Crown Castle International
Contacts: W. Benjamin Moreland, CFO
Jay Brown, VP Finance
Crown Castle International Corp.
FOR IMMEDIATE RELEASE 713-570-3000
Ken Dennard/kdennard@drg-e.com
Lisa Elliott/lisae@drg-e.com
DRG&E
713-529-6600
CROWN CASTLE INTERNATIONAL REPORTS
FOURTH QUARTER AND YEAR-END RESULTS
February 26, 2003 - HOUSTON, TEXAS - Crown Castle International Corp. (NYSE:CCI)
today reported results for the fourth quarter and year-ended December 31, 2002.
Total revenue for the fourth quarter of 2002 was $228.0 million, compared
to $238.2 million for the fourth quarter of 2001. Site rental and broadcast
transmission revenue for the fourth quarter of 2002 increased 15.0 percent to
$179.3 million, up from $155.9 million for the same period in 2001. Net loss
(after deduction of dividends on preferred stock and net of gains on repurchases
of preferred stock) improved to $4.2 million for the fourth quarter of 2002 from
a net loss of $123.3 million for the same period in 2001. Net loss for the
fourth quarter is inclusive of $98.7 million in gains from the retirement of
debt ($49.1 million gain) and preferred securities ($49.6 million gain). Fourth
quarter loss per share was $(0.02) compared to a loss per share of $(0.57) in
last year's fourth quarter. Net cash from operating activities for the fourth
quarter of 2002 was $126.6 million, up from $53.2 million for the same period in
2001. Capital expenditures for the fourth quarter were $40.0 million, down from
$122.0 million for the same period in 2001. Free cash flow, defined as cash from
operating activities less capital expenditures, for the fourth quarter of 2002
was a source of cash of $86.6 million, an improvement from a use of cash of
$68.8 million for the same period in the prior year. At December 31, 2002, cash
and cash equivalents and liquid investments were $631.9 million.
Total revenue for the full year 2002 was $901.5 million, compared to $899.0
million for the full year 2001. Site rental and broadcast transmission revenue
for 2002 increased 17.7 percent to
Page 2 of 7
$677.8 million, up from $576.0 million in 2001. Net loss (after deduction of
dividends on preferred stock and net of gains on repurchases of preferred stock)
improved to $252.9 million in 2002 from a net loss of $445.2 million for the
full year 2001. Net loss for 2002 is inclusive of $178.5 million in gains from
the retirement of debt ($79.1 million gain) and preferred securities ($99.4
million gain). The loss per share for 2002 was $(1.16), compared to a loss per
share of $(2.08) for 2001. Net cash from operating activities for 2002 was
$208.9 million, up from $131.9 million for 2001. Capital expenditures for 2002
were $277.3 million, down from $683.1 million in 2001. Free cash flow for 2002
was a use of cash of $68.3 million, an improvement from a use of cash of $551.2
million for 2001.
Site rental and broadcast transmission gross margin, defined as site rental
and broadcast transmission revenue less site rental and broadcast transmission
cost of operations, increased 15.6 percent to $107.9 million, up $14.6 million
in the fourth quarter of 2002 from the same period in 2001. For the full year
2002, site rental and broadcast transmission gross margin increased 20.9 percent
to $407.8 million, up $70.6 million compared to 2001. Total general and
administrative and corporate development expenses declined $13.2 million, or
11.5 percent in 2002 from 2001.
US tower results for the fourth quarter of 2002 include the net positive
impact of approximately $4.7 million for non-recurring revenue and expense
items, consisting primarily of payments for lease terminations and the
reimbursement of certain operating costs.
"We achieved a significant milestone by producing positive free cash flow
for the fourth quarter," stated John P. Kelly, CEO of Crown Castle. "Throughout
2002, our employees made gains on the four priorities we established at the
beginning of the year of organic growth, margin expansion, prudent capital
allocation and revenue extensions. Through their efforts, we achieved this
important milestone. We are extremely proud of our successful launch on October
30, 2002 of Freeview, a new Digital Terrestrial Television network in the United
Kingdom, which we expect will result in additional annual revenue of between
$37.5 million and $41.0 million with an incremental margin of approximately 80%.
The launch of this new media service clearly demonstrates the value of our
infrastructure beyond leasing associated with wireless voice services."
