Viasource Commun 4Q Loss $1.40 A Share On Chg
Dow Jones Newswires
Viasource Communications Inc. - Fort Lauderdale, Fla.
4th Quar Dec. 30:
2000 a 1999
Revenue $60,314,213 $36,655,366
Net income b (59,244,002) (10,333,294)
Avg shrs 42,468,790 37,056,907
Shr earns
Net income (1.40) (.28)
Year:
Revenue 230,849,522 130,525,823
Net income b (100,095,451) (21,134,368)
Avg shrs 38,977,944 40,505,625
Shr earns
Net income (2.57) (.52)
Figures in parentheses are losses.
a. Period ended Jan. 1, 2000.
b. Includes a $52.9 million impairment loss on intangible assets and related goodwill.
Results for the latest year and year-ago periods are pro forma, giving effect to the 1999 and 2000 acquisitions as if each had occurred as of the beginning of January 1999.
Viasource Communications Inc. (VVVV) said the $52.9 million impairment loss in the latest fourth quarter is related to the acquisition of TeleCore Inc.
TeleCore, at acquisition, was the largest independent provider of DSL technology enabling services in the U.S.
Viasource said a significant, fundamental shift occurred in the DSL industry in the latest fourth quarter where the competitive landscape has given regional bell operating companies an advantage over Viasource's data local exchange carriers customers.
"Consequently, many of Viasource's DSL customers have experienced severe financial difficulty resulting in a permanent impairment of the DLECs customer relationships intangible assets," the company said.
As a result, Viasource said it recorded a one-time non-cash impairment loss to write down the customer relationship intangible assets and related goodwill to fair value in the fourth quarter. The company said the loss will have the effect of reducing annual intangible asset amortization by $5.4 million in future periods. |
