Table 2
Dobson Communications Corporation
Selected Balance Sheet and Statistical Data
Balance Sheet Data:
December 31,
-------------------------
2004 2003
-------- --------
($ in millions)
Cash and cash equivalents
(unrestricted) (1) $ 178.9 $ 208.2
======== ========
Total Debt:
DCS 8.375% Senior Notes $ 250.0 $ --
DCS 9.875% Senior Notes 325.0 --
DCS Floating Rate Senior Notes 250.0 --
DCS credit facility -- 548.6
DCC 10.875% Senior Notes, net 297.7 298.4
DCC 8.875% Senior Notes 419.7 650.0
Dobson/Sygnet Senior Notes -- 5.3
ACC 9.5% Senior Notes, net 13.7 12.9
ACC 10.0% Senior Notes 900.0 900.0
-------- --------
Total debt $2,456.1 $2,415.2
======== ========
Preferred Stock:
Senior Exchangeable Preferred Stock,
12.25%, net (2) 44.6 59.2
Senior Exchangeable Preferred Stock,
13.00%, net (3) 191.5 194.1
Series F Preferred Stock 122.5 122.5
-------- --------
Total preferred stock $ 358.6 $ 375.8
======== ========
Twelve Months Ended
December 31,
-------------------------
2004 2003
-------- --------
($ in millions)
Capital Expenditures (4): $ 142.0 $ 163.9
======== ========
(1) Includes $41.5 million and $30.8 million of cash from American
Cellular at December 31, 2004 and December 31, 2003,
respectively.
(2) Net of deferred financing costs of $(0.9) million and $(0.6)
million and discount of $(0.7) million and $(1.2) million at
December 31, 2004 and December 31, 2003, respectively.
(3) Net of deferred financing costs of $(1.4) million and $(1.9)
million at December 31, 2004 and December 31, 2003, respectively.
(4) Does not include $33.5 million of capital expenditures by
American Cellular for the period from January 1, 2003 to August
18, 2003 (prior to its acquisition).
Table 3
Dobson Communications Corporation
For the Quarter Ended
12/31/2003 3/31/2004 6/30/2004 9/30/2004 12/31/2004
---------- ---------- ---------- ---------- ----------
($ in thousands except per subscriber data)
(unaudited)
Operating
Revenue
Service
revenue $ 185,708 $ 181,699 $ 189,288 $ 198,740 $ 201,882
Roaming
revenue 56,132 42,075 50,606 62,221 53,252
Equipment
& other
revenue 8,475 10,017 12,469 11,438 9,794
---------- ---------- ---------- ---------- ----------
Total 250,315 233,791 252,363 272,399 264,928
---------- ---------- ---------- ---------- ----------
Operating
Expenses
(excluding
depreciation
& amortization)
Cost of
service 59,463 54,186 61,972 69,299 69,851
Cost of
equipment 21,752 23,534 27,870 30,242 27,321
Marketing &
Selling 30,747 29,162 33,786 32,816 32,927
General & ad-
ministrative 44,192 43,776 43,056 44,893 47,800
---------- ---------- ---------- ---------- ----------
Total 156,154 150,658 166,684 177,250 177,899
---------- ---------- ---------- ---------- ----------
EBITDA (1)(2) $ 94,161 $ 83,133 $ 85,679 $ 95,149 $ 87,029
========== ========== ========== ========== ==========
Pops 10,620,900 10,790,300 11,436,800 11,436,800 11,757,400
Post-paid
Gross Adds 89,100 68,700 73,500 83,200 69,500
Net Adds 8,200 (14,300) (400) (7,500) (33,100)
Subscribers 1,451,700 1,457,600 1,480,100 1,472,600 1,464,100
Churn 1.9% 1.9% 1.7% 2.0% 2.3%
Average
Service
Revenue
per Sub-
scriber
(ARPU) $ 42.16 $ 40.86 $ 42.33 $ 43.92 $ 45.26
Pre-paid
Gross Adds 12,600 16,000 13,300 14,500 16,300
Net Adds 4,700 7,400 (1,300) (200) (400)
Subscribers 28,700 36,400 45,300 45,100 46,300
Reseller
Gross Adds 15,400 14,900 20,200 23,900 26,500
Net Adds 1,500 1,500 8,900 8,900 7,900
Subscribers 71,700 73,200 82,100 91,000 98,900
Total
Gross Adds 117,100 99,600 107,000 121,600 112,300
Net Adds 14,400 (5,400) 7,200 1,200 (25,600)
Subscribers 1,552,100 1,567,200 1,607,500 1,608,700 1,609,300
ARPU $ 40.01 $ 38.83 $ 40.03 $ 41.20 $ 42.17
Penetration 14.6% 14.5% 14.1% 14.1% 13.7%
(1) Includes $1.7 million, $1.3 million, $1.6 million, $1.9
million and $1.8 million of EBITDA for the quarters ended
December 31, 2003, March 31, 2004, June 30, 2004, September 30,
2004 and December 31, 2004 respectively, related to minority
interests.
