Alltel net customer additions up 76%

14 Aug 2008

Alltel added over a million gross subscribers in the second quarter to 30 June 2008 as net customer additions increased 76% year-on-year. Post-paid net additions were 217,047, up 20%, while pre-paid net additions were 99,089. Post-paid churn for the second quarter was 1.21%, and total churn was 1.92%. Alltel had 13.49 million subscribers at the end of the quarter. Monthly average revenue per user (ARPU) was USD54.42, up 1% year-on- year. Data revenue per customer was USD8.18, up 45% on the same period twelve months previously.

Revenues increased 10% on the same quarter last year to USD2.39 billion, but the company reported a loss of USD69.9 million, due to costs related to the completion of the company’s November 2007 merger with an affiliate of TPG Capital and GS Capital Partners. Consolidated earnings before interest, taxes, depreciation and amortization (EBITDA) was USD898.3 million for the second quarter, a 15% increase on the same period in 2007.

At the beginning of June, Verizon Wireless announced plans to acquire Alltel for USD28.1 billion in a deal expected to close by the end of 2008, dependant on regulatory approval.

United States, Alltel Corporation