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BELL ATLANTIC REPORTS SECOND-QUARTER EARNINGS PER SHARE OF $.70 AFTER 13 CENTS IN CHARGES

 BELL ATLANTIC REPORTS SECOND-QUARTER EARNINGS PER SHARE
 OF $.70 AFTER 13 CENTS IN CHARGES
 PHILADELPHIA, July 20 /PRNewswire/ -- Bell Atlantic Corporation (NYSE: BEL) today reported second-quarter earnings of $.70 per share, which includes charges of $.09 per share for one-time costs associated with the company's merger with Metro Mobile CTS, Inc., and $.04 per share for an extraordinary item associated with debt refinancing. Without these charges, the company would have earned $.83 per share in the quarter, a 7.8 percent increase over $.77 per share for the second quarter of 1991.
 Net income for the quarter was $298.1 million. Net income for the quarter without the charges would have been $353.7 million, an 8.9 percent increase over the $324.7 million reported for the second quarter of 1991.
 "We are encouraged by solid growth in our newly expanded cellular business and by strong demand for the new products and services which we have introduced since 1988," said Bell Atlantic Chairman and Chief Executive Officer Raymond W. Smith. "Access line growth year-to-date is significantly higher than in the first half of 1991, but still well below pre-recession levels. We continue to pay close attention to controlling costs, and, most importantly, we also are undertaking those actions necessary to ensure long-term market leadership."
 Total operating revenues for the quarter of $3.15 billion were up slightly over the $3.13 billion reported for the second quarter of 1991. The increase in revenues was primarily from the company's telephone subsidiaries, where total revenues grew by 2.1 percent; local service revenues, including intelligent network services, increased by 4.5 percent. Reported revenues for the company's non-telephone businesses reflected the reduction in investment levels in Bell Atlantic's financial services business and the exclusion of revenues of the company's European computer maintenance business due to the formation of a joint venture with International Computers Limited (ICL) in the third quarter of 1991.
 In the company's network services business, access lines at the end of the quarter totalled more than 17.9 million, an increase of more than 343,000, or 2.0 percent, over total access lines at the end of the second quarter of 1991. Total minutes of use for the quarter increased 4.1 percent over the earlier period, while message toll service volumes grew 4.4 percent.
 Total operating expenses were $2.50 billion for the second quarter, compared with $2.45 billion for the same quarter in 1991. This increase in expense levels was attributable to the one-time costs associated with the merger with Metro Mobile CTS and additional telephone subsidiary depreciation costs. Operating expenses before depreciation and amortization and excluding the one-time charges decreased 1.3 percent for the second quarter of 1992, compared with the second quarter of 1991. Employee expenses were lower, due primarily to a reduction of 3,200 management employees through an early retirement program completed at the end of 1991.
 "We continued to move ahead on all fronts in our network services business in the second quarter, with some important initiatives to ensure our future growth," said Smith. "We introduced a number of new products and services, and we announced a technology trial of asymmetrical digital subscriber line in Union City, New Jersey, which will bring a variety of information services to educators and students through interactive voice and data with full-motion video. Several proceedings are underway to improve regulatory structures in some of the states we serve. And we continue to improve the quality of our service and to decrease our costs through such initiatives as our recently announced plan to reduce our workforce level to more effectively address growing competition."
 "The highlight of the second quarter of 1992 in our non-telephone businesses was the completion of our merger with and integration of Metro Mobile CTS, Inc.," said Lawrence T. Babbio, Jr., chairman and chief executive officer of Bell Atlantic Enterprises International, Inc. "The successful integration with Bell Atlantic Mobile Systems improves our competitive position in wireless. We anticipate an increase of 30 percent in our customer base for 1992."
 At the end of the second quarter of 1992, Bell Atlantic's wireless business had approximately 577,200 wireless subscribers, a three-month increase of 39,800, or 7.4 percent. The increase during the first quarter was 29,300, or 5.8 percent. Over the course of the last 12 months, subscribers increased 119,400, or 26.1 percent.
 "In the second quarter, Bell Atlantic continued its international business development," said Babbio. "In May, Bell Atlantic and STET, the Italian telephone company, finalized their agreement to form a joint venture company to develop advanced strategic software. In June, our joint venture with Telecom Corporation of New Zealand was chosen to manage the Queensland, Australia, state government communications network. We also signed an agreement with the Puerto Rico Telephone Authority for management consulting services. The Queensland and Puerto Rico contracts will provide additional revenues with minimal or no capital investment by Bell Atlantic."
 Bell Atlantic Corporation, based in Philadelphia, is the parent company of New Jersey Bell, Bell of Pennsylvania, Diamond State Telephone (Delaware), and the Chesapeake and Potomac Telephone Companies of Maryland, Virginia, West Virginia, and Washington, D.C.
 Bell Atlantic also is the parent of one of the nation's largest cellular carriers and of companies that provide business systems services for customer-based information technology, including software, systems integration, hardware and software service and support, and financial services, throughout the United States and internationally. In addition, Bell Atlantic International offers network services and consulting to telephone authorities throughout the world and, in conjunction with Ameritech, owns a majority interest in Telecom Corporation of New Zealand.
