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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): November 18, 1998
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IXC Communications, Inc.
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(Exact name of registrant as specified in its charter)
Delaware 0-20803 74-2644120
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(State or other (Commission (I.R.S. Employer
jurisdiction of File Number) Identification No.)
incorporation)
1122 Capital of Texas Highway South, Austin, Texas 78746
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (512) 328-1112
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Not applicable
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(Former name or former address, if changed since last report)
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ITEM 5. OTHER EVENTS.
Attached as Exhibit 99.1 is a press release issued by IXC
Communications, Inc. dated November 18, 1998, which is hereby incorporated by
reference herein.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) EXHIBITS
99.1 Press Release dated November 18, 1998
2.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Date: November 18, 1998
IXC Communications, Inc.
By: /s/ Jeffrey C. Smith
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Jeffrey C. Smith
Senior Vice President,
Secretary and General Counsel
3.
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EXHIBIT INDEX
Exhibit
Number Description
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99.1 Press Release dated November 18, 1998
4.
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EXHIBIT 99.1
(IXC-COMMUNICATIONS)(IIXC) IXC Comments on Fourth Quarter Outlook
Business, High-Tech and Telecommunications Editors
AUSTIN, Texas--(BUSINESS WIRE)--Nov. 18, 1998--In light of recent market
activity, IXC Communications Inc. (NASDAQ:IIXC) is providing an outlook on its
expectations for fourth quarter 1998 operating results.
Although the Company expects continued revenue growth in the fourth
quarter, it also expects that its EBITDA will be adversely affected by a number
of items. First, the Company will increase SG&A expense to support further
growth in its expanding retail and Internet businesses by an additional $3
million above its prior expectations. Secondly, the Company is increasing its
reserves by approximately $6 million for bad debts and customer disputes. Third,
expected private line revenues will be adversely affected due to the conversion
of an existing private line contract into a 10-year IRU contract. The Company
had previously expected that $5 million of termination charges relating to this
conversion would have been recorded in the fourth quarter, but has subsequently
determined to amortize the charges over the 10-year term of the new IRU
agreement. Although fourth quarter EBITDA will fall short of analysts'
expectations, the Company expects that it should not decline below EBITDA in the
third quarter (excluding non-recurring revenue/EBITDA from the fiber sale
recorded in the third quarter). The Company expects its growth to continue in
the fourth quarter, 1998 and in 1999.
IXC's network-based delivery solutions are designed to address the speed
and capacity requirements of the global communications market. Having completed
the first new coast-to-coast fiber optic network in the United States in more
than a decade, IXC Communications Inc. is at the forefront of the industry's new
class of emerging domestic and international carriers. IXC offerings include
private line, broadband, Internet and long distance switched and dedicated
services. IXC is a publicly traded company listed on Nasdaq under the symbol
IIXC. IXC's Web site is at www.ixc-comm.com.
Certain of the above statements set forth management's expectations or
predictions of the future based on current facts and analyses. Actual results
may differ materially from those indicated in such statements due to unavoidable
construction delays, increases in expenses and other factors. Additional
information on factors that may affect the business and financial results of IXC
can be found in IXC's filings with the Securities and Exchange Commission.
--30--sc/sa*
CONTACT: IXC Communications Inc., Austin
Media Contact:
Melissa Jackson, 512/231-5247
[email protected]
or
Investor Contact:
Greta Wiechman, 888/267-9478
[email protected]
