UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): July 31, 2003
Crown Castle International Corp.
(Exact Name of Registrant as Specified in its Charter)
| Delaware | 0-24737 | 76-0470458 | ||
| (State or Other | (Commission File | (IRS Employer | ||
| Jurisdiction of | Number) | Identification | ||
| Incorporation) | Number) |
510 Bering Drive
Suite 500
Houston, TX 77057
(Address of Principal Executive Office)
Registrant’s telephone number, including area code: (713) 570-3000
This document includes “forward-looking” statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. Other than statements of historical fact, all
statements regarding industry prospects, the consummation of the transactions
described in this document and the Company’s expectations regarding the future
performance of its businesses and its financial position are forward-looking statements.
These forward-looking statements are subject to numerous risks and uncertainties.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
| Exhibit No. |
Description | |
| 99.1 | Press Release dated July 31, 2003 | |
ITEM 12. RESULTS OF OPERATIONS AND FINANCIAL CONDITION
On July 31, 2003, the Company issued a press release disclosing its financial results for the second quarter of 2003. The July 31 press release is furnished herewith as Exhibit 99.1 to this Form 8-K.
As provided in General Instructions B.2 and B.6 of Form 8-K, such information shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
1
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| CROWN CASTLE INTERNATIONAL CORP. | ||
| By: |
/S/ E. BLAKE HAWK | |
| Name: E. Blake Hawk Title: Executive Vice President and General Counsel | ||
Date: July 31, 2003
2
EXHIBIT INDEX
| Exhibit No. |
Description | |
| 99.1 | Press Release dated July 31, 2003 | |
3
Exhibit 99.1
www.crowncastle.com
Crown Castle International
News Release
Contacts: W. Benjamin Moreland, CFO
Jay Brown, VP Finance
Crown Castle International Corp.
713-570-3000
Ken Dennard / kdennard@drg-e.com
Lisa Elliott / lelliott@drg-e.com
DRG&E
713-529-6600
CROWN CASTLE INTERNATIONAL REPORTS
SECOND QUARTER RESULTS AND INCREASES
FREE CASH FLOW OUTLOOK
July 31, 2003– HOUSTON, TEXAS – Crown Castle International Corp. (NYSE:CCI) today reported results for the second quarter ended June 30, 2003.
Total revenue for the second quarter of 2003 was $224.2 million, compared to $225.5 million for the second quarter of 2002. Site rental and broadcast transmission revenue for the second quarter of 2003 increased 10% to $189.5 million, up from $172.0 million for the same period in 2002. Net loss (after deduction of dividends on preferred stock and net of losses on repurchases of preferred stock of $3.0 million for second quarter 2003) was $100.9 million for the second quarter of 2003 compared to a loss of $89.5 million for the same period in 2002. Second quarter 2003 loss per share was $0.47 compared to a loss per share of $0.41 in last year’s second quarter. Net cash from operating activities for the second quarter of 2003 was $94.1 million, up from $53.9 million for the same period in 2002. Capital expenditures for the second quarter were $20.7 million, down from $126.3 million for the same period in 2002. Free cash flow, defined as cash from operating activities less capital expenditures, for the second quarter of 2003 improved $145.6 million to a source of cash of $73.3 million, from a use of cash of $72.3 million for the same period in the prior year.
News Release continued:
Page 2 of 7
OPERATING RESULTS
US site rental revenue for the second quarter of 2003 increased 6.9% to $110.5 million, up from $103.4 million for the same period in 2002, and UK site rental and broadcast transmission revenue for the second quarter of 2003 increased 16.7% to $72.8 million, up from $62.4 million for the same period in 2002. These revenue results approximate same tower sales as a result of the fact that approximately 98% of Crown Castle’s sites on June 30, 2003 were in operation as of April 1, 2002. On a consolidated basis, site rental and broadcast transmission gross margin, defined as site rental and broadcast transmission revenue less site rental and broadcast transmission cost of operations, increased 9.2% to $115.8 million, up $9.8 million in the second quarter of 2003 from the same period in 2002. For the second quarter of 2003, US capital expenditures were $7.7 million, and UK capital expenditures were $12.8 million. During the second quarter of 2003, Crown Castle developed 13 sites in the UK under our agreement with British Telecom.
“We are pleased with our core site rental and broadcast transmission business this quarter,” stated John P. Kelly, President and Chief Executive Officer of Crown Castle. “During the quarter, our business units delivered solid revenue growth together with disciplined management of operating expenses, capital expenditures and working capital, which allowed us to exceed our free cash flow expectations.”
“While our outlook suggests that leasing activity will remain constant at current levels, we see some indications that US leasing activity may improve during the second half of 2003 and into 2004. A combination of several factors appears to be positively influencing US wireless carriers’ desire to deploy additional cell sites to improve network quality.”
“We remain committed to driving free cash flow growth and have made significant progress in the last quarter,” stated W. Benjamin Moreland, Chief Financial Officer of Crown Castle. “As a result of strong performance at the operating level, we have been able to invest some of our excess liquidity to retire more expensive debt securities. In the last twelve months, taking into account the shares of 12¾% Senior Exchangeable Preferred Stock we have purchased to date, we have eliminated $70.0 million of annual interest expense. We believe we can achieve significant interest savings through attractive refinancings and investing our liquidity, and we can foresee a scenario where run-rate total interest expense is less than $200 million by the end of 2004.”
During the second quarter of 2003, Crown Castle repaid $55.3 million of senior credit facility debt (including $4.7 million in its CCOC facility, $10.0 million in its CCA facility and $40.6 million in its UK facility). At June 30, 2003, Crown Castle had $909.4 million of total
News Release continued:
Page 3 of 7
liquidity, comprised of $523.2 million of cash and cash equivalents and liquid investments, and total availability under its senior credit facilities of $386.2 million.
Also during the second quarter, Crown Castle purchased 29,614 shares of its 12¾% Senior Exchangeable Preferred Stock for $32.6 million in cash. Subsequent to the end of the second quarter through July 31st, Crown Castle purchased an additional 59,272 shares of its 12¾% Senior Exchangeable Preferred Stock for $65.8 million in cash. After the purchases through July 31, 2003, the 12¾% Senior Exchangeable Preferred Stock due 2010 had an aggregate redemption value of $166.1 million. Crown Castle currently expects to purchase or redeem the remaining 12¾% Senior Exchangeable Preferred Stock outstanding no later than December 15, 2003, the first contractual optional redemption date for such securities.
Pro forma for the previously announced redemption of the 10 5/8% Senior Discount Notes, the issuance of the 4% Convertible Senior Notes and purchases of 12¾% Senior Exchangeable Preferred Stock subsequent to the end of the second quarter, cash and cash equivalents and liquid investments are approximately $392 million.
