SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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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) OCTOBER 20, 1997
NTL INCORPORATED
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(Exact Name of Registrant as Specified in Charter)
Delaware 0-22616 52-1822078
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(State or Other (Commission (IRS Employer
Jurisdiction of File Number) Identification No.)
Incorporation)
110 East 59th Street, New York, New York 10022
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(Address of Principal Executive Offices) (Zip Code)
Registrant's Telephone Number, including area code (212)906-8440
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(Former Name or Former Address, if Changed Since Last Report)
<PAGE>
Item 5. Other Events.
On October 20, 1997, NTL Incorporated (formerly
International CableTel Incorporated (the "Company")) announced
its preliminary operating statistics for its residential services
for the three months ended September 30, 1997. The Company
expects to release its full 3rd quarter financial results during
the week of November 10, 1997 and will hold a conference call at
that time.
Commenting on the Company's results, Barclay Knapp, Chief
Executive Officer, said: "Our third quarter operating statistics
further demonstrate the significant success of the Company's
marketing programs, as our customers continued to ratify our
combined telephone and television product offering. In the third
quarter alone, our telephone and cable penetration rates each
increased by nearly 2.5% as we added nearly 44,000 customers,
while annualized churn remained at an industry-low 10.4%. We are
extremely proud of these results, and look forward to further
success during the rest of 1997 and going forward."
NTL's operating performance continues to exceed estimated
industry averages. As of September 30, 1997:
- Residential telephone penetration increased to 35.9% from
30.6% a year ago.
- Residential cable television penetration increased to 36.4%
from 30.9% a year ago.
- Combined penetration ("RGU" penetration) increased to 72.3%
from 61.5% a year ago.
- Annualized RGU churn was approximately 10.4% in the third
quarter.
As of September 30, the Company had more than 286,000
customers subscribing to approximately 540,000 services.
Approximately 38% of all residences marketed by the Company are
taking at least one service and more than 88% of those customers
are taking both services. The Company has now marketed services
to approximately 78% of the homes passed by its new networks, up
from approximately 56% a year ago.
As of September 30, 1997, the Company had constructed its
new dual service network past approximately 957,000 homes in its
franchise areas, representing approximately 46% of its nearly 2.1
million total homes.
<PAGE>
NEWLY CONSTRUCTED DUAL NETWORK
September 30, December 31, September 30,
1997 1996 1996
Homes passed 957,000 779,100 694,400
Homes marketed 746,700 467,300 390,800
Total customers 286,600 168,200 135,300
Dual 253,100 133,800 105,155
Telephony-only 14,900 15,950 14,545
Cable-only 18,600 18,450 15,600
Total RGUs (1) 539,700 302,000 240,455
RGU penetration 72.3% 64.6% 61.5%
Telephone penetration 35.9% 32.0% 30.6%
Cable penetration 36.4% 32.6% 30.9%
(1) An RGU (revenue generating unit) is one cable television
account or one telephone account; a dual customer generates two
RGUs.
NTL Incorporated is a leading alternative telecoms services
company in the United Kingdom. The Company offers a variety of
communications services through five major business segments:
Through its Local Telecoms and Television Services division, the
Company is the UK's third largest operator of telephony/cable
television systems and offers customers residential telephony,
business telecommunications and cable television services over
integrated high capacity networks located in six franchise areas.
The National Telecoms Services division operates a national
telecommunications network, which is being integrated with the
Company's local broadband networks and provides national
telecoms, radio communications and satellite services. Through
its Broadcast Services, Internet and Information Services, and
New Media Services divisions, the Company offers national
television and radio broadcast transmission services, national
internet services, and other related programming and content
services.
A copy of the press release issued by the Company announcing
the above is attached hereto as an exhibit and incorporated
herein by reference.
Item 7. Financial Statements and Exhibits
Exhibits
99 Press Release issued October 20, 1997.
<PAGE>
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.
