Printer Friendly

PACIFIC TELECOM REPORTS EARNINGS

 VANCOUVER, Wash., Feb. 12 /PRNewswire/ -- Pacific Telecom Inc. (PTI) (NASDAQ: PTCM) reports net income of $21.5 million, or 54 cents per share, for 1992, as compared to $81.1 million, or $2.05 per share, for 1991. This decrease resulted mainly from after-tax valuation adjustments during 1992 of $45.7 million, or $1.16 per share, related to PTI's investment in International Communications Holdings Inc. (ICHI), which has been reported as a discontinued operation. In January 1993, PTI announced the signing of an agreement to sell TRT Communications Inc., the major operating subsidiary of ICHI, which provides international telecommunications services, to IDB Communications Group Inc. in exchange for IDB common stock. Valuation adjustments for PTI's investment in ICHI during 1991 totaled $8.4 million.
 Income from continuing operations was $67.2 million, or $1.70 per share, for 1992, down $22.3 million compared to last year. Operating income for the year decreased $21.0 million compared to 1991. Although operating expenses remain relatively unchanged, operating revenues decreased $15.3 million due to lower out-of- period revenue adjustments and $20.1 million due to lower sales of cable capacity on the North Pacific Cable. In addition, intrastate revenues decreased as a result of the introduction of intrastate competition in Alaska in May 1991, as well as the effects of an intrastate rate reduction implemented in July 1991. These decreases were partially offset by access line growth in the local exchange business, higher private line revenues and higher revenues for restoration and maintenance services on the North Pacific Cable. During 1992, a $5.6-million decrease in interest capitalized and a $7.5-million increase in pre-tax valuation adjustments for certain noncore businesses were offset by the effects of lower interest rates, lower minority interest due to fewer cable sales and lower losses from equity investees.
 Net loss for the fourth quarter of 1992 was $19.6 million, or 50 cents per share, compared to net income of $16.4 million, or 41 cents per share, for the fourth quarter last year. Valuation adjustments related to ICHI were $39.2 million during the fourth quarter of 1992, compared to $8.4 million for the same period in 1991.
 Net income from continuing operations for the fourth quarter of 1992 was $19.6 million, or 50 cents per share, compared to $24.8 million, or 63 cents per share, for the same period last year. Operating income decreased $1.8 million. Operating expenses remained unchanged, while revenues decreased $4.3 million due to reductions in out-of-period revenue adjustments and $3.4 million due to revenue reductions related to reduced operations in Saudi Arabia. These decreases were partially offset by access line growth in PTI's local exchange business and growth in cellular revenues. In addition, sales of an additional 4 percent of the total cable capacity on the North Pacific Cable in the fourth quarter of 1992 increased revenues $5.6 million over last year's fourth quarter. Net income was favorably affected by lower interest rates during 1992. Valuation adjustments in noncore businesses were $6.6 million higher in the fourth quarter of 1992 than in the same period in 1991. Income taxes were higher during the fourth quarter of 1992 due to the effect of income tax benefits recognized in 1991 from the favorable resolution of tax audit issues with the IRS.
 By action of the board of directors on Jan. 22, 1993, a dividend of 33 cents per common share was declared. The dividend will be payable March 1, 1993, to shareholders of record as of Feb. 12, 1993.
 Pacific Telecom Inc. is an 87-percent owned subsidiary of PacifiCorp (NYSE: PPW).
 PACIFIC TELECOM INC.
 CONSOLIDATED INCOME STATEMENTS
 (In thousands, except per-share amounts)
 Three months Twelve months
 (Unaudited)
 Ended Dec. 31: 1992 1991 1992 1991
 Operating Revenues $186,312 $188,585 $704,529 $724,424
 Operating Expenses 147,695 148,145 565,886 564,831
 Operating Income 38,617 40,440 138,643 159,593
 Other Income (Expense):
 Interest Expense (11,688) (14,049) (52,140) (54,955)
 Interest During Construction -- 74 -- 5,623
 Interest Income 457 241 1,089 2,398
 Gain on Sale of Investments
 & Subsidiaries 5,544 6,056 28,601 28,262
 Minority Interest (179) (281) (92) (1,955)
 Other (3,258) (2,314) (16,327) (18,537)
 Total Other Income (Expense) (9,124) (10,273) (38,869) (39,164)
 Income Before Income Taxes 29,493 30,167 99,774 120,429
 Income Taxes 9,874 5,355 32,526 30,893
 Income from Continuing
 Operations 19,619 24,812 67,248 89,536
 Loss from Discontinued
 Operations, net of
 Income Tax (39,241) (8,431) (45,741) (8,431)
 Net Income (Loss) $(19,622) $ 16,381 $ 21,507 $ 81,105
 Income per Common Share
 from Continuing Operations $ 0.50 $ 0.63 $ 1.70 $ 2.27
 Net Income (Loss) per
 Common Share $ (0.50) $ 0.41 $ 0.54 $ 2.05
 Average Shares Outstanding 39,545 39,487 39,526 39,477
 -0- 2/12/93
 /CONTACT: Brian M. Wirkkala, vice president-treasurer, of Pacific Telecom, 206-696-0983/
 (PTCM PPW)


CO: Pacific Telecom Inc.; PacifiCorp ST: Washington IN: TLS SU: ERN DIV

SW -- SE003 -- 6221 02/12/93 14:48 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Feb 12, 1993
Words:869
Previous Article:ALLIANCE PHARMACEUTICALS ANNOUNCES RESULTS
Next Article:SOMATIX REPORTS SECOND QUARTER RESULTS
Topics:


Related Articles
PACIFIC TELECOM REPORTS EARNINGS
PACIFIC TELECOM REPORTS EARNINGS
PACIFIC TELECOM REPORTS EARNINGS
PACIFICORP REPORTS EARNINGS
NORTHERN TELECOM REPORTS FIRST QUARTER RESULTS
PACIFIC TELECOM REPORTS EARNINGS
PACIFIC TELECOM REPORTS EARNINGS
PACIFIC TELECOM REPORTS EARNINGS
PACIFIC TELECOM REPORTS EARNINGS
PACIFICORP ANNOUNCES FIRST QUARTER 1996 FINANCIAL RESULTS

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters