Attached files
| file | filename |
|---|---|
| 8-K - SHENANDOAH TELECOMMUNICATIONS COMPANY 8-K 4-20-2010 - SHENANDOAH TELECOMMUNICATIONS CO/VA/ | form8k.htm |
| EX-99.2 - EXHIBIT 99.2 - SHENANDOAH TELECOMMUNICATIONS CO/VA/ | ex99_2.htm |
Annual Shareholder Meeting
April 20, 2010
Exhibit 99.1
2
Safe Harbor Statement
This presentation includes “forward-looking statements” within the meaning of Section 27A of the
Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended, regarding,
among other things, our business strategy, our prospects and our financial position. These
statements can be identified by the use of forward-looking terminology such as “believes,”
“estimates,” “expects,” “intends,” “may,” “will,” “should,” “could,” or “anticipates” or the negative or
other variation of these similar words, or by discussions of strategy or risks and uncertainties. These
statements are based on current expectations of future events. If underlying assumptions prove
inaccurate or unknown risks or uncertainties materialize, actual results could vary materially from the
Company’s expectations and projections. Important factors that could cause actual results to differ
materially from such forward-looking statements include, without limitation, risks related to the
following:
Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended, regarding,
among other things, our business strategy, our prospects and our financial position. These
statements can be identified by the use of forward-looking terminology such as “believes,”
“estimates,” “expects,” “intends,” “may,” “will,” “should,” “could,” or “anticipates” or the negative or
other variation of these similar words, or by discussions of strategy or risks and uncertainties. These
statements are based on current expectations of future events. If underlying assumptions prove
inaccurate or unknown risks or uncertainties materialize, actual results could vary materially from the
Company’s expectations and projections. Important factors that could cause actual results to differ
materially from such forward-looking statements include, without limitation, risks related to the
following:
qIncreasing competition in the communications industry; and
qA complex and uncertain regulatory environment.
A further list and description of these risks, uncertainties and other factors can be found in the
Company’s SEC filings which are available online at www.sec.gov, www.shentel.com or on request
from the Company. The Company does not undertake to update any forward-looking statements as
a result of new information or future events or developments
Company’s SEC filings which are available online at www.sec.gov, www.shentel.com or on request
from the Company. The Company does not undertake to update any forward-looking statements as
a result of new information or future events or developments
3
Use of Non-GAAP Financial Measures
Included in this presentation are certain non-GAAP financial measures that are not determined in
accordance with US generally accepted accounting principles. These financial performance measures
are not indicative of cash provided or used by operating activities and exclude the effects of certain
operating, capital and financing costs and may differ from comparable information provided by other
companies, and they should not be considered in isolation, as an alternative to, or more meaningful
than measures of financial performance determined in accordance with US generally accepted
accounting principles. These financial performance measures are commonly used in the industry and
are presented because Shentel believes they provide relevant and useful information to investors.
Shentel utilizes these financial performance measures to assess its ability to meet future capital
expenditure and working capital requirements, to incur indebtedness if necessary, return investment
to shareholders and to fund continued growth. Shentel also uses these financial performance
measures to evaluate the performance of its businesses and for budget planning purposes.
accordance with US generally accepted accounting principles. These financial performance measures
are not indicative of cash provided or used by operating activities and exclude the effects of certain
operating, capital and financing costs and may differ from comparable information provided by other
companies, and they should not be considered in isolation, as an alternative to, or more meaningful
than measures of financial performance determined in accordance with US generally accepted
accounting principles. These financial performance measures are commonly used in the industry and
are presented because Shentel believes they provide relevant and useful information to investors.
Shentel utilizes these financial performance measures to assess its ability to meet future capital
expenditure and working capital requirements, to incur indebtedness if necessary, return investment
to shareholders and to fund continued growth. Shentel also uses these financial performance
measures to evaluate the performance of its businesses and for budget planning purposes.
4
Net Income from Continuing Operations
5
Cable Segment Operating Losses
6
Cable Segment RGU Growth
Excludes the impact of RGU’s in markets sold in 4Q’09
7
Wireless Segment
PCS Subscribers (000s)
Number of Cell Sites
8
Need for Diversification
9
Acquisition of Jet Broadband
q Diversification
q Scale
q Coaxial Network
q Synergies
q Geographic Fit
q Leveraging Core Competencies
10
JBB Network
11
Percent of Homes Passed with Services
12
Key Operational Metrics With Jet Broadband
Pro Forma for Periods Ending December 31, 2009
Pro Forma for Periods Ending December 31, 2009
Cable Homes Passed (in 000’s)
13
Key Operational Metrics With Jet Broadband
Pro Forma for Periods Ending December 31, 2009
Pro Forma for Periods Ending December 31, 2009
RGU’s (in 000’s)
14
Key Operational Metrics - With Acquisition
Pro Forma for Periods Ending December 31, 2009
Pro Forma for Periods Ending December 31, 2009
Revenues (in millions)
15
Key Operational Metrics - With Acquisition
Pro Forma for Periods Ending December 31, 2009
Pro Forma for Periods Ending December 31, 2009
Operating Income Before Depreciation and Amortization (in millions)
16
Adele Skolits
CFO and VP of Finance
17
Earnings Per Share (EPS)
*-Includes gain on sale of Rural Telephone Bank stock of $.27 in EPS from Continuing
Operations and EPS
Operations and EPS
18
Profitability ($millions)
19
Operating Cash Flow
Change between 2008 and 2009
20
Total Return - 5 Years
21
Level of Debt
Periods Ending December 31, 2009
Periods Ending December 31, 2009
Debt (in millions)
22
Level of Debt
Debt to Operating Cash Flow
23
Shareholder Services
Direct Registration
Householding
-Eliminates the need for physical stock certificates
-Eliminates the risk of certificates being lost, stolen
or destroyed
-To use, need to surrender paper certificates
-Entirely optional
-Will now only send one copy of the proxy
statement and annual report to a household
-Still will get separate proxy cards for each
shareholder account
-Can elect to continue receiving multiple copies
-Information will be mailed in coming weeks
24
Earle MacKenzie
COO and EVP
25
Key Operational Results - Wireless
PCS Retail Subscribers (000s)
26
Key Operational Results - Wireless
PCS Gross Additions
PCS Net Additions
27
Key Operational Results - Wireless
PCS Gross Billed Data & Voice
28
$134.2
$144.8
Key Operational Results - Wireless
PCS Annual Billed Service Revenues (in millions)
29
Key Operational Results - Wireline
Access lines (000s)
30
Key Operational Results - Wireline
Internet Customers (000s)
31
Key Operational Results - Cable
Number of RGUs (000’s)
32
Capital Expenditures by Segment ($ millions)
Annual Shareholder Meeting
April 20, 2010