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EXHIBIT 99.2
FOR IMMEDIATE RELEASE
FOR FURTHER INFORMATION CONTACT:
Investment Community: Media:
Gina Haggerty John Snyder
(425) 586-8671 Snyder Buscher Group
[email protected] (206) 652-9704
[email protected]
WESTERN WIRELESS ANNOUNCES THIRD QUARTER 2000 FINANCIAL RESULTS
-Another Quarter of Consistent Performance-
-Domestic EBITDA of $89 million and 46,000 Domestic Subscribers Added -
BELLEVUE, Wash. (October 30, 2000) -- Western Wireless Corporation (NASDAQ:
WWCA), a leading provider of communication services to rural America, announced
today its financial and operating results for the third quarter ended September
30, 2000.
"We operate two great businesses at Western Wireless. Our domestic cellular
business continues to demonstrate the best balance in the industry of
outstanding growth and excellent financial performance. We are very excited
about the growth opportunities, particularly in providing fixed wireless
services," said John Stanton, chairman and chief executive officer of Western
Wireless. "During the third quarter, Western Wireless International agreed to
sell its interest in its Latvian partnership, submitted applications to provide
service in three new major markets, and prepared to launch service in Ireland
and Bolivia."
TOTAL COMPANY RESULTS
The company reported revenues of $198.8 million for the third quarter, a
27 percent increase over the third quarter of 1999. Consolidated EBITDA in the
third quarter was $86.0 million compared to $71.7 million in the same quarter
last year, an increase of 20 percent. Net income was $4.5 million, earnings $.06
per diluted share for the quarter. Excluding non-cash stock-based compensation
expense, net income was $.16 per basic share for the quarter. Consolidated
capital expenditures were $70.6 million for the quarter.
Domestic Results
Mikal Thomsen, president and chief operating officer of Western
Wireless, commented, "We are beginning to sound like a broken record, as today
we announce results for another quarter of consistently strong growth. Domestic
EBITDA (operating income before non-cash charges) was $89 million and net
domestic subscriber additions were 46,000."
WESTERN WIRELESS INTERNATIONAL RESULTS
WWI operating companies were serving a total of 636,500 customers at the
end of September, ending the quarter with 147,500 total proportionate customers.
Investors can access Western Wireless' earnings conference call and
replay by accessing the company's website at www.wwireless.com. A separate
dial-up replay number is available until the close of business on Monday,
November 6. The replay number is 800/633-8284 and the access code is 16427038.
Based in Bellevue, Wash., Western Wireless Corp. is a leading provider
of wireless communications services in the western United States and abroad. It
currently offers cellular service marketed under the Cellular One(R)name in 19
western states. Through its subsidiaries, Western Wireless holds licenses to
offer wireless service in 8 countries.
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WESTERN WIRELESS CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(Dollars in thousands, except per share data)
(Unaudited)
<TABLE>
<CAPTION>
Three months ended September 30, Nine months ended September 30,
-------------------------------- -------------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
Revenues:
Subscriber revenues $ 122,489 $ 102,441 $ 344,005 $ 284,643
Roamer revenues 62,825 46,461 161,977 104,142
Equipment sales and other revenues 13,448 8,142 35,022 20,673
----------- ----------- ----------- -----------
Total revenues 198,762 157,044 541,004 409,458
----------- ----------- ----------- -----------
Operating expenses:
Cost of service 27,860 17,765 72,062 48,717
Cost of equipment sales 11,631 10,030 31,858 25,854
General and administrative 40,509 30,341 117,138 85,893
Sales and marketing 32,780 27,188 90,786 71,094
Depreciation and amortization 30,956 27,020 90,875 76,065
Stock based compensation 8,125 3,850 16,625 70,346
----------- ----------- ----------- -----------