During the fourth quarter of 2002, Crown Castle developed 42 sites, 37 of
which were developed under our agreement with British Telecom in the UK. On a
broadband equivalent (BBE) basis, net of churn, Crown Castle added 746 new
tenants during the fourth quarter, representing an annualized BBE co-location
rate of 0.19 tenants per tower (including the 0.04 BBE negative impact of 129
terminated leases for which the company recorded $2.3 million in
Page 3 of 7
termination payments), on the 15,557 sites owned and managed at the beginning of
the quarter. Annual same tower rental revenue growth during 2002 was 10.1
percent in the US, or $3,494 per US site, and 24.7 percent in the UK, or $5,065
per UK site, on the sites owned and operated by Crown Castle on December 31,
2001. In addition to the revenue from new wireless customers, and not included
in the above metrics, Crown Castle added approximately $11,400 in annual revenue
per UK site from its Freeview contracts.
"The results for the fourth quarter of 2002 demonstrate the disciplined
operations of our business units," stated W. Benjamin Moreland, CFO of Crown
Castle. "We believe we are well on our way to producing sustained free cash flow
this year, excluding the final acquisition payment for the BT sites in the UK.
Further, we continue to enjoy a superior liquidity position in the tower
industry, ending 2002 with over $1.1 billion in total liquidity, comprised of
over $630 million in cash balances, up from $571 million last quarter after
securities repurchases, and $477 million in availability under our senior credit
facilities. Despite a challenging wireless market, we believe we have the
liquidity and flexibility to take advantage of potential opportunities that may
create long-term value for our shareholders."
During the fourth quarter, Crown Castle retired approximately $154 million
of senior notes and discount notes, approximately $90 million of preferred and
convertible securities and approximately $2 million of common stock using
approximately $135 million in cash. The majority of these purchases were
outlined in Crown Castle's Form 10-Q for the third quarter 2002 in the footnote
entitled "Subsequent Events."
OUTLOOK
The following statements are based on current expectations and assumptions
and assume a US dollar to UK pound exchange rate of 1.55 dollars to 1.00 pound
and a US dollar to Australian dollar exchange rate of 0.50 US dollars to 1.00
Australian dollar. The following Outlook sections contain forward-looking
statements, and actual results may differ materially. Information regarding
potential risks which could cause actual results to differ from the
forward-looking statements herein are set forth below and in the Company's
filings with the Securities and Exchange Commission.
Page 4 of 7
OUTLOOK FOR FIRST QUARTER 2003
For the first quarter 2003, Crown Castle expects site rental and broadcast
transmission revenue to be between $178 million and $182 million including the
previously disclosed expiration of approximately $0.8 million of revenue from
analog dispatch tenants. Crown Castle expects first quarter 2003 net cash
provided by operating activities to be between $(15) million and breakeven.
Crown Castle expects total capital expenditures to be between $30 million and
$40 million excluding the final site acquisition payment of $78 million to BT
during the first quarter 2003. Crown Castle anticipates the foregoing
expectations will result in free cash flow for the first quarter 2003 of between
$(125) million and $(110) million.
OUTLOOK FOR YEARS 2003 AND 2004
For calendar year 2003, Crown Castle expects site rental and broadcast
transmission revenue to be between $735 million and $760 million. Crown Castle
projects total net cash provided by operating activities of between $140 million
and $200 million for 2003. Crown Castle expects total capital expenditures to be
between $95 million and $125 million excluding the final site acquisition
payment of $78 million to BT during year 2003. Crown Castle expects free cash
flow of between $(35) million and breakeven for 2003. Crown Castle's 2003 and
2004 projected net cash provided by operating activities assumes the effect of
converting paid-in-kind interest to cash pay for the 10 5/8 percent, 10 3/8
percent, and 11 1/4 percent Senior Discount Notes and the 12 3/4 percent Senior
Exchangeable Preferred Stock.
The following table sets forth Crown Castle's current 2003 to 2004 guidance
(dollars in millions):
Guidance 2003 - 2004
- --------------------
First Quarter Full Year Full Year
2003 2003 2004
------------- --------- ---------
Site rental and broadcast transmission revenue 178 to 182 735 to 760 765 to 820
Net cash provided by operating activities (15) to 0 140 to 200 140 to 210
Capital expenditures 30 to 40 95 to 125 80 to 130
BT site acquisition 78 78 -
Free cash flow (125) to (110) (35) to 0 50 to 80
UK site builds (# of sites) 75 to 80 240 to 280 200 to 480
US site builds (# of sites) 0 to 5 10 to 20 0 to 20
Page 5 of 7
CONFERENCE CALL DETAILS
Crown Castle has scheduled a conference call for Thursday, February 27,
2003 at 9:30 a.m. eastern time to discuss fourth quarter results and Crown
Castle's Outlook. Please dial 303-262-2190 and ask for the Crown Castle call at
least 10 minutes prior to the start time. A telephonic replay of the conference
call will be available through March 6, 2003 and may be accessed by calling
303-590-3000 using pass code 519944. An audio archive will also be available on
Crown Castle's website at www.crowncastle.com shortly after the call and will be
accessible for approximately 90 days. For more information, please contact Karen
Roan at DRG&E at 1-713-529-6600 or email karen@drg-e.com.