OUTLOOK
The following statements and outlook table are based on current expectations and assumptions and assume a US dollar to UK pound exchange rate of 1.57 dollars to 1.00 pound and a US dollar to Australian dollar exchange rate of 0.60 US dollars to 1.00 Australian dollar. This Outlook section contains forward-looking statements, and actual results may differ materially. Information regarding potential risks which could cause actual results to differ from the forward-looking statements herein are set forth below and in Crown Castle’s filings with the Securities and Exchange Commission.
Based in part on improvements in working capital and operating results and lower than expected capital expenditures for the first half of 2003, Crown Castle has adjusted certain elements of its previously provided financial guidance for full year 2003, which results in expected free cash flow increasing from between $29 million and $59 million to between $75 million and $95 million for the full year 2003. Crown Castle’s outlook for net cash provided by operating activities is based on interest expense on its existing debt balances and does not include savings from interest expense reductions that Crown Castle expects may be achieved through further debt reductions and refinancings. Crown Castle’s 2003 and 2004 projected net cash provided by operating activities assumes the effect of converting paid-in-kind interest to
News Release continued:
Page 4 of 7
cash pay for the 10 3/8% and 11¼% Senior Discount Notes and the 12¾% Senior Exchangeable Preferred Stock.
The following table sets forth Crown Castle’s current outlook:
(dollars in millions):
| Third Quarter 2003 |
Full Year 2003 |
Full Year 2004 | ||||
| Site rental and broadcast transmission revenue |
191 to 195 | 760 to 765 | 805 to 835 | |||
| Net cash provided by operating activities |
25 to 35 | 200 to 220 | 180 to 210 | |||
| Capital expenditures |
22 to 27 | 87 to 97 | 70 to 90 | |||
| BT site acquisition |
— | 33 | — | |||
| Free cash flow |
0 to 10 | 75 to 95 | 105 to 130 |
CONFERENCE CALL DETAILS
Crown Castle has scheduled a conference call for Friday, August 1, 2003 at 9:30 a.m. eastern time to discuss first quarter results and Crown Castle’s Outlook. Please dial 303-262-2127 and ask for the Crown Castle call at least 10 minutes prior to the start time. A telephonic replay of the conference call will be available through August 8, 2003 and may be accessed by calling 303-590-3000 and using pass code 544827. An audio archive will also be available on Crown Castle’s website at www.crowncastle.com shortly after the call and will be accessible for approximately 90 days. For more information, please contact Karen Roan at DRG&E at 1-713-529-6600 or email kroan@drg-e.com.
News Release continued:
Page 5 of 7
Crown Castle engineers, deploys, owns and operates technologically advanced shared wireless infrastructure, including extensive networks of towers and rooftops as well as analog and digital audio and television broadcast transmission systems. Crown Castle offers near-universal broadcast coverage in the United Kingdom and significant wireless communications coverage to 68 of the top 100 United States markets, to more than 95 percent of the UK population and to more than 92 percent of the Australian population. Crown Castle owns, operates and manages over 15,500 wireless communication sites internationally. For more information on Crown Castle, visit: www.crowncastle.com.
Non-GAAP Financial Measures
This press release includes presentations of Free Cash Flow and Adjusted EBITDA, which are non-GAAP financial measures. Crown Castle defines Free Cash Flow as net cash provided by operating activities less capital expenditures (both amounts from the Consolidated Statement of Cash Flows). Crown Castle defines Adjusted EBITDA as operating income (loss) plus depreciation, amortization and accretion, non-cash general and administrative compensation charges, asset write-down charges and restructuring charges. Free Cash Flow and Adjusted EBITDA are not intended as alternative measures of operating results or cash flow from operations (as determined in accordance with generally accepted accounting principles). Further, our measure of Free Cash Flow and Adjusted EBITDA may not be comparable to similarly titled measures of other companies. Free Cash Flow is presented as additional information because management believes it to be a useful indicator of our ability to execute our business strategy without reliance on additional borrowing or the use of our cash and liquid investments. Adjusted EBITDA is presented as additional information because management believes it to be a useful indicator of the current financial performance of our core businesses. In addition, Adjusted EBITDA is the measure of current financial performance generally used in our debt covenant calculations. The tables set forth below reconcile these non-GAAP financial measures to comparable GAAP financial measures. Our results under GAAP are set forth in the financial statements attached on pages 8 through 10 of this press release.
Reconciliations of Non-GAAP Financial Measures to Comparable GAAP Financial Measures
Free Cash Flow is computed as follows:
| (In thousands of dollars) | For the Three Months Ended |
|||||||
| June 30, 2003 |
June 30, 2002 |
|||||||
| Net cash provided by operating activities |
$ | 94,058 | $ | 53,949 | ||||
| Less: Capital expenditures |
(20,749 | ) | (126,295 | ) | ||||
| Free Cash Flow |
$ | 73,309 | $ | (72,346 | ) | |||
| Forecast Ranges for the Periods | ||||||
| Q3 2003 |
Full Year 2003 |
Full Year 2004 | ||||
| Net cash provided by operating activities |
$25 to 35 | $200 to 220 | $180 to 210 | |||
| Less: Capital expenditures |
$(22) to (27) | $(120) to (130) | $(70) to (90) | |||
| Free Cash Flow |
$0 to 10 | $75 to 95 | $105 to 130 | |||
News Release continued:
Page 6 of 7
Adjusted EBITDA is computed as follows:
| (in thousands of dollars) | Three Months Ended June 30, |
Six Months Ended June 30, |
||||||||||||||
| 2003 |
2002 |
2003 |
2002 |
|||||||||||||
| Net loss |
$ | (80,831 | ) | (68,598 | ) | $ | (149,847 | ) | $ | (171,991 | ) | |||||
| Cumulative effect of change in accounting principle |
— | — | 2,035 | — | ||||||||||||
| Minority interests |
730 | 276 | 1,287 | (3,422 | ) | |||||||||||
| Provision for income taxes |
3,418 | 684 | 7,384 | 5,343 | ||||||||||||
| Interest expense and amortization of deferred financing costs |
72,576 | 76,388 | 145,214 | 152,707 | ||||||||||||
| Interest and other income (expense) |
10,382 | (3,840 | ) | 12,024 | 2,250 | |||||||||||
| Depreciation, amortization and accretion |
80,513 | 76,172 | 160,870 | 147,887 | ||||||||||||
| Non-cash general and administrative compensation charges |
7,695 | 1,326 | 10,126 | 2,640 | ||||||||||||
| Asset write-down charges |
1,380 | 765 | 1,380 | 32,706 | ||||||||||||
| Restructuring charges |
2,349 | 100 | 2,349 | 5,952 | ||||||||||||
| Adjusted EBITDA |
$ | 98,212 | $ | 83,273 | $ | 192,822 | $ | 174,072 | ||||||||
Cautionary Language Regarding Forward-Looking Statements
This press release contains forward-looking statements and information that are based on our management’s current expectations. Such statements include, but are not limited to plans, projections and estimates regarding (i) demand and leasing rates for our sites and towers, (ii) debt and preferred stock refinancings, purchases, redemptions and other reductions, (iii) interest expense, (iv) currency exchange rates, (v) revenues, (vi) net cash provided by operating activities, (vii) capital expenditures, (viii) the outcome of the remaining site acquisition payment to British Telecom, and (ix) free cash flow. Such forward-looking statements are subject to certain risks, uncertainties and assumptions, including but not limited to prevailing market conditions and the following:
