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): April 23, 1996
SOUTHERN NEW ENGLAND TELECOMMUNICATIONS CORPORATION
(Exact name of registrant as specified in its charter)
Connecticut 1-9157 06-1157778
(State or other (Commission (I.R.S. Employer
jurisdiction of File Number) Identification No.)
incorporation)
227 Church Street, New Haven, Connecticut 06510
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (203) 771-5200
Not Applicable
(Former name or former address, if changed since last report)
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Item 5. Other events.
The registrant announced today that first quarter net income for 1996 was
$52 million or $0.80 per share compared with $47 million or $0.72 per share
for the same period last year. Excluding dilution from the cellular
acquisitions completed last July, earnings for the first quarter would have
been $0.91 per share.
Consolidated revenues and sales for the first quarter were up 8 percent to
$474 million.
The news release providing the announcement is filed as an exhibit
hereto and is incorporated herein by reference.
Item 7. Financial Statements, Pro forma Financial
Information and Exhibits.
Exhibit 20. News release issued April 23, 1996.
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SIGNATURES
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, thereunto duly authorized.
SOUTHERN NEW ENGLAND
TELECOMMUNICATIONS CORPORATION
Dated: April 23, 1996 By: /s/Madelyn M. DeMatteo
Madelyn M. DeMatteo
Secretary
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SOUTHERN NEW ENGLAND TELECOMMUNICATIONS CORPORATION
FORM 8-K
EXHIBIT INDEX
Exhibit
Number
20 News release issued April 23, 1996.
SNET News Release
227 Church Street
New Haven, Connecticut 06510
April 23, 1996
FOR FURTHER INFORMATION CONTACT: Kevin Moore
(203) 771-2136
SNET Announces First Quarter EPS Up 11 Percent
Southern New England Telecommunications Corporation
(SNET) -- (NYSE: SNG) -- announced today that first quarter
net income for 1996 was $52 million or $0.80 per share
compared with $47 million or $0.72 per share for the same
period last year. Excluding dilution from the cellular
acquisitions completed last July, earnings for the first
quarter would have been $0.91 per share.
"This is our ninth consecutive quarter of improved
earnings," said Daniel J. Miglio, SNET chairman and chief
executive officer.
"Our growth strategy is on track. I am pleased with our
progress in repositioning SNET and remain confident about
our ability to continue delivering solid results. We will
accomplish this by focusing on what our customers want:
products and services that are simple to understand and use,
competitive pricing and unparalleled service," he added.
Consolidated revenues and sales for the first quarter
were up 8 percent to $474 million. Wireline revenues rose 6
percent to $386 million with a strong showing from SNET's
interstate and international long-distance business where
the customer base nearly tripled. Local service revenues
were up 5 percent,
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reflecting a 3 percent increase in access lines and
continued growth in vertical services. In addition, access
revenues were up 6 percent. Wireless revenues climbed 38
percent to $47 million as the wireless customer base
increased 91 percent. Excluding the cellular acquisition
territories, the customer base increased 48 percent.
Information and Entertainment revenues were up 3 percent to
$46 million on an increase in Yellow Pages sales.
Consolidated operating expenses were up 8 percent.
Wireline expenses increased 5 percent or $11 million to
serve SNET's expanding long distance customer base, offset
partially by a smaller work force and other cost-containment
initiatives. Wireless expenses rose 22 percent to support
rapid growth and the enlarged cellular area. Information
and Entertainment expenses increased slightly.
Depreciation and amortization as well as interest
expense were up due primarily to the cellular acquisitions.
SNET is a Connecticut-based independent
telecommunications company reaching beyond its traditional
borders to offer wireline, wireless and information and
entertainment services, including local, national and
international calling; mobile communications; and
publishing, information and advertising. The company is
building I-SNET, Connecticut's broadband, information
superhighway to serve all its customers.
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SNET
Preliminary Summary of Consolidated Results
For the Three Months Ended March 31, 1996
(in Millions Except Per Share Amounts)
(Unaudited)
For the 3 Months Ended
March 31, Percent
Change
1996 1995
INCOME STATEMENT
Revenues and Sales $ 474.0 $ 440.4 8%
Costs and Expenses:
Operating and maintenance 268.7 249.8 8%
Depreciation and amortization 89.2 83.4 7%
Taxes other than income 14.0 13.5 4%
Total Costs and Expenses 371.9 346.7
Operating Income 102.1 93.7 9%
Interest Expense 22.6 18.0 26%
Other Income, Net 3.7 0.9
Income Before Income Taxes 83.2 76.6 9%
Income Taxes 31.0 29.9 4%
Net Income $ 52.2 $ 46.7 12%
Weighted Average Common Shares
Outstanding (in thousands) 65,384 64,641 1%
Earnings Per Share $ 0.80 $ 0.72 11%
STATISTICS
Access Lines in Service (in thousands) 2,090 2,025 3%
Interstate Minutes of Use (in millions) 1,972 1,804 9%
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