Crown Castle International Corp. engineers, deploys, owns and operates
technologically advanced shared wireless infrastructure, including extensive
networks of towers and rooftops as well as analog and digital audio and
television broadcast transmission systems. Crown Castle offers near-universal
broadcast coverage in the United Kingdom and significant wireless communications
coverage to 68 of the top 100 United States markets, to more than 95 percent of
the UK population and to more than 92 percent of the Australian population.
Crown Castle owns, operates and manages over 15,500 wireless communication sites
internationally. For more information on Crown Castle, visit:
www.crowncastle.com.
ADJUSTED EBITDA
This press release includes presentations of Adjusted EBITDA, which is a
non-GAAP financial measure. Crown Castle defines Adjusted EBITDA as operating
income (loss) plus depreciation and amortization, non-cash general and
administrative compensation charges, asset write-down charges and restructuring
charges. It is not intended as an alternative measure of operating results or
cash flow from operations (as determined in accordance with generally accepted
accounting principles). Further, our measure of Adjusted EBITDA may not be
comparable to similarly titled measures of other companies.
In connection with the Sarbanes-Oxley Act, the Securities and Exchange
Commission has recently adopted rules governing disclosure of non-GAAP financial
measures such as Adjusted EBITDA. We are currently evaluating the impact of such
rules, including new Regulation G.
IMPACT OF CHANGE IN ACCOUNTING FOR GOODWILL
As discussed in previous releases, on January 1, 2002, Crown Castle adopted
new accounting and disclosure requirements in accordance with Statement of
Financial Accounting Standards No. 142, Goodwill and Other Intangible Assets
("SFAS 142"). The most significant provision of SFAS 142 is that goodwill and
other intangible assets with indefinite useful lives will no longer be
amortized, but rather will be tested for impairment on an annual basis. As a
result, Crown Castle's depreciation and amortization expense will decrease by
approximately $60.6 million per year. If amortization of goodwill had not been
recorded during the fourth quarter and full year of
Page 6 of 7
2001, Crown Castle's net loss for those periods would have been $87.6 million
($0.50 per share) and $304.5 million ($1.79 per share), respectively.
SFAS 142 requires that transitional impairment tests be performed at its
adoption, and provides that resulting impairment losses for goodwill and other
intangible assets with indefinite useful lives be reported as the effect of a
change in accounting principal. Crown Castle has completed these initial
impairment tests, and has determined that no impairment losses were to be
recorded upon the adoption of SFAS 142.
Cautionary Language Regarding Forward-Looking Statements
This press release contains forward-looking statements and information that are
based on management's beliefs as well as assumptions made by and information
currently available to management. Such forward-looking statements include, but
are not limited to, expectations, projections and estimates regarding (i)
revenues and margins generated by Freeview, (ii) liquidity, (iii) currency
exchange rates, (iv) revenues, (v) net cash provided by operating activities,
(vi) sites to be acquired and constructed, (vii) capital expenditures, and
(viii) free cash flow.
Although Crown Castle believes that the expectations reflected in such
forward-looking statements are reasonable, it can give no assurance that such
expectations will prove to have been correct. Such statements are subject to
certain risks, uncertainties and assumptions, including but not limited to the
success or failure of our efforts to implement our business strategy and the
following:
* Our substantial level of indebtedness could adversely affect our
ability to react to changes in our business and limit our ability to
use debt to fund future capital needs.
* If we are unable to service our indebtedness, our indebtedness may be
accelerated.
* Our business depends on the demand for wireless communications, which
may be lower or slower than anticipated.
* The continuation of the current economic and telecommunications
industry slowdown could materially and adversely affect our business
and the business of our customers.
* We may be unable to manage our significant growth.
* The loss, consolidation or financial instability of any of our limited
number of customers could materially decrease revenues.
