3q00 Financial Statements
Pro Forma
---------------------------------------------------
(In Millions - For the Three Months For the Nine Months
except per share Ended September 30, % Ended September 30, %
amounts) 2000 1999 Change 2000 1999 Change
---- ---- ------ ---- ---- ------
Revenues
--------
Broadband 264.0 189.8 39% 718.1 544.3 32%
Local Communications 199.5 186.9 7% 589.2 549.1 7%
Wireless 49.1 25.7 91% 128.6 61.6 109%
Other Communications 37.3 26.9 39% 103.0 82.1 25%
Intersegment (18.6) (3.5) n/m (46.4) (9.8) n/m
------ ------ ------- --------
Total Revenues 531.3 425.8 25% 1,492.5 1,227.3 22%
------ ------ ------- --------
Costs & Expenses
----------------
Cost of Providing
Services and
Products Sold 251.6 214.2 17% 701.8 636.0 10%
Selling, General
& Administrative 142.3 123.8 15% 438.6 350.5 25%
------ ------ ------- --------
EBITDA 137.4 87.8 56% 352.1 240.8 46%
Depreciation and
Amortization 117.3 103.3 14% 337.1 287.5 17%
Restructuring
Charge (Credits) -- 6.7 n/m (0.2) 19.8 n/m
Other Infrequent
Costs -- 1.1 n/m -- 13.9 n/m
------ ------ ------- --------
Operating Income
(Loss) 20.1 (23.3) n/m 15.2 (80.4) n/m
Loss in Unconsolidated
Subsidiaries (3.5) (3.1) (13%) (9.5) (19.1) 50%
Minority Interest 11.2 10.4 8% 33.2 30.0 10%
Other Income/
(Expense), Net 24.6 1.6 n/m 31.6 (3.5) n/m
Interest Expense 43.1 25.9 66% 119.7 77.6 54%
------ ------ ------- --------
Loss from
Continuing
Operations
Before Taxes (13.1) (61.1) 79% (115.6) (210.6) 45%
Income Tax Provision
(Benefit) 10.3 10.7 4% (7.1) 44.1 n/m
------ ------ ------- --------
Loss from
Continuing
Operations (23.4) (71.8) 67% (108.5) (254.7) 57%
Discontinued
Operations,
Net of Taxes 0.1 0.7 86% 0.4 2.2 (82%)
------ ------ ------- --------
Net Loss (23.3) (71.1) 67% (108.1) (252.5) 57%
Dividends and
Accretion Applicable
to Preferred Stock 2.6 1.6 (63%) 5.5 4.8 15%
------ ------ ------- --------
Net Loss
Applicable to
Common Shareowners (25.9) (72.7) 64% (113.6) (257.3) 59%
------ ------ ------- --------
------ ------ ------- --------
Basic Loss
Per Common Share
----------------
Loss From
Continuing
Operations (0.12) (0.36) (0.54) (1.27)
Discontinued
Operations,
Net of Taxes -- -- -- 0.01
------ ------ ------- --------
Net Loss $(0.12)$(0.36) $(0.54) $(1.26)
------ ------ ------- --------
------ ------ ------- --------
Diluted Loss
Per Common Share
----------------
Loss From
Continuing
Operations (0.12) (0.36) (0.54) (1.27)
Discontinued
Operations,
Net of Taxes -- -- -- 0.01
------ ------ ------- --------
Net Loss $(0.12)$(0.36) $(0.54) $(1.26)
------ ------ ------- --------
------ ------ ------- --------
Weighted Average
Common Shares
Outstanding (millions)
- Basic 215.1 202.6 210.4 204.6
- Diluted 215.1 202.6 210.4 204.6
Broadwing Inc. Consolidated Statements of Income (Unaudited)
As Reported
---------------------------------------------------
(In Millions - For the Three Months For the Nine Months
except per share Ended September 30, % Ended September 30, %
amounts) 2000 1999 Change 2000 1999 Change
------ ----- ------ ------ ------ -------
Revenues
--------
Broadband 264.0 19.7 n/m 718.1 54.9 n/m
Local Communications 199.5 186.9 7% 589.2 549.1 7%
Wireless 49.1 25.7 91% 128.6 61.7 108%