| Ø | Our substantial level of indebtedness could adversely affect our ability to react to changes in our business and limit our ability to use debt to fund future capital needs. |
| Ø | If we are unable to service our indebtedness, our indebtedness may be accelerated. |
| Ø | Our business depends on the demand for wireless communications, which has been and may continue to be lower and slower than anticipated. |
| Ø | The continuation of the current economic and telecommunications industry slowdown could materially and adversely affect our business and the business of our customers. |
| Ø | We may be unable to successfully integrate acquired operations or manage our existing operations as we grow. |
| Ø | The loss, consolidation or financial instability of any of our limited number of customers could materially decrease revenues. |
| Ø | Restrictive covenants on our debt instruments may limit our ability to take actions that may be in our best interests. |
| Ø | We operate in a competitive industry and some of our competitors have significantly more resources than we do or have less debt than we do. |
| Ø | Technology changes may significantly reduce the demand for towers and wireless communications sites. |
| Ø | 2.5G/3G and other technologies, including digital terrestrial television, may not deploy or be adopted by customers as rapidly or in the manner projected. |
| Ø | Carrier consolidation or reduced carrier expansion may significantly reduce the demand for towers and wireless communication sites. |
| Ø | Network sharing and other agreements among our customers may act as alternatives to leasing sites from us. |
| Ø | Demand for our network services business is very volatile which causes our network services operating results to vary significantly for any particular period. |
News Release continued:
Page 7 of 7
| Ø | We have historically experienced consolidated net losses, and we anticipate that we will continue to experience consolidated net losses in the foreseeable future. |
| Ø | We may need additional financing for strategic growth opportunities which may not be available. |
| Ø | We generally lease or sublease the land under our sites and towers and may not be able to maintain these leases at commercially viable rates. The loss of any of our ground leases could result in retirement obligations. |
| Ø | Laws and regulations, which could change at any time, govern our business and industry, and we could fail to comply with these laws and regulations. |
| Ø | We could suffer from future claims if radio frequency emissions from equipment on our sites and towers are demonstrated to cause negative health effects. |
| Ø | Our international operations expose us to changes in foreign currency exchange rates. |
| Ø | We are heavily dependent on our senior management. |
| Ø | Certain provisions of our certificate of incorporation, bylaws and operative agreements and domestic and international competition laws could make it more difficult for a third party to acquire control of us or for us to acquire control of a third party, even if such a change in control would be beneficial to our stockholders. |
| Ø | Sales or issuances, including as dividends, of a substantial number of shares of our common stock could adversely affect the market price of our common stock. |
| Ø | Disputes with customers and suppliers may adversely affect results. |
| Ø | The carrying value of our sites and related goodwill may be subject to impairment in the future if we are unable to add sufficient additional tenants to the sites. |
Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those expected. More information about potential risk factors that could affect our results is included in our filings with the Securities and Exchange Commission.
[CROWN CASTLE INTERNATIONAL LOGO]
CROWN CASTLE INTERNATIONAL CORP.
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
AND OTHER FINANCIAL DATA
(in thousands, except per share data)
| Three Months Ended June 30, |
Six Months Ended June 30, |
|||||||||||||||
| 2003 |
2002 |
2003 |
2002 |
|||||||||||||
| Net revenues: |
||||||||||||||||
| Site rental and broadcast transmission |
$ | 189,470 | $ | 171,952 | $ | 374,430 | $ | 332,216 | ||||||||
| Network services and other |
34,731 | 53,579 | 66,495 | 113,932 | ||||||||||||
| Total net revenues |
224,201 | 225,531 | 440,925 | 446,148 | ||||||||||||
| Costs of operations: |
||||||||||||||||
| Site rental and broadcast transmission |
73,680 | 65,946 | 147,040 | 128,012 | ||||||||||||
| Network services and other |
27,253 | 45,847 | 52,195 | 89,572 | ||||||||||||
| Total costs of operations |
100,933 | 111,793 | 199,235 | 217,584 | ||||||||||||
| General and administrative |
24,138 | 28,732 | 46,330 | 50,520 | ||||||||||||
| Corporate development |
918 | 1,733 | 2,538 | 3,972 | ||||||||||||
| Restructuring charges |
2,349 | 100 | 2,349 | 5,952 | ||||||||||||
| Asset write-down charges |
1,380 | 765 | 1,380 | 32,706 | ||||||||||||
| Non-cash general and administrative compensation charges |
7,695 | 1,326 | 10,126 | 2,640 | ||||||||||||
| Depreciation, amortization and accretion |
80,513 | 76,172 | 160,870 | 147,887 | ||||||||||||
| Operating income (loss) |
6,275 | 4,910 | 18,097 | (15,113 | ) | |||||||||||
| Interest and other income (expense) |
(10,382 | ) | 3,840 | (12,024 | ) | (2,250 | ) | |||||||||
| Interest expense and amortization of deferred financing costs |
(72,576 | ) | (76,388 | ) | (145,214 | ) | (152,707 | ) | ||||||||
| Loss before income taxes, minority interests and cumulative effect of change in accounting principle |
(76,683 | ) | (67,638 | ) | (139,141 | ) | (170,070 | ) | ||||||||
| Provision for income taxes |
(3,418 | ) | (684 | ) | (7,384 | ) | (5,343 | ) | ||||||||
| Minority interests |
(730 | ) | (276 | ) | (1,287 | ) | 3,422 | |||||||||
| Loss before cumulative effect of change in accounting principle |
(80,831 | ) | (68,598 | ) | (147,812 | ) | (171,991 | ) | ||||||||
| Cumulative effect of change in accounting principle for asset retirement obligations, net of related tax benefit of $636 |
— | — | (2,035 | ) | — | |||||||||||
| Net loss |
(80,831 | ) | (68,598 | ) | (149,847 | ) | (171,991 | ) | ||||||||
| Dividends on preferred stock, net of gains (losses) on repurchases of preferred stock |
(20,081 | ) | (20,861 | ) | (34,452 | ) | (40,966 | ) | ||||||||
| Net loss after deduction of dividends on preferred stock, net of gains (losses) on repurchases of preferred stock |
$ | (100,912 | ) | $ | (89,459 | ) | $ | (184,299 | ) | $ | (212,957 | ) | ||||
| Per common share—basic and diluted: |
||||||||||||||||
| Loss before cumulative effect of change in accounting principle |
$ | (0.47 | ) | $ | (0.41 | ) | $ | (0.84 | ) | $ | (0.97 | ) | ||||
| Cumulative effect of change in accounting principle |
— | — | (0.01 | ) | — | |||||||||||
| Net loss |
$ | (0.47 | ) | $ | (0.41 | ) | $ | (0.85 | ) | $ | (0.97 | ) | ||||
| Common shares outstanding—basic and diluted |
215,969 | 220,897 | 216,464 | 220,159 | ||||||||||||
| Adjusted EBITDA (before restructuring and asset write-down charges): |
||||||||||||||||
| Site rental and broadcast transmission |
$ | 107,719 | $ | 94,354 | $ | 211,868 | $ | 185,019 | ||||||||
| Network services and other (before corporate development expenses) |
(8,589 | ) | (9,348 | ) | (16,508 | ) | (6,975 | ) | ||||||||
| Adjusted EBITDA before corporate development expenses |
99,130 | 85,006 | 195,360 | 178,044 | ||||||||||||
| Corporate development |
(918 | ) | (1,733 | ) | (2,538 | ) | (3,972 | ) | ||||||||
| Total Adjusted EBITDA |
$ | 98,212 | $ | 83,273 | $ | 192,822 | $ | 174,072 | ||||||||
[CROWN CASTLE INTERNATIONAL LOGO]
CROWN CASTLE INTERNATIONAL CORP.