* Restrictive covenants on our debt instruments may limit our ability to
take actions that may be in our best interests.
* We operate in an increasingly competitive industry and many of our
competitors have significantly more resources than we do or have less
debt than we do.
* Technology changes may significantly reduce the demand for towers and
wireless communications sites.
* 2.5G/3G and other technologies, including digital terrestrial
television, may not deploy or be adopted by customers as rapidly or in
the manner projected.
* Carrier consolidation or reduced carrier expansion may significantly
reduce the demand for towers and wireless communication sites.
* Network sharing and other agreements among our customers may act as
alternatives to leasing sites from us.
* We may not be able to construct or acquire new sites and towers in the
locations that we desire.
* Demand for our network services business is very volatile which causes
our network services operating results to vary significantly for any
particular period.
* Future expansion of our business may require significant capital
expenditures, and we may need additional financing which may not be
available at such time.
* We generally lease or sublease the land under our sites and towers and
may not be able to maintain these leases at commercially viable rates.
The loss of any of our ground leases could result in retirement
obligations.
* Extensive regulations, which could change at any time, govern our
business and industry, and we could fail to comply with these
regulations.
* We could suffer from future claims if radio frequency emissions from
equipment on our sites and towers are demonstrated to cause negative
health effects.
* Our international operations expose us to changes in foreign currency
exchange rates.
* We are heavily dependent on our senior management.
Page 7 of 7
* Disputes with customers and suppliers may adversely affect results.
* Sales or issuances, including as dividends, of a substantial number of
shares of our common stock could adversely affect the market price of
our common stock.
* The carrying value of our sites and related goodwill may be subject to
impairment in the future if we are unable to add sufficient additional
tenants to the sites.
Should one or more of these risks materialize, or should underlying assumptions
prove incorrect, actual results may vary materially from those expected. More
information about potential factors, which could affect Crown Castle's financial
results, is included in Crown Castle's filings with the Securities and Exchange
Commission.
[CROWN CASTLE LOGO] CROWN CASTLE INTERNATIONAL CORP.
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
AND OTHER FINANCIAL DATA
(in thousands, except per share data)
Three Months Ended Year Ended
December 31, December 31,
---------------------------- ------------------------------
2002 2001 2002 2001
--------------- ------------ --------------- --------------
Net revenues:
Site rental and broadcast transmission .............. $ 179,280 $ 155,897 $ 677,839 $ 575,961
Network services and other .......................... 48,681 82,289 223,694 322,990
------------ ------------ ------------ ------------
Total net revenues ............................. 227,961 238,186 901,533 898,951
------------ ------------ ------------ ------------
Costs of operations:
Site rental and broadcast transmission .............. 71,421 62,598 270,024 238,748
Network services and other .......................... 39,215 59,237 176,175 228,485
------------ ------------ ------------ ------------
Total costs of operations ...................... 110,636 121,835 446,199 467,233
------------ ------------ ------------ ------------
General and administrative ................................ 22,241 24,721 94,222 102,539
Corporate development ..................................... 1,451 2,447 7,483 12,337
Restructuring charges ..................................... 10,538 164 17,147 19,416
Asset write-down charges .................................. 8,550 8,912 55,796 24,922
Non-cash general and administrative compensation charges .. 1,358 1,388 5,349 6,112
Depreciation and amortization ............................. 76,761 101,119 301,928 328,491
------------ ------------ ------------ ------------
Operating income (loss) ................................... (3,574) (22,400) (26,591) (62,099)
Interest and other income (expense) ....................... 48,089 2,374 66,418 8,548
Interest expense and amortization of deferred
financing costs ......................................... (71,736) (78,523) (302,570) (297,444)
------------ ------------ ------------ ------------
Loss before income taxes and minority interests ........... (27,221) (98,549) (262,743) (350,995)
Provision for income taxes ................................ (6,832) (4,691) (12,276) (16,478)
Minority interests ........................................ (849) 191 2,498 1,306
------------ ------------ ------------ ------------
Net loss .................................................. (34,902) (103,049) (272,521) (366,167)
Dividends on preferred stock, net of gains on repurchases
of preferred stock ...................................... 30,672 (20,258) 19,638 (79,028)
------------ ------------ ------------ ------------
Net loss after deduction of dividends on preferred stock,
net of gains on repurchases of preferred stock ...... $ (4,230) $ (123,307) $ (252,883) $ (445,195)
============ ============ ============ ============
Loss per common share - basic and diluted ................. $ (0.02) $ (0.57) $ (1.16) $ (2.08)
============ ============ ============ ============
Common shares outstanding - basic and diluted ............. 215,138 216,744 218,028 214,246
============ ============ ============ ============
Adjusted EBITDA (before restructuring and asset write-down
charges):
Site rental and broadcast transmission .............. $ 101,009 $ 84,070 $ 374,491 $ 301,903
Network services and other (before corporate
development expenses) .......................... (5,925) 7,560 (13,379) 27,276
------------ ----------- ----------- -----------
Adjusted EBITDA before corporate development
expenses ................................. 95,084 91,630 361,112 329,179
Corporate development ............................... (1,451) (2,447) (7,483) (12,337)
------------ ------------ ------------ ------------
Total Adjusted EBITDA ...................................... $ 93,633 89,183 $ 353,629 $ 316,842
============ ============ ============ ============
[Crown Castle Logo] CROWN CASTLE INTERNATIONAL CORP.
