OKLAHOMA CITY, Jan. 8, 2002 (PRIMEZONE) -- Fourth quarter results enabled Dobson Communications Corporation (Nasdaq:DCEL) to meet or exceed key operating goals for the full year 2001.
Net subscriber additions for the fourth quarter were approximately 45,400 (proportionate), compared with 41,500 in the immediately previous quarter and 60,700 for the fourth quarter last year. At the beginning of 2001, Dobson projected that it would add between 162,000 and 172,000 net subscribers for the year. The Company finished with approximately 166,000.
Proportionate gross subscriber additions (postpaid) were approximately 107,900 for the fourth quarter of 2001.
Average monthly customer churn for the fourth quarter remained at an industry-leading 2.0 percent, in line with the same period last year and slightly above churn for the third quarter of 2001, reflecting normal seasonal trends. Customer churn averaged 1.9 percent for the year, better than the range of 2.0 percent to 2.25 percent that the Company had provided in its guidance.
"We're very pleased with our 2001 net subscriber growth, particularly in light of our industry-leading low churn and rising ARPU for the year," said Everett R. Dobson, chairman and chief executive officer. "With our transition to digital nearly complete and the relatively low level of penetration in our rural markets, we have ample opportunities for profitable growth. We continue to expect strong growth in subscribers, revenue and earnings in 2002."
Approximately 28,500 analog customers (proportionate) migrated to digital calling plans in the fourth quarter. At year-end 2001, Dobson's digital proportionate subscriber base was approximately 802,600, or 74 percent of its proportionate customer base of 1.1 million. This compares with only 43 percent digital at the year-end 2000. Dobson's subscriber base now represents 11.1 percent penetration of the 9.9 million population in its proportionate market base.
Proportionate results reflect Dobson's operations plus its 50% ownership in American Cellular Corporation through its joint venture with AT&T Wireless Services, Inc. (NYSE:AWE). Dobson includes both postpaid and prepaid subscribers in its net subscriber additions. Gross subscriber additions and churn are reported on a postpaid basis only. The Company uses Claritas Inc.'s 2000 Census Information as its source for market population data.
Dobson plans to announce a schedule for its fourth quarter earnings release and conference call in the next few weeks. The Company also expects to discuss guidance for 2002 on its fourth quarter earnings conference call.
Dobson Communications is a leading provider of wireless phone services to rural markets in the United States. Headquartered in Oklahoma City, the rapidly growing Company owns or manages wireless operations in 19 states. For additional information on the Company and its operations, please visit its Website 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 increased levels of competition, restrictions on the Company's ability to finance its growth, any market changes that would significantly decrease consumer demand for wireless products, 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 filed with the Securities and Exchange Commission. Given these concerns, investors and analysts should not place undue reliance on forward-looking statements.