Time Warner Telecom reports results, growth plans
The phone service and Net access provider says it will expand its services to new markets and reports its revenues doubled from the previous year due to higher demand for broadband.
In addition, the company reported revenues of $91.5 million for the fourth quarter ending Dec. 31, 1999. That's a 128 percent increase compared to the $40.1 million reported for the same period last year.
Overall, the company's fourth quarter net losses totaled $2.3 million, less than the $24.3 million from the same period last year. For 1999, the company lost $89.3 million, narrowing from $92.7 in 1998.
The company said its new markets will include Atlanta, Chicago, Minneapolis, Syracuse, N.Y., and Columbia, S.C., among others. Currently, it provides service in 21 metropolitan areas in the United States.
The new push will be backed by a $400 million secured credit facility arranged by Chase Securities, company executives said in statements. Financing is expected to close by April.
Time Warner Telecom, which went public last May, provides regional phone service as well as broadband Internet access. Time Warner currently owns 51 percent of the company.
Executives said the company plans to aggressively expand into new geographic areas, new markets, and new products and services.
"As we expand our core asset by entering additional markets, we will continue to focus our efforts toward on-net, higher-margin recurring revenue over our own fiber networks," Larissa Herda, chief executive of Time Warner Telecom, said in a statement.