(2) 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 $ (55,053) $ (15,125) $ (14,047) $ (11,008) $ (11,883)
Add back non-
EBITDA items
included in
loss from
continuing
operations:
Depreciation &
amortization (45,560) (45,448) (46,635) (49,456) (51,279)
Interest
expense (52,957) (54,238) (52,784) (54,456) (58,182)
Dividends on
mandatorily
redeemable
preferred
stock (12,735) (8,618) (8,289) (8,290) (6,877)
Other income,
net 1,530 1,277 442 511 891
(Loss) gain
from ex-
tinguishment
of debt (24,175) 5,739 -- -- 34,662
(Loss) gain
from redemp-
tion of pre-
ferred stock (26,777) -- 5,069 1,410 --
Minority
interests in
income of
subsidiaries (1,291) (944) (1,058) (1,512) (1,352)
Income tax
benefit
(expense) 12,751 3,974 3,529 5,636 (16,775)
--------- --------- --------- --------- ---------
EBITDA $ 94,161 $ 83,133 $ 85,679 $ 95,149 $ 87,029
========= ========= ========= ========= =========
Table 4
Dobson Cellular Systems
(Formerly DOC and Sygnet)
For the Quarter Ended
12/31/2003 3/31/2004 6/30/2004 9/30/2004 12/31/2004
($ in thousands except per subscriber data)
(unaudited)
Operating
Revenue
Service
revenue $ 107,335 $ 104,327 $ 109,460 $ 114,732 $ 115,768
Roaming
revenue 30,722 23,962 29,206 35,695 31,421
Equipment &
other
revenue 6,357 7,330 8,541 9,203 7,411
---------- ---------- ---------- ---------- ----------
Total 144,414 135,619 147,207 159,630 154,600
---------- ---------- ---------- ---------- ----------
Operating
Expenses
(excluding
depreciation &
amortization)
Cost of
service 36,013 32,218 38,542 42,847 43,193
Cost of
equipment 11,148 13,410 15,042 18,660 16,754
Marketing &
selling 16,283 15,947 18,538 18,472 18,967
General & ad-
ministrative 23,010 23,284 22,920 24,513 25,980
---------- ---------- ---------- ---------- ----------
Total 86,454 84,859 95,042 104,492 104,894
---------- ---------- ---------- ---------- ----------
EBITDA (1)(2) $ 57,960 $ 50,760 $ 52,165 $ 55,138 $ 49,706
========== ========== ========== ========== ==========
Pops 5,623,900 5,793,300 6,439,800 6,439,800 6,687,500
Post-paid
Gross Adds 45,700 37,800 40,200 46,300 39,900
Net Adds 2,700 (10,000) (1,100) (7,200) (17,200)
Subscribers 780,800 791,000 812,800 805,600 813,000
Churn 1.8% 2.0% 1.7% 2.2% 2.4%
Average Service
Revenue per
Subscriber
(ARPU) $ 45.14 $ 43.32 $ 44.95 $ 46.11 $ 47.26
Pre-paid
Gross Adds 7,000 9,000 8,300 10,100 11,100
Net Adds 2,300 4,200 (500) 100 (1,200)
Subscribers 18,200 22,700 32,400 32,500 32,900
Reseller
Gross Adds 10,000 9,200 10,100 11,000 11,700
Net Adds 1,900 1,200 3,500 3,000 1,800
Subscribers 43,900 45,100 48,600 51,600 53,400
Total
Gross Adds 62,700 56,000 58,600 67,400 62,700
Net Adds 6,900 (4,600) 1,900 (4,100) (16,600)
Subscribers 842,900 858,800 893,800 889,700 899,300
ARPU $ 42.50 $ 40.87 $ 42.17 $ 42.89 $ 43.78
Penetration 15.0% 14.8% 13.9% 13.8% 13.4%
(1) Includes $1.7 million, $1.3 million, $1.6 million, $1.9
million and $1.8 million of EBITDA for the quarters ended
December 31, 2003, March 31, 2004, June 30, 2004, September 30,
2004 and December 31, 2004 respectively, related to minority
interests.