Other Communications 37.3 26.9 39% 103.0 82.1 25%
Intersegment (18.6) (3.5) n/m (46.4) (9.9) n/m
------ ------ -------- ------
Total Revenues 531.3 255.7 108% 1,492.5 737.9 102%
------ ------ -------- ------
Costs & Expenses
----------------
Cost of Providing
Services and
Products Sold 251.6 107.8 133% 701.8 316.6 122%
Selling, General
& Administrative 142.3 57.5 147% 438.6 171.4 156%
------ ------ -------- ------
EBITDA 137.4 90.4 52% 352.1 249.9 41%
Depreciation and
Amortization 117.3 33.3 n/m 337.1 98.1 244%
Restructuring Charge
(Credits) -- -- -- (0.2) -- n/m
Other Infrequent
Costs -- -- -- -- -- --
------ ------ -------- ------
Operating Income 20.1 57.1 (65%) 15.2 151.8 (90%)
------ ------ -------- ------
Loss in Unconsolidated
Subsidiaries (3.5) (6.3) (45%) (9.5) (6.3) (51%)
Minority Interest 11.2 (1.7) n/m 33.2 (5.8) n/m
Other Income/(Expense),
Net 24.6 0.5 n/m 31.6 0.5 n/m
Interest Expense 43.1 13.9 (210%) 119.7 31.9 n/m
------ ------ -------- ------
Income (Loss)
from Continuing
Operations Before
Taxes (13.1) 39.1 n/m (115.6) 119.9 n/m
Income Tax Provision
(Benefit) 10.3 14.0 26% (7.1) 43.3 n/m
------ ------ -------- ------
Income (Loss) from
Continuing
Operations (23.4) 25.1 n/m (108.5) 76.6 n/m
Discontinued
Operations,
Net of Taxes 0.1 0.7 86% 0.4 2.2 (82%)
------ ------ -------- ------
Net Income (Loss) (23.3) 25.8 n/m (108.1) 78.8 n/m
Dividends and
Accretion Applicable
to Preferred Stock 2.6 -- n/m 5.5 -- n/m
------ ------ -------- ------
Net Income (Loss)
Applicable to
Common Shareowners (25.9) 25.8 n/m (113.6) 78.8 n/m
------ ------ -------- ------
------ ------ -------- ------
Basic Earnings (Loss)
Per Common Share
----------------
Income (Loss) From
Continuing
Operations (0.12) 0.18 (0.54) 0.56
Discontinued
Operations,
Net of Taxes -- 0.01 -- 0.02
------ ------ ------- ------
Net Income (Loss) $(0.12) $ 0.19 $ (0.54) $ 0.58
------ ------ ------- ------
------ ------ ------- ------
Diluted Earnings (Loss)
Per Common Share
----------------
Income (Loss) From
Continuing
Operations (0.12) 0.18 (0.54) 0.54
Discontinued
Operations,
Net of Taxes -- -- -- 0.02
------ ------ ------- ------
Net Income (Loss) $(0.12) $ 0.18 $ (0.54) $ 0.56
------ ------ ------- ------
------ ------ ------- ------
Weighted Average
Common Shares
Outstanding (millions)
- Basic 215.1 134.1 210.4 135.8
- Diluted 215.1 137.7 210.4 139.7
Broadwing Inc. Consolidated Statements of Income - Pro Forma (Unaudited)
(In Millions - 3rd 4th 1st 2nd 3rd
except per share Quarter Quarter Quarter Quarter Quarter
amounts) 1999 1999 2000 2000 2000
---------------------------------- -------
Revenues
--------
Broadband 189.8 198.6 213.0 241.1 264.0
Local Communications 186.9 190.8 192.8 196.9 199.5
Wireless 25.7 29.7 36.6 43.0 49.1
Other Communications 26.9 27.2 29.5 36.2 37.3
Intersegment (3.5) (3.4) (10.6) (17.2) (18.6)
---------------------------------- -------
Total Revenues 425.8 442.9 461.3 500.0 531.3
---------------------------------- -------
Costs & Expenses
----------------
Cost of Providing
Services &
Products Sold 214.2 220.7 218.9 231.3 251.6
Selling, General
& Administrative 123.8 141.4 157.4 139.0 142.3
---------------------------------- -------