NTL INCORPORATED
(Registrant)
By: /s/ Richard J. Lubasch
Name: Richard J. Lubasch
Title: Senior Vice President-
General Counsel
Dated: October 20, 1997
<PAGE>
EXHIBIT INDEX
Exhibit Page
99 Press Release issued October 20, 1997.
EXHIBIT 99
[LOGO OF NTL INCORPORATED]
FOR IMMEDIATE RELEASE
NTL INCORPORATED ANNOUNCES
PRELIMINARY OPERATING STATISTICS FOR THIRD QUARTER 1997
New York, New York (October 20, 1997) - NTL INCORPORATED (NASDAQ:
NTLI; EASDAQ: NTLI.ED) announced today its preliminary operating
statistics for its residential services for the three months
ended September 30, 1997. The Company expects to release its full
3rd quarter financial results during the week of November 10,
1997 and will hold a conference call at that time.
Commenting on the Company's results, Barclay Knapp, Chief
Executive Officer, said: "Our third quarter operating statistics
further demonstrate the significant success of the Company's
marketing programs, as our customers continued to ratify our
combined telephone and television product offering. In the third
quarter alone, our telephone and cable penetration rates each
increased by nearly 2.5% as we added nearly 44,000 customers,
while annualized churn remained at an industry-low 10.4%. We are
extremely proud of these results, and look forward to further
success during the rest of 1997 and going forward."
NTL's operating performance continues to exceed estimated
industry averages. As of September 30, 1997:
- Residential telephone penetration increased to 35.9% from
30.6% a year ago.
- Residential cable television penetration increased to 36.4%
from 30.9% a year ago.
- Combined penetration ("RGU" penetration) increased to 72.3%
from 61.5% a year ago.
- Annualized RGU churn was approximately 10.4% in the third
quarter.
As of September 30, the Company had more than 286,000 customers
subscribing to approximately 540,000 services. Approximately 38%
of all residences marketed by the Company are taking at least one
service and more than 88% of those customers are taking both
services. The Company has now marketed services to approximately
78% of the homes passed by its new networks, up from
approximately 56% a year ago.
As of September 30, 1997, the Company had constructed its new
dual service network past approximately 957,000 homes in its
franchise areas, representing approximately 46% of its nearly 2.1
million total homes.
<PAGE>
NTL INCORPORATED
October 20, 1997
Page 2
NEWLY CONSTRUCTED DUAL NETWORK
September 30, December 31, September 30,
1997 1996 1996
Homes passed 957,000 779,100 694,400
Homes marketed 746,700 467,300 390,800
Total customers 286,600 168,200 135,300
Dual 253,100 133,800 105,155
Telephony-only 14,900 15,950 14,545
Cable-only 18,600 18,450 15,600
Total RGUs (1) 539,700 302,000 240,455
RGU penetration 72.3% 64.6% 61.5%
Telephone penetration 35.9% 32.0% 30.6%
Cable penetration 36.4% 32.6% 30.9%
(1) An RGU (revenue generating unit) is one cable television
account or one telephone account; a dual customer generates two
RGUs.
NTL Incorporated is a leading alternative telecoms services
company in the United Kingdom. The Company offers a variety of
communications services through five major business segments:
Through its Local Telecoms and Television Services division, the
Company is the UK's third largest operator of telephony/cable
television systems and offers customers residential telephony,
business telecommunications and cable television services over
integrated high capacity networks located in six franchise areas.
The National Telecoms Services division operates a national
telecommunications network, which is being integrated with the
Company's local broadband networks and provides national
telecoms, radio communications and satellite services. Through
its Broadcast Services, Internet and Information Services, and
New Media Services divisions, the Company offers national
television and radio broadcast transmission services, national
internet services, and other related programming and content
services.
* * * * * *
For further information contact: In the U.S.: Michael A.
Peterson, Director Corporate Development or Richard J. Lubasch,
Senior Vice President General Counsel at (212) 906-8440; in the
UK: Alison Smith at (01252) 402662; or via e-mail at
[email protected].