CONDENSED CONSOLIDATED BALANCE SHEET
(in thousands)
| June 30, 2003 |
December 31, 2002 | |||||
| ASSETS |
||||||
| Current assets: |
||||||
| Cash and cash equivalents |
$ | 459,702 | $ | 516,172 | ||
| Receivables, net of allowance for doubtful accounts |
84,564 | 135,864 | ||||
| Short-term investments |
63,456 | 115,697 | ||||
| Inventories |
36,629 | 45,616 | ||||
| Prepaid expenses and other current assets |
62,396 | 53,732 | ||||
| Total current assets |
706,747 | 867,081 | ||||
| Property and equipment, net of accumulated depreciation |
4,770,377 | 4,828,033 | ||||
| Goodwill |
1,137,564 | 1,067,041 | ||||
| Deferred financing costs and other assets, net of accumulated amortization |
139,633 | 130,446 | ||||
| $ | 6,754,321 | $ | 6,892,601 | |||
| LIABILITIES AND STOCKHOLDERS’ EQUITY |
||||||
| Current liabilities: |
||||||
| Accounts payable |
$ | 41,537 | $ | 63,852 | ||
| Accrued interest |
49,944 | 59,811 | ||||
| Accrued compensation and related benefits |
10,109 | 14,661 | ||||
| Deferred rental revenues and other accrued liabilities |
252,882 | 208,195 | ||||
| Long-term debt, current maturities |
28,375 | 14,250 | ||||
| Total current liabilities |
382,847 | 360,769 | ||||
| Long-term debt, less current maturities |
3,158,463 | 3,212,710 | ||||
| Other liabilities |
197,435 | 183,227 | ||||
| Total liabilities |
3,738,745 | 3,756,706 | ||||
| Minority interests |
202,115 | 171,383 | ||||
| Redeemable preferred stock |
729,937 | 756,014 | ||||
| Stockholders’ equity |
2,083,524 | 2,208,498 | ||||
| $ | 6,754,321 | $ | 6,892,601 | |||
[CROWN CASTLE INTERNATIONAL LOGO]
CROWN CASTLE INTERNATIONAL CORP.
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
(in thousands)
| Three Months Ended June 30, |
||||||||
| 2003 |
2002 |
|||||||
| Cash flows from operating activities: |
||||||||
| Net loss |
$ | (80,831 | ) | $ | (68,598 | ) | ||
| Adjustments to reconcile net loss to net cash provided by operating activities: |
||||||||
| Depreciation, amortization and accretion |
80,513 | 76,172 | ||||||
| Amortization of deferred financing costs and discounts on long-term debt |
17,741 | 24,943 | ||||||
| Equity in losses (earnings) and write-downs of unconsolidated affiliates |
1,380 | 6,294 | ||||||
| Non-cash general and administrative compensation charges |
7,695 | 1,326 | ||||||
| Minority interests and loss on issuance of additional interest in joint venture |
8,844 | 276 | ||||||
| Asset write-down charges |
1,380 | 765 | ||||||
| Changes in assets and liabilities: |
||||||||
| Increase (decrease) in deferred rental revenues and other liabilities |
(5,168 | ) | 3,400 | |||||
| Decrease in receivables |
51,353 | 20,163 | ||||||
| Increase in accrued interest |
18,653 | 8,791 | ||||||
| Decrease in accounts payable |
(10,884 | ) | (18,984 | ) | ||||
| (Increase) decrease in inventories, prepaid expenses and other assets |
3,382 | (599 | ) | |||||
| Net cash provided by operating activities |
94,058 | 53,949 | ||||||
| Cash flows from investing activities: |
||||||||
| Maturities of investments |
14,808 | 57,000 | ||||||
| Acquisition of minority interest in joint venture |
(5,873 | ) | — | |||||
| Purchases of investments |
— | (36,997 | ) | |||||
| Capital expenditures |
(20,749 | ) | (126,295 | ) | ||||
| Investments in affiliates and other |
(12,973 | ) | (18,176 | ) | ||||
| Net cash used for investing activities |
(24,787 | ) | (124,468 | ) | ||||
| Cash flows from financing activities: |
||||||||
| Proceeds from issuance of capital stock |
896 | 329 | ||||||
| Net borrowings (payments) under revolving credit agreements |
(50,590 | ) | — | |||||
| Principle payments on long-term debt |
(4,750 | ) | (15,245 | ) | ||||
| Purchases of capital stock |
(38,688 | ) | (3,996 | ) | ||||
| Net cash provided by (used for) financing activities |
(93,132 | ) | (18,912 | ) | ||||
| Effect of exchange rate changes on cash |
6,613 | 10,788 | ||||||
| Net decrease in cash and cash equivalents |
(17,248 | ) | (78,643 | ) | ||||
| Cash and cash equivalents at beginning of period |
476,950 | 780,018 | ||||||
| Cash and cash equivalents at end of period |
$ | 459,702 | $ | 701,375 | ||||
| Supplemental disclosure of cash flow information: |
||||||||
| Interest paid |
$ | 34,428 | $ | 42,811 | ||||
| Income taxes paid |
126 | 101 | ||||||
CROWN CASTLE INTERNATIONAL CORP.
