Coinstar Provides 2001 Guidance for Core Business; Confirms Outlook for Continued Strong Growth.Business Editors BELLEVUE Bellevue (bĕl`vy  ).1 City (1990 pop. 30,982), Sarpy co., E Nebr., a suburb of Omaha, on the Missouri River; inc. 1855. , Wash.--(BUSINESS WIRE)--Nov. 30, 2000 Coinstar Inc. (Nasdaq:CSTR CSTR Centre for Speech Technology Research CSTR Canister CSTR Continually Stirred Tank Reactor CSTR Center for Software Testing Research (Florida Tech) CSTR Combat System Trial Rehearsal (US DoD) ) today announced 2001 guidance for its United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. core business that reflects the company's positive outlook for its operations. "We are still in the early phase of capitalizing on our growth opportunities," said Rich Stillman, chief operating officer Chief Operating Officer (COO) The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. of Coinstar. "Because we have established a national footprint The amount of geographic space covered by an object. A computer footprint is the desk or floor surface it occupies. A satellite's footprint is the earth area covered by its downlink. See form factor. 1. with more than 8,000 machines in supermarkets across the country, we can really tap into the value of our network. We can utilize the network for national promotions that provide value for our customers and introduce additional revenue-generating services." For 2001, the company has provided the following guidance for its United States core business:
Revenue $118 - 124 million
Direct Contribution $63 - 68 million
EBITDA $30 - 34 million
Depreciation and Amortization $24 - 26 million
Net Interest Expense $6 - 8 million
Net Income $(2) - 2 million
"We expect the United States core business to be profitable, on a quarterly basis, by the fourth quarter of 2001," said Diane Renihan, chief financial officer of Coinstar. "For the year, we expect our core business to be free cash flow positive." (The company defines free cash flow as EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become less capital expenditures and debt service.) Previously, the company provided revenue guidance of between $100 and $102 million and EBITDA guidance of slightly more than $21 million for its United States core business in 2000. Coinstar Inc. consolidates results of operations for its core business and two subsidiaries, Meals.com and Coinstar International. Additionally, Coinstar uses segment reporting segment reporting A type of financial reporting in which the firm discloses information by identifiable industry segments. For example, Union Pacific Corporation reports revenues, income, assets, depreciation, and capital expenditures for each of four to clarify the performance of each subsidiary. Guidance in this press release is focused on the United States core business. About Coinstar Inc. Coinstar Inc. (Nasdaq:CSTR) and its subsidiaries, Meals.com and Coinstar International, use technology to deliver time and money saving services to consumers in their local supermarkets. Coinstar's 8,000 strong network of machines is currently available to 130 million consumers in 45 states and the District of Columbia District of Columbia, federal district (2000 pop. 572,059, a 5.7% decrease in population since the 1990 census), 69 sq mi (179 sq km), on the east bank of the Potomac River, coextensive with the city of Washington, D.C. (the capital of the United States). , as well as in Canada and the United Kingdom. Consumers can visit www.findcoinstar.com or call 800/928-CASH to find the nearest Coinstar(R) machine. This press release contains forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. that involve a number of risks and uncertainties. Actual results could differ materially from the results identified or implied in any forward-looking statement discussed herein. Factors that could cause or contribute to such differences include, but are not limited to, risks related to Coinstar's Meals.com subsidiary and other risks that are more fully described under the caption "Risk Factors" included in the most recent reports filed with the Securities and Exchange Commission by Coinstar Inc. |
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