EBITDA 87.8 80.8 85.0 129.7 137.4
Depreciation and
Amortization 103.3 111.0 110.6 109.2 117.3
Restructuring Charges 6.7 10.8 -- (0.2) --
Other Infrequent
Charges 1.1 23.9 -- -- --
---------------------------------- -------
Operating Income (23.3) (64.9) (25.6) 20.7 20.1
Loss in Unconsolidated
Subsidiaries (3.1) (2.7) (2.0) (4.0) (3.5)
Minority Interest 10.4 8.5 10.9 11.0 11.2
Other Income/
(Expense), Net 1.6 1.4 7.0 (0.1) 24.6
Interest Expense 25.9 36.1 36.4 40.2 43.1
---------------------------------- -------
Loss From Continuing
Operations Before
Income Taxes and
Extraordinary Charges (61.1) (110.8) (67.9) (34.6) (13.1)
Income Tax Provision
(Benefit) 10.7 (12.5) (12.3) (5.1) 10.3
---------------------------------- -------
Loss from Continuing
Operations Before
Extraordinary Charges (71.8) (98.3) (55.6) (29.5) (23.4)
Discontinued Operations,
Net of Taxes 0.7 1.3 0.1 0.2 0.1
Net Loss Before
Extraordinary Item (71.1) (97.0) (55.5) (29.3) (23.3)
Extraordinary Item,
Net of Taxes -- 6.6 -- -- --
---------------------------------- -------
Net Loss (71.1) (103.6) (55.5) (29.3) (23.3)
Dividends and Accretion
Applicable to
Preferred Stock 1.6 2.1 0.3 2.6 2.6
---------------------------------- -------
Net Loss Applicable
to Common Shareowners $ (72.7) $(105.7) $(55.8) $ (31.9) $(25.9)
---------------------------------- -------
---------------------------------- -------
Basic and Diluted Loss
Per Common Share
----------------
Loss from Continuing
Operations (0.36) (0.50) (0.28) (0.15) (0.12)
Discontinued Operations,
Net of Taxes -- 0.01 -- -- --
Extraordinary Charge,
Net of Taxes -- (0.04) -- -- --
---------------------------------- -------
Net Loss
Per Common Share $ (0.36) $ (0.53) $(0.28) $ (0.15) $ (0.12)
---------------------------------- -------
---------------------------------- -------
Weighted Average
Common Shares
Outstanding (millions)
- Basic 202.6 199.8 202.3 213.9 215.1
- Diluted 202.6 199.8 202.3 213.9 215.1
Broadwing Inc. Consolidated Balance Sheets (Unaudited)
September 30, December 31,
(Dollars in millions) 2000 1999
------------ ------------
Assets -------
Cash and Cash Equivalents $ 10.4 $ 80.8
Receivables - Net 282.2 224.5
Other Current Assets 99.6 97.7
Property, Plant and Equipment - Net 2,660.2 2,500.6
Intangible Assets - Net 2,682.5 2,679.8
Investments 823.0 843.3
Other Assets 91.9 70.8
Net Assets of Discontinued Operations 0.4 7.9
---------- ----------
Total Assets $ 6,650.2 $ 6,505.4
---------- ----------
---------- ----------
Liabilities and Shareowners' Equity -----------------------------------
Debt Maturing in One Year $ 11.2 $ 9.2
Other Current Liabilities 580.2 555.8
Long-Term Debt, Less Current Portion 2,404.4 2,136.0
Unearned Revenue, Less Current Portion 613.5 633.5
Deferred Credits and Other 291.4 375.5
Minority Interest 424.0 434.0
Redeemable Preferred Stock 0.0 228.6
Common Shareowners' Equity 2,325.5 2,132.8
---------- ----------
Total Liabilities and
Shareowners' Equity $ 6,650.2 $ 6,505.4
---------- ----------
---------- ----------
Other Data ----------
Common Shares Outstanding at
Balance Sheet Date (millions) 215.3 202.3
Contact:
Libby Korosec, 513/397-1589
libby.korosec@broadwing.com |