Summary Fact Sheet
(in $ thousands)
| Quarter Ended 06/30/02 |
||||||||||||
| US |
UK |
AUS |
CCIC |
|||||||||
| Revenues |
||||||||||||
| Site Rental |
103,373 | 62,409 | 6,170 | 171,952 | ||||||||
| Services |
44,069 | 8,934 | 576 | 53,579 | ||||||||
| Total Revenues |
147,442 | 71,343 | 6,746 | 225,531 | ||||||||
| Operating Expenses |
||||||||||||
| Site Rental |
35,622 | 28,235 | 2,089 | 65,946 | ||||||||
| Services |
35,339 | 10,150 | 358 | 45,847 | ||||||||
| Total Operating Expenses |
70,961 | 38,385 | 2,447 | 111,793 | ||||||||
| General & Administrative |
||||||||||||
| Site Rental |
5,574 | 4,560 | 1,518 | 11,652 | ||||||||
| Services |
15,294 | 1,786 | — | 17,080 | ||||||||
| Total General & Administrative |
20,868 | 6,346 | 1,518 | 28,732 | ||||||||
| Operating Cash Flow |
||||||||||||
| Site Rental |
62,177 | 29,614 | 2,563 | 94,354 | ||||||||
| Services |
(6,564 | ) | (3,002 | ) | 218 | (9,348 | ) | |||||
| Total Pre-Overhead |
||||||||||||
| Cash Flow |
55,613 | 26,612 | 2,781 | 85,006 | ||||||||
| Corporate Overhead |
1,733 | — | — | 1,733 | ||||||||
| Adjusted EBITDA |
53,880 | 26,612 | 2,781 | 83,273 | ||||||||
| Quarter Ended 06/30/02 |
||||||||||||
| US |
UK |
AUS |
CCIC |
|||||||||
| Gross Margins: |
||||||||||||
| Site Rental |
66 | % | 55 | % | 66 | % | 62 | % | ||||
| Services |
20 | % | -14 | % | 38 | % | 14 | % | ||||
| Operating Cash Flow Margins |
||||||||||||
| Site Rental |
60 | % | 47 | % | 42 | % | 55 | % | ||||
| Services |
-15 | % | -34 | % | 38 | % | -17 | % | ||||
| Adjusted EBITDA Margin |
37 | % | 37 | % | 41 | % | 37 | % | ||||
| Quarter Ended 09/30/02 |
||||||||||||
| US |
UK |
AUS |
CCIC |
|||||||||
| Revenues |
||||||||||||
| Site Rental |
104,763 | 55,230 | 6,350 | 166,343 | ||||||||
| Services |
41,228 | 19,226 | 627 | 61,081 | ||||||||
| Total Revenues |
145,991 | 74,456 | 6,977 | 227,424 | ||||||||
| Operating Expenses |
||||||||||||
| Site Rental |
39,707 | 28,743 | 2,141 | 70,591 | ||||||||
| Services |
31,960 | 15,009 | 419 | 47,388 | ||||||||
| Total Operating Expenses |
71,667 | 43,752 | 2,560 | 117,979 | ||||||||
| General & Administrative |
||||||||||||
| Site Rental |
5,037 | 924 | 1,328 | 7,289 | ||||||||
| Services |
13,754 | 418 | — | 14,172 | ||||||||
| Total General & Administrative |
18,791 | 1,342 | 1,328 | 21,461 | ||||||||
| Operating Cash Flow |
||||||||||||
| Site Rental |
60,019 | 25,563 | 2,881 | 88,463 | ||||||||
| Services |
(4,486 | ) | 3,799 | 208 | (479 | ) | ||||||
| Total Pre-Overhead |
||||||||||||
| Cash Flow |
55,533 | 29,362 | 3,089 | 87,984 | ||||||||
| Corporate Overhead |
2,060 | — | — | 2,060 | ||||||||
| Adjusted EBITDA |
53,473 | 29,362 | 3,089 | 85,924 | ||||||||
| Quarter Ended 09/30/02 |
||||||||||||
| US |
UK |
AUS |
CCIC |
|||||||||
| Gross Margins: |
||||||||||||
| Site Rental |
62 | % | 48 | % | 66 | % | 58 | % | ||||
| Services |
22 | % | 22 | % | 33 | % | 22 | % | ||||
| Operating Cash Flow Margins |
||||||||||||
| Site Rental |
57 | % | 46 | % | 45 | % | 53 | % | ||||
| Services |
-11 | % | 20 | % | 33 | % | -1 | % | ||||
| Adjusted EBITDA Margin |
37 | % | 39 | % | 44 | % | 38 | % | ||||
| Quarter Ended 12/31/02 |
||||||||||||
| US |
UK |
AUS |
CCIC |
|||||||||
| Revenues |
||||||||||||
| Site Rental |
108,023 | 65,248 | 6,009 | 179,280 | ||||||||
| Services |
27,651 | 20,372 | 658 | 48,681 | ||||||||
| Total Revenues |
135,674 | 85,620 | 6,667 | 227,961 | ||||||||
| Operating Expenses |
||||||||||||
| Site Rental |
37,080 | 31,888 | 2,453 | 71,421 | ||||||||
| Services |
21,914 | 16,850 | 451 | 39,215 | ||||||||
| Total Operating Expenses |
58,994 | 48,738 | 2,904 | 110,636 | ||||||||
| General & Administrative |
||||||||||||
| Site Rental |
4,797 | 392 | 1,661 | 6,850 | ||||||||
| Services |
15,220 | 171 | — | 15,391 | ||||||||
| Total General & Administrative |
20,017 | 563 | 1,661 | 22,241 | ||||||||
| Operating Cash Flow |