(2) 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 op-
erations $ 3,771 $ 10,837 $ (1,302) $ (2,562) $ (91,976)
Add back non-
EBITDA items
included in
income (loss)
from con-
tinuing oper-
ations:
Depreciation &
amortization (25,774) (25,217) (25,716) (28,575) (30,000)
Interest
expense (7,701) (9,216) (28,754) (30,161) (35,222)
Other income,
net 3,838 2,445 1,264 977 1,143
Loss from ex-
tinguishment
of debt (24,175) (349) -- -- (14,200)
Minority
interests in
income of
subsidiaries (1,291) (944) (1,059) (1,512) (1,352)
Income tax
benefit
(expense) 914 (6,642) 798 1,571 (62,051)
---------- ---------- ---------- ---------- ----------
EBITDA $ 57,960 $ 50,760 $ 52,165 $ 55,138 $ 49,706
========== ========== ========== ========== ==========
Table 5
American Cellular Corporation
For the Quarter Ended
12/31/2003 3/31/2004 6/30/2004 9/30/2004 12/31/2004
($ in thousands except per subscriber data)
(unaudited)
Operating
Revenue
Service
revenue $ 78,372 $ 77,372 $ 79,828 $ 84,008 $ 86,113
Roaming
revenue 25,410 18,113 21,401 26,526 21,831
Equipment &
other
revenue 3,679 4,424 5,665 3,973 4,121
---------- ---------- ---------- ---------- ----------
Total 107,461 99,909 106,894 114,507 112,065
---------- ---------- ---------- ---------- ----------
Operating
Expenses
(excluding
depreciation &
amortization)
Cost of
service 23,849 22,148 23,611 26,633 26,838
Cost of
equipment 10,604 10,124 12,828 11,582 10,567
Marketing &
selling 14,464 13,215 15,248 14,343 13,960
General & ad-
ministrative 22,338 22,044 21,688 21,933 23,373
---------- ---------- ---------- ---------- ----------
Total 71,255 67,531 73,375 74,491 74,738
---------- ---------- ---------- ---------- ----------
EBITDA (1) $ 36,206 $ 32,378 $ 33,519 $ 40,016 $ 37,327
========== ========== ========== ========== ==========
Pops 4,997,000 4,997,000 4,997,000 4,997,000 5,069,900
Post-paid
Gross Adds 43,400 30,900 33,300 36,900 29,600
Net Adds 5,500 (4,300) 700 (300) (15,900)
Subscribers 670,900 666,600 667,300 667,000 651,100
Churn 1.9% 1.8% 1.6% 1.9% 2.3%
Average
Service
Revenue per
Subscriber
(ARPU) $ 38.67 $ 37.96 $ 39.22 $ 41.27 $ 42.85
Pre-paid
Gross Adds 5,600 7,000 5,000 4,400 5,200
Net Adds 2,400 3,200 (800) (300) 800
Subscribers 10,500 13,700 12,900 12,600 13,400
Reseller
Gross Adds 5,400 5,700 10,100 12,900 14,800
Net Adds (400) 300 5,400 5,900 6,100
Subscribers 27,800 28,100 33,500 39,400 45,500
Total
Gross Adds 54,400 43,600 48,400 54,200 49,600
Net Adds 7,500 (800) 5,300 5,300 (9,000)
Subscribers 709,200 708,400 713,700 719,000 710,000
ARPU $ 37.03 $ 36.39 $ 37.42 $ 39.09 $ 40.17
Penetration 14.2% 14.2% 14.3% 14.4% 14.0%
(1) A reconciliation of EBITDA to net loss as determined in
accordance with generally accepted accounting principles is as
follows:
Net loss $ (5,005) $ (7,364) $ (7,499) $ (3,380) $ (7,457)
Add back non-
EBITDA items
included in
net loss:
Depreciation
& amortiza-
tion (19,786) (20,231) (20,919) (20,881) (21,279)
Interest
expense (23,924) (23,675) (23,692) (23,971) (23,457)
Other expense,
net (568) (350) (1,003) (616) (471)
Income tax
benefit 3,067 4,514 4,596 2,072 423
---------- ---------- ---------- ---------- ----------
EBITDA $ 36,206 $ 32,378 $ 33,519 $ 40,016 $ 37,327
========== ========== ========== ========== ==========