NII FY net loss widens to USD1.9bn

12 Mar 2015

US-based operator NII Holdings, which filed for relief under Chapter 11 of the Bankruptcy Code in September last year, has reported consolidated operating revenues of USD3.689 billion for full year 2014, a fall of 21.7% from USD4.712 billion the previous year. Consolidated adjusted OIBDA loss totalled USD251.4 million in the twelve month-period, compared to OIBDA of USD458.7 million in 2013. NII, the parent company of Nextel-branded wireless operators in a number of Latin America markets, said its net loss widened from USD1.649 billion to USD1.958 billion in the twelve months to end-December 2014. In January NII Holdings announced an agreement to sell its operations in Mexico to AT&T. The sale is subject to the approval of the US Bankruptcy Court for the Southern District of New York (where the Chapter 11 cases initiated by the company are pending), regulatory approvals in Mexico and the completion of a competitive bidding process that will be conducted under the supervision of the Bankruptcy Court. This transaction is expected to close by mid-2015.

NII recorded a net subscriber loss of 61,400 during 2014, bringing its year-end customer base to 9.184 million, a decrease of 0.7% from 9.246 million at the end of 2013. W-CDMA customers totalled 3.671 million at the end of 4Q14, up from 1.528 million twelve months earlier. Subscribers in Brazil stood at 4.342 million (including 1.672 million W-CDMA users), up from 3.958 million at end-2013, while customers of Nextel Mexico fell 11.5% year-on-year to 2.889 million (including 1.999 million 3G) and Nextel Argentina users decreased 3.4% to 1.954 million.