||||||||||||
| Site Rental |
66,146 | 32,968 | 1,895 | 101,009 | ||||||||
| Services |
(9,483 | ) | 3,351 | 207 | (5,925 | ) | ||||||
| Total Pre-Overhead Cash Flow |
56,663 | 36,319 | 2,102 | 95,084 | ||||||||
| Corporate Overhead |
1,451 | — | — | 1,451 | ||||||||
| Adjusted EBITDA |
55,212 | 36,319 | 2,102 | 93,633 | ||||||||
| Quarter Ended 12/31/02 |
||||||||||||
| US |
UK |
AUS |
CCIC |
|||||||||
| Gross Margins: |
||||||||||||
| Site Rental |
66 | % | 51 | % | 59 | % | 60 | % | ||||
| Services |
21 | % | 17 | % | 31 | % | 19 | % | ||||
| Operating Cash Flow Margins |
||||||||||||
| Site Rental |
61 | % | 51 | % | 32 | % | 56 | % | ||||
| Services |
-34 | % | 16 | % | 31 | % | -12 | % | ||||
| Adjusted EBITDA Margin |
41 | % | 42 | % | 32 | % | 41 | % | ||||
| Quarter Ended 3/31/03 |
||||||||||||
| US |
UK |
AUS |
CCIC |
|||||||||
| Revenues |
||||||||||||
| Site Rental |
107,849 | 71,125 | 5,986 | 184,960 | ||||||||
| Services |
16,135 | 14,845 | 784 | 31,764 | ||||||||
| Total Revenues |
123,984 | 85,970 | 6,770 | 216,724 | ||||||||
| Operating Expenses |
||||||||||||
| Site Rental |
38,325 | 32,752 | 2,283 | 73,360 | ||||||||
| Services |
11,036 | 13,331 | 575 | 24,942 | ||||||||
| Total Operating Expenses |
49,361 | 46,083 | 2,858 | 98,302 | ||||||||
| General & Administrative |
||||||||||||
| Site Rental |
4,579 | 1,172 | 1,700 | 7,451 | ||||||||
| Services |
14,239 | 502 | — | 14,741 | ||||||||
| Total General & Administrative |
18,818 | 1,674 | 1,700 | 22,192 | ||||||||
| Operating Cash Flow |
||||||||||||
| Site Rental |
64,945 | 37,201 | 2,003 | 104,149 | ||||||||
| Services |
(9,140 | ) | 1,012 | 209 | (7,919 | ) | ||||||
| Total Pre-Overhead |
||||||||||||
| Cash Flow |
55,805 | 38,213 | 2,212 | 96,230 | ||||||||
| Corporate Overhead |
1,620 | — | — | 1,620 | ||||||||
| Adjusted EBITDA |
54,185 | 38,213 | 2,212 | 94,610 | ||||||||
| Quarter Ended 3/31/03 |
||||||||||||
| US |
UK |
AUS |
CCIC |
|||||||||
| Gross Margins: |
||||||||||||
| Site Rental |
64 | % | 54 | % | 62 | % | 60 | % | ||||
| Services |
32 | % | 10 | % | 27 | % | 21 | % | ||||
| Operating Cash Flow Margins |
||||||||||||
| Site Rental |
60 | % | 52 | % | 33 | % | 56 | % | ||||
| Services |
-57 | % | 7 | % | 27 | % | -25 | % | ||||
| Adjusted EBITDA Margin |
44 | % | 44 | % | 33 | % | 44 | % | ||||
| Quarter Ended 6/30/03 |
||||||||||||
| US |
UK |
AUS |
CCIC |
|||||||||
| Revenues |
||||||||||||
| Site Rental |
110,504 | 72,824 | 6,142 | 189,470 | ||||||||
| Services |
18,771 | 15,102 | 858 | 34,731 | ||||||||
| Total Revenues |
129,275 | 87,926 | 7,000 | 224,201 | ||||||||
| Operating Expenses |
||||||||||||
| Site Rental |
37,502 | 33,695 | 2,483 | 73,680 | ||||||||
| Services |
12,234 | 14,434 | 585 | 27,253 | ||||||||
| Total Operating Expenses |
49,736 | 48,129 | 3,068 | 100,933 | ||||||||
| General & Administrative |
||||||||||||
| Site Rental |
5,080 | 1,343 | 1,648 | 8,071 | ||||||||
| Services |
15,492 | 575 | — | 16,067 | ||||||||
| Total General & Administrative |
20,572 | 1,918 | 1,648 | 24,138 | ||||||||
| Operating Cash Flow |
||||||||||||
| Site Rental |
67,922 | 37,786 | 2,011 | 107,719 | ||||||||
| Services |
(8,955 | ) | 93 | 273 | (8,589 | ) | ||||||
| Total Pre-Overhead Cash Flow |
58,967 | 37,879 | 2,284 | 99,130 | ||||||||
| Corporate Overhead |
918 | — | — | 918 | ||||||||
| Adjusted EBITDA |
58,049 | 37,879 | 2,284 | 98,212 | ||||||||
| Quarter Ended 6/30/03 |
||||||||||||
| US |
UK |
AUS |
CCIC |
|||||||||
| Gross Margins: |
||||||||||||
| Site Rental |
66 | % | 54 | % | 60 | % | 61 | % | ||||
| Services |
35 | % | 4 | % | 32 | % | 22 | % | ||||
| Operating Cash Flow Margins |
||||||||||||
| Site Rental |
61 | % | 52 | % | 33 | % | 57 | % | ||||
| Services |
-48 | % | 1 | % | 32 | % | -25 | % | ||||
| Adjusted EBITDA Margin |
45 | % | 43 | % | 33 | % | 44 | % | ||||
CROWN CASTLE INTERNATIONAL CORP.