Total operating expenses 151,861 116,194 419,344 377,969
----------- ----------- ----------- -----------
Operating income 46,901 40,850 121,660 31,489
----------- ----------- ----------- -----------
Other income (expense):
Interest and financing expense, net (42,989) (24,961) (108,654) (71,761)
Equity in net loss of unconsolidated affiliates (482) (3,857) (968) (11,542)
Other, net 258 1,001 (641) 3,028
----------- ----------- ----------- -----------
Total other expense (43,213) (27,817) (110,263) (80,275)
----------- ----------- ----------- -----------
Minority interest in consolidated subsidiaries 838 509 1,183 1,448
----------- ----------- ----------- -----------
Net income (loss) from continuing operations 4,526 13,542 12,580 (47,338)
----------- ----------- ----------- -----------
Net loss from discontinued operations (82,152)
Cost of discontinuance (18,500)
-----------
Total discontinued operations (100,652)
Extraordinary loss on early extinguishment of debt (12,377)
-----------
Net income (loss) $ 4,526 $ 13,542 $ 203 $ (147,990)
=========== =========== =========== ===========
Basic income (loss) per share:
Continuing operations $ 0.06 $ 0.18 $ 0.16 $ (0.62)
Discontinued operations (1.31)
Extraordinary item (0.16)
----------- ----------- ----------- -----------
Basic income (loss) per share $ 0.06 $ 0.18 $ 0.00 $ (1.93)
=========== =========== =========== ===========
Diluted income (loss) per share:
Continuing operations $ 0.06 $ 0.17 $ 0.16 $ (0.62)
Discontinued operations (1.31)
Extraordinary item (0.16)
----------- ----------- ----------- -----------
Diluted income (loss) per share $ 0.06 $ 0.17 $ (0.00) $ (1.93)
=========== =========== =========== ===========
Weighted average shares outstanding:
Basic 77,956,000 76,892,000 77,845,000 76,585,000
=========== =========== =========== ===========
Diluted 80,360,000 79,642,000 80,320,000 76,585,000
=========== =========== =========== ===========
Comprehensive income (loss):
Net income (loss) $ 4,526 $ 13,542 $ 203 $ (147,990)
Other comprehensive gain (loss):
Unrealized gain on securities 6,900 6,900
Foreign currency translation (2,085) (9) (8,381) (190)
----------- ----------- ----------- -----------
Total comprehensive income (loss) $ 9,341 $ 13,533 $ (1,278) $ (148,180)
=========== =========== =========== ===========
EBITDA* $ 85,982 $ 71,720 $ 229,160 $ 177,900
=========== =========== =========== ===========
</TABLE>
------------
*EBITDA represents operating income before non cash charges
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WESTERN WIRELESS CORPORATION
SUPPLEMENTAL OPERATIONAL AND FINANCIAL DATA
(Dollars in thousands,)
<TABLE>
<CAPTION>
Three Months Nine Months
Ended Ended
DOMESTIC - CONSOLIDATED September 30, 2000 September 30, 2000
----------------------- ------------------ ------------------
<S> <C> <C>
Revenues:
Subscriber revenues $122,489 $344,005
Roamer revenues 62,825 161,977
Equipment sales 7,777 21,933
Other revenues 1,563 3,793
-------- --------
Total revenues 194,654 531,708
-------- --------
Operating expenses:
Cost of service 26,190 68,690
Cost of equipment sales 11,353 31,321
General and administrative 36,092 107,217
Sales and marketing 32,248 89,834
Depreciation and amortization 29,918 88,676
Stock based compensation 2,928 7,242
-------- --------
Total operating expenses 138,729 392,980
-------- --------
Operating income $ 55,925 $138,728
======== ========
EBITDA(1) $ 88,771 $234,646
======== ========
Ending subscribers 976,500 976,500
======== ========
</TABLE>
<TABLE>
<CAPTION>
Three Months Nine Months
Ended Ended
INTERNATIONAL - PROPORTIONATE(2) September 30, 2000 September 30, 2000
--------------------------------- ------------------ ------------------
<S> <C> <C>
Total revenues - proportionate(2) $ 14,023 $ 28,345
======== ========
EBITDA(1) - proportionate $ 506 $ 4,896
======== ========
Total customers 636,500 636,500
======== ========
Total customers - proportionate(2) 147,500 147,500
======== ========
</TABLE>
------------------
(1) EBITDA represents operating income before non-cash charges, e.g.
depreciation, amortization and stock based compensation.
(2) Based on ownership percentages