 BELL ATLANTIC CORPORATION AND SUBSIDIARIES
 Consolidated Statements of Income
 (Unaudited; in millions, except per-share amounts)
 Periods ended Three months Six months
 June 30 1992 1991(A) 1992 1991(A)
 Operating Revenues:
 Communications and
 Related Services $3,022.2 $2,967.5 $5,956.4 $5,835.4
 Financial, Real Estate,
 and Other Services 126.8 164.3 269.4 347.5
 Total operating revenues 3,149.0 3,131.8 6,225.8 6,182.9
 Operating Expenses:
 Employee costs, including
 benefits and taxes 973.7 1,004.1 1,928.2 1,995.0
 Depreciation and amortization 604.0 573.3 1,206.9 1,143.2
 Other 921.3 868.5 1,770.8 1,687.9
 Total operating expenses 2,499.0 2,445.9 4,905.9 4,826.1
 Operating Income 650.0 685.9 1,319.9 1,356.8
 Other income and expense, net 22.9 10.3 68.3 42.1
 Interest expense, excluding
 Financial Services 177.8 196.6 362.8 390.9
 Income before provision for income
 taxes, extraordinary item,
 and cumulative effect of change
 in accounting principle 495.1 499.6 1,025.4 1,008.0
 Provision for income taxes 180.2 174.9 363.6 356.4
 Income before extraordinary item
 and cumulative effect of change
 in accounting principle 314.9 324.7 661.8 651.6
 Extraordinary item -- early
 extinguishment of debt,
 net of tax (16.8) -- (25.1) --
 Cumulative effect of change
 in accounting principle --
 transition effect of change
 in accounting for post-retirement
 benefits other than pensions,
 net of tax -- -- -- (1,554.3)
 Net Income (Loss) $298.1 $324.7 $636.7 $(902.7)
 Per Common Share Amounts:
 Income before extraordinary
 item and cumulative effect
 of change in accounting
 principle $.74 $.77 $1.55 $1.54
 Extraordinary item --
 early extinguishment
 of debt, net of tax (.04) -- (.06) --
 Cumulative effect of change in
 accounting principle --
 transition effect of change in
 accounting for post-retirement
 benefits other than pensions,
 net of tax -- -- -- (3.63)
 Net Income (Loss) $.70 $.77 $1.49 $(2.09)
 Dividends declared per
 common share .65 .63 1.30 1.26
 Weighted average number of
 common and equivalent
 shares outstanding 432.4 428.3 432.3 428.4
 (A) Restated for the merger with Metro Mobile CTS, Inc., in April 1992, which was accounted for as a pooling of interests.
 Other Selected Data June 30
 1992 1991(A)
 Return on Average Common Equity
 Three months ended (percent) 15.6 18.1
 Six months ended (percent) 16.8 (3.5)
 Total Assets (millions) $28,144.7 $28,471.7
 Total Employees 76,600 82,500
 (A) Restated for the merger with Metro Mobile CTS, Inc., in April 1992, which was accounted for as a pooling of interests.
 BELL ATLANTIC MOBILE SYSTEMS/BELL ATLANTIC METRO MOBILE
 Selected Operating Statistics (Unaudited)(B)
 (In thousands, except percentages and revenue per subscriber)
 June 30 Percent
 1992 1991 Change
 Total Owned POPs 34,000.0 33,600.0 1.2
 Controlled MSA POPs 27,200.0 26,800.0 1.5
 Controlled RSA POPs 3,700.0 2,600.0 42.3
 Subscribers in Controlled Markets 539.0 424.4 27.0
 Controlled MSA
 Penetration (percent)(C) 1.98 1.58 25.3
 Total Subscribers(D) 577.2 457.8 26.1
 Total Second-Quarter
 Revenue(E)(F) $142,500.0 $123,736.0 15.2
 Total Second-Quarter
 Revenue per Subscriber
 per Month(D)(E)(F) $85 $93 (8.6)
 Bell Atlantic Mobile Systems/Bell Atlantic Metro Mobile's uncollectibles for the first half of 1992 were 2.0 percent of total revenue (as defined in footnote (E)) and its average monthly churn was less than 2.1 percent ofthe total customer base (as defined in footnote (D)).
 (B) All figures exclude the paging subsidiary.
 (C) Subscribers in controlled markets (MSA and RSA) as a percent of population in controlled MSAs.
 (D) Includes customers from Bell Atlantic Mobile Systems' reseller operation.
 (E) Total revenue includes access and usage, equipment, and gross roamer revenue into and out of Bell Atlantic Mobile Systems' and Bell Atlantic Metro Mobile's markets. Mobile Systems/Metro Mobile does not record "out-roaming" (Mobile Systems/Metro Mobile's customers roaming on foreign systems) as revenue in its financial statements.
 (F) Total revenue includes long distance for Bell Atlantic Metro Mobile only through April 1992 (before the merger, Metro Mobile was not precluded from reselling long distance with a mark-up).
 /delval/
 -0- 7/20/92
 /CONTACT: Cynthia M. Ciangio of Bell Atlantic, 215-963-6306/
 (BEL) CO: Bell Atlantic Corporation ST: Pennsylvania IN: TLS SU: ERN


SF-MP -- PH002 -- 0562 07/20/92 08:33 EDT
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Date:Jul 20, 1992
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