Summary Fact Sheet
Restricted and Unrestricted Subsidiaries
(in $ thousands)
| Quarter Ended 06/30/02 |
|||||||||||||||
| Restricted |
UK |
Crown Atlantic |
Other |
CCIC |
|||||||||||
| Revenues |
|||||||||||||||
| Site Rental |
86,491 | 62,409 | 23,052 | — | 171,952 | ||||||||||
| Services |
38,081 | 8,934 | 6,564 | — | 53,579 | ||||||||||
| Total Revenues |
124,572 | 71,343 | 29,616 | — | 225,531 | ||||||||||
| Operating Expenses |
|||||||||||||||
| Site Rental |
28,951 | 28,235 | 8,760 | — | 65,946 | ||||||||||
| Services |
31,076 | 10,150 | 4,621 | — | 45,847 | ||||||||||
| Total Operating Expenses |
60,027 | 38,385 | 13,381 | — | 111,793 | ||||||||||
| General & Administrative |
|||||||||||||||
| Site Rental |
6,787 | 4,560 | 305 | — | 11,652 | ||||||||||
| Services |
14,517 | 1,786 | 688 | 89 | 17,080 | ||||||||||
| Total General & Administrative |
21,304 | 6,346 | 993 | 89 | 28,732 | ||||||||||
| Operating Cash Flow |
|||||||||||||||
| Site Rental |
50,753 | 29,614 | 13,987 | — | 94,354 | ||||||||||
| Services |
(7,512 | ) | (3,002 | ) | 1,255 | (89 | ) | (9,348 | ) | ||||||
| Total Pre-Overhead Cash Flow |
43,241 | 26,612 | 15,242 | (89 | ) | 85,006 | |||||||||
| Corporate Overhead |
1,733 | — | — | — | 1,733 | ||||||||||
| Adjusted EBITDA |
41,508 | 26,612 | 15,242 | (89 | ) | 83,273 | |||||||||
| Quarter Ended 06/30/02 |
|||||||||||||||
| Restricted |
UK |
Crown Atlantic |
Other |
CCIC |
|||||||||||
| Gross Margins: |
|||||||||||||||
| Site Rental |
67 | % | 55 | % | 62 | % | — | 62 | % | ||||||
| Services |
18 | % | -14 | % | 30 | % | — | 14 | % | ||||||
| Operating Cash Flow Margins |
|||||||||||||||
| Site Rental |
59 | % | 47 | % | 61 | % | — | 55 | % | ||||||
| Services |
-20 | % | -34 | % | 19 | % | — | -17 | % | ||||||
| Adjusted EBITDA Margin |
33 | % | 37 | % | 51 | % | N/A | 37 | % | ||||||
| Quarter Ended 09/30/02 |
|||||||||||||||
| Restricted |
UK |
Crown Atlantic |
Other |
CCIC |
|||||||||||
| Revenues |
|||||||||||||||
| Site Rental |
87,300 | 55,230 | 23,813 | — | 166,343 | ||||||||||
| Services |
34,658 | 19,226 | 7,197 | — | 61,081 | ||||||||||
| Total Revenues |
121,958 | 74,456 | 31,010 | — | 227,424 | ||||||||||
| Operating Expenses |
|||||||||||||||
| Site Rental |
32,380 | 28,743 | 9,468 | — | 70,591 | ||||||||||
| Services |
29,082 | 15,009 | 3,297 | — | 47,388 | ||||||||||
| Total Operating Expenses |
61,462 | 43,752 | 12,765 | — | 117,979 | ||||||||||
| General & Administrative |
|||||||||||||||
| Site Rental |
5,943 | 924 | 422 | 7,289 | |||||||||||
| Services |
12,356 | 418 | 906 | 492 | 14,172 | ||||||||||
| Total General & Administrative |
18,299 | 1,342 | 1,328 | 492 | 21,461 | ||||||||||
| Operating Cash Flow |
|||||||||||||||
| Site Rental |
48,977 | 25,563 | 13,923 | 88,463 | |||||||||||
| Services |
(6,780 | ) | 3,799 | 2,994 | (492 | ) | (479 | ) | |||||||
| Total Pre-Overhead Cash Flow |
42,197 | 29,362 | 16,917 | (492 | ) | 87,984 | |||||||||
| Corporate Overhead |
2,060 | — | — | — | 2,060 | ||||||||||
| Adjusted EBITDA |
40,137 | 29,362 | 16,917 | (492 | ) | 85,924 | |||||||||
| Quarter Ended 09/30/02 |
|||||||||||||||
| Restricted |
UK |
Crown Atlantic |
Other |
CCIC |
|||||||||||
| Gross Margins: |
|||||||||||||||
| Site Rental |
63 | % | 48 | % | 60 | % | — | 58 | % | ||||||
| Services |
16 | % | 22 | % | 54 | % | — | 22 | % | ||||||
| Operating Cash Flow Margins |
|||||||||||||||
| Site Rental |
56 | % | 46 | % | 58 | % | — | 53 | % | ||||||
| Services |
-20 | % | 20 | % | 42 | % | — | -1 | % | ||||||
| Adjusted EBITDA Margin |
33 | % | 39 | % | 55 | % | N/A | 38 | % | ||||||
| Quarter Ended 12/31/02 |
|||||||||||||||
| Restricted |
UK |
Crown Atlantic |
Other |
CCIC |
|||||||||||
| Revenues |
|||||||||||||||
| Site Rental |
89,684 | 65,248 | 24,348 | — | 179,280 | ||||||||||
| Services |
22,663 | 20,372 | 5,646 | — | 48,681 | ||||||||||
| Total Revenues |
112,347 | 85,620 | 29,994 | — | 227,961 | ||||||||||
| Operating Expenses |
|||||||||||||||
| Site Rental |
29,898 | 31,888 | 9,635 | — | 71,421 | ||||||||||
| Services |
19,991 | 16,850 | 2,374 | — | 39,215 | ||||||||||
| Total Operating Expenses |
49,889 | 48,738 | 12,009 | — | 110,636 | ||||||||||
| General & Administrative |
|||||||||||||||
| Site Rental |
6,006 | 392 | 452 | — | 6,850 | ||||||||||
| Services |
12,758 | 171 | 1,015 | 1,447 | 15,391 | ||||||||||
| Total General & Administrative |
18,764 | 563 | 1,467 | 1,447 | 22,241 | ||||||||||
| Operating Cash Flow |
|||||||||||||||
| Site Rental |
53,780 | 32,968 | 14,261 | — | 101,009 | ||||||||||
| Services |
(10,086 | ) | 3,351 | 2,257 | (1,447 | ) | (5,925 | ) | |||||||
| Total Pre-Overhead Cash Flow |
43,694 | 36,319 | 16,518 | (1,447 | ) | 95,084 | |||||||||
| Corporate Overhead |
1,451 | — | — | — | 1,451 | ||||||||||
| Adjusted EBITDA |
42,243 | 36,319 | 16,518 | (1,447 | ) | 93,633 | |||||||||
| Quarter Ended 12/31/02 |
|||||||||||||||
| Restricted |
UK |
Crown Atlantic |
Other |
CCIC |
|||||||||||
| Gross Margins: |
|||||||||||||||
| Site Rental |
67 | % | 51 | % | 60 | % | — | 60 | % | ||||||
| Services |
12 | % | 17 | % | 58 | % | — | 19 | % | ||||||
