Metromedia International Group Reports First Quarter 2001 Results; Combined Revenues of Communications Group Increase 14%
NEW YORK--(BUSINESS WIRE)--May 16, 2001--Metromedia International Group, Inc. (the Company) (AMEX:MMG), which through Metromedia International Telecommunications, Inc. (MITI), is the owner of various interests in communications joint ventures in Eastern Europe, the former Soviet Union and other emerging markets, today reported operating results for the first quarter ended March 31, 2001.
For the quarter ended March 31, 2001, the Company reported a net loss attributable to common stockholders of $27.7 million, or $0.29 per share, on consolidated revenues of $86.8 million. This compares to a net loss attributable to common stockholders of $20.3 million, or $0.22 per share, on consolidated revenues of $81.4 million for the quarter ended March 31, 2000. The 2000 results included a pre-tax gain of $2.5 million representing the gain realized on the buyout of options to acquire an indirect interest in Telecominvest, a holding company with diverse telecommunications interests in northwest Russia.
For the three months ended March 31, 2001, MITI contributed $32.9 million of the Company's total first quarter 2001 consolidated revenues as compared to $31.2 million for the same period in 2000.
Other highlights for MITI were as follows:
-- Subscribers at March 31, 2001 (1) - 781,375 (3/31/00: 746,234)
-- Combined revenues for Q1 2001 - $74.5 million (Q1 2000: $65.5
million)
-- Combined EBITDA for Q1 2001 (2) - $13.6 million (Q1 2000:
14.3 million)
(1) First quarter 2001 includes the subscribers of Comstar, in which the Company acquired a 50% interest in December, 2000. First quarters 2001 and 2000 exclude the subscribers of Baltcom GSM, in which the Company sold its interest in October 2000, and the subscribers of the majority of the paging group, on which the Company no longer reports.
(2) Defined as combined operating income (loss) plus combined depreciation and amortization.
Stuart Subotnick, MMG's President and Chief Executive Officer, commented, "While we experienced growth in our subscriber base year-over-year, the growth slowed. This was primarily the result of a loss of mobile subscribers in our PeterStar joint venture as the wireless operators in St. Petersburg began processing traffic through an alternative service provider. As previously disclosed, we had recognized the possibility that PeterStar would lose this mobile traffic when the local incumbent operator completed the build-out of its competing transit network. This competing network became operational in early 2001. Our plan is to add subscribers and grow revenues in St. Petersburg through an increased focus on providing superior service to business customers, while working to add new mobile subscribers as additional operators enter the growing wireless market. While subscriber growth slowed, we still were able to report a 14% year-over-year increase in combined revenues. The growth came primarily from Comstar, in which we acquired a 50% ownership position in December, 2000."
Mr. Subotnick continued, "As previously announced, we have retained financial advisors to help us seek structural alternatives for the Company, which may include separating our Snapper, Metromedia China and radio and cable businesses from our telephony assets. We are continuing to move forward in this regard and expect to have plans finalized by June of this year." |