| Operating Cash Flow Margins |
|||||||||||||||
| Site Rental |
60 | % | 51 | % | 59 | % | — | 56 | % | ||||||
| Services |
-45 | % | 16 | % | 40 | % | — | -12 | % | ||||||
| Adjusted EBITDA Margin |
38 | % | 42 | % | 55 | % | N/A | 41 | % | ||||||
| Quarter Ended 3/31/03 |
|||||||||||||||
| Restricted |
UK |
Crown Atlantic |
Other |
CCIC |
|||||||||||
| Revenues |
|||||||||||||||
| Site Rental |
88,885 | 71,125 | 24,950 | — | 184,960 | ||||||||||
| Services |
14,236 | 14,845 | 2,683 | — | 31,764 | ||||||||||
| Total Revenues |
103,121 | 85,970 | 27,633 | — | 216,724 | ||||||||||
| Operating Expenses |
|||||||||||||||
| Site Rental |
30,887 | 32,752 | 9,721 | — | 73,360 | ||||||||||
| Services |
9,894 | 13,331 | 1,717 | — | 24,942 | ||||||||||
| Total Operating Expenses |
40,781 | 46,083 | 11,438 | — | 98,302 | ||||||||||
| General & Administrative |
|||||||||||||||
| Site Rental |
5,759 | 1,172 | 520 | — | 7,451 | ||||||||||
| Services |
11,861 | 502 | 1,101 | 1,277 | 14,741 | ||||||||||
| Total General & Administrative |
17,620 | 1,674 | 1,621 | 1,277 | 22,192 | ||||||||||
| Operating Cash Flow |
|||||||||||||||
| Site Rental |
52,239 | 37,201 | 14,709 | — | 104,149 | ||||||||||
| Services |
(7,519 | ) | 1,012 | (135 | ) | (1,277 | ) | (7,919 | ) | ||||||
| Total Pre-Overhead Cash Flow |
44,720 | 38,213 | 14,574 | (1,277 | ) | 96,230 | |||||||||
| Corporate Overhead |
1,620 | — | — | — | 1,620 | ||||||||||
| Adjusted EBITDA |
43,100 | 38,213 | 14,574 | (1,277 | ) | 94,610 | |||||||||
| Quarter Ended 3/31/03 |
|||||||||||||||
| Restricted |
UK |
Crown Atlantic |
Other |
CCIC |
|||||||||||
| Gross Margins: |
|||||||||||||||
| Site Rental |
65 | % | 54 | % | 61 | % | — | 60 | % | ||||||
| Services |
31 | % | 10 | % | 36 | % | — | 21 | % | ||||||
| Operating Cash Flow Margins |
|||||||||||||||
| Site Rental |
59 | % | 52 | % | 59 | % | — | 56 | % | ||||||
| Services |
-53 | % | 7 | % | -5 | % | — | -25 | % | ||||||
| Adjusted EBITDA Margin |
42 | % | 44 | % | 53 | % | N/A | 44 | % | ||||||
| Quarter Ended 6/30/03 |
|||||||||||||||
| Restricted |
UK |
Crown Atlantic |
Other |
CCIC |
|||||||||||
| Revenues |
|||||||||||||||
| Site Rental |
91,344 | 72,824 | 25,302 | — | 189,470 | ||||||||||
| Services |
15,556 | 15,102 | 4,073 | — | 34,731 | ||||||||||
| Total Revenues |
106,900 | 87,926 | 29,375 | — | 224,201 | ||||||||||
| Operating Expenses |
|||||||||||||||
| Site Rental |
30,877 | 33,695 | 9,108 | 73,680 | |||||||||||
| Services |
10,473 | 14,434 | 2,346 | 27,253 | |||||||||||
| Total Operating Expenses |
40,781 | 48,129 | 11,454 | — | 100,364 | ||||||||||
| General & Administrative |
|||||||||||||||
| Site Rental |
6,209 | 1,343 | 519 | — | 8,071 | ||||||||||
| Services |
13,405 | 575 | 984 | 1,103 | 16,067 | ||||||||||
| Total General & Administrative |
17,620 | 1,918 | 1,503 | 1,103 | 22,144 | ||||||||||
| Operating Cash Flow |
|||||||||||||||
| Site Rental |
54,258 | 37,786 | 15,675 | — | 107,719 | ||||||||||
| Services |
(8,322 | ) | 93 | 743 | (1,103 | ) | (8,589 | ) | |||||||
| Total Pre-Overhead Cash Flow |
45,936 | 37,879 | 16,418 | (1,103 | ) | 99,130 | |||||||||
| Corporate Overhead |
918 | — | — | — | 918 | ||||||||||
| Adjusted EBITDA |
45,018 | 37,879 | 16,418 | (1,103 | ) | 98,212 | |||||||||
| Quarter Ended 6/30/03 |
|||||||||||||||
| Restricted |
UK |
Crown Atlantic |
Other |
CCIC |
|||||||||||
| Gross Margins: |
|||||||||||||||
| Site Rental |
66 | % | 54 | % | 64 | % | — | 61 | % | ||||||
| Services |
33 | % | 4 | % | 42 | % | — | 22 | % | ||||||
| Operating Cash Flow Margins |
|||||||||||||||
| Site Rental |
59 | % | 52 | % | 62 | % | — | 57 | % | ||||||
| Services |
-53 | % | 1 | % | 18 | % | — | -25 | % | ||||||
| Adjusted EBITDA Margin |
42 | % | 43 | % | 56 | % | N/A | 44 | % | ||||||
CCI FACT SHEET Q2 2003
$ in thousands
| Q2 ’02 |
Q2 ’03 |
% Change |
|||||||
| CCUSA and Crown Atlantic |
|||||||||
| Site Rental Revenue |
$ | 103,373 | $ | 110,504 | 7 | % | |||
| Ending Sites |
10,769 | 10,787 | 0 | % | |||||
| CCUK |
|||||||||
| Site Rental & Broadcast Transmission Revenue |
$ | 62,409 | $ | 72,824 | 17 | % | |||
| Ending Sites |
3,291 | 3,441 | 5 | % | |||||
| CCAUS |
|||||||||
| Site Rental Revenue |
$ | 6,170 | $ | 6,142 | 0 | % | |||
| Ending Sites |
1,402 | 1,387 | -1 | % | |||||
| TOTAL CCIC |
|||||||||
| Site Rental & Broadcast Transmission Revenue |
$ | 171,952 | $ | 189,470 | 10 | % | |||
| Ending Sites |
15,462 | 15,615 | 1 | % | |||||
| Ending Cash and Investments |
$ | 845,335 | $ | 523,158 | |||||
| Debt |
|||||||||
| Bank Debt |
$ | 1,165,439 | $ | 1,019,424 | |||||
| Bonds |
$ | 2,303,528 | $ | 2,167,414 | |||||
| 12 3/4% Preferred Stock |
$ | 311,968 | $ | 223,904 | |||||
| 6 1/4% & 8 1/4% Convertible Preferred Stock |
$ | 586,662 | $ | 506,033 | |||||
| Total Debt |
$ | 4,367,597 | $ | 3,916,775 | |||||
| Leverage Ratios |
|||||||||
| Net Bank Debt / EBITDA* |
1.0X | 1.3X | |||||||
| Net Bank Debt + Bonds + Preferred / EBITDA* |
8.8X | 7.4X | |||||||
| Total Net Debt / EBITDA* |
10.6X | 8.6X | |||||||
| *Last Quarter Annualized Adjusted EBITDA |
$ | 333,092 | $ | 392,848 | |||||