CONDENSED CONSOLIDATED BALANCE SHEET DATA
(in thousands)
December 31, December 31,
2002 2001
------------ -------------
Cash and cash equivalents ................................................ $ 516,172 $ 804,602
Liquid investments:
Short-term ........................................................... 115,697 72,963
Long-term ............................................................ -- 128,500
Property and equipment, net .............................................. 4,828,033 4,844,912
Total assets ............................................................. 6,892,601 7,375,458
Total long-term debt ..................................................... 3,226,960 3,423,097
Redeemable preferred stock ............................................... 756,014 878,861
Stockholders' equity ..................................................... 2,208,498 2,364,648
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS DATA
(in thousands)
Three Months Ended
December 31,
-------------------------
2002 2001
----------- -----------
Cash flows from operating activities:
Net loss ............................................................... $ (34,902) $ (103,049)
Adjustments:
Depreciation and amortization ........................................ 76,761 101,119
Amortization of deferred financing costs and discounts on
long-term debt ..................................................... 19,708 23,668
Non-cash general and administrative compensation charges ............. 1,358 1,388
Asset write-down charges ............................................. 8,550 8,912
Equity in losses and write-downs of unconsolidated affiliates ........ 1,398 274
Gains on purchases of long-term debt ................................. (49,140) --
Minority interests ................................................... 849 (191)
Changes in assets and liabilities .................................... 101,977 21,101
--------- ----------
Net cash provided by operating activities ........................ 126,559 53,222
--------- ----------
Cash flows from investing activities:
Capital expenditures ................................................... (39,983) (121,990)
Other investing activities ............................................. (153) 317,842
Cash flows from financing activities ....................................... (179,997) 20,380
Effect of exchange rate changes on cash .................................... 4,427 (1,547)
--------- ----------
Net increase (decrease) in cash and cash equivalents ....................... (89,147) 267,907
Cash and cash equivalents at beginning of period ........................... 605,319 536,695
--------- ----------
Cash and cash equivalents at end of period ................................. 516,172 $ 804,602
========= ==========
CROWN CASTLE INTERNATIONAL CORP.
Towers & Tenants Fact Sheet
Quarter Ended 3/31/02
US UK AUS Total
Sites:
Owned Towers 10,540 3,125 1,157 14,702
Managed Towers 14 - 234 248
Owned & Managed Sites 10,554 3,125 1,402 15,081
Rooftop Sites 159 51 - 210
Total Sites 10,713 3,176 1,402 15,291
Site Activity:
Beginning Sites 10,638 3,087 1,391 15,116
Built 75 89 9 173
Acquired - - 2 2
Lost - - - -
Managed Sites Added - - - -
Ending Sites 10,713 3,176 1,402 15,291
Quarter Ended 6/30/02
US UK AUS Total
Sites:
Owned Towers 10,596 3,240 1,147 14,983
Managed Towers 14 - 255 269
Owned & Managed Sites 10,610 3,240 1,402 15,252
Rooftop Sites 159 51 - 210
Total Sites 10,769 3,291 1,402 15,462
Site Activity:
Beginning Sites 10,713 3,176 1,402 15,291
Built 56 115 - 171
Acquired - - - -
Lost - - - -
Managed Sites Added - - - -
Ending Sites 10,769 3,291 1,402 15,462
Quarter Ended 9/30/02
US UK AUS Total
Sites:
Owned Towers 10,621 3,309 1,148 15,078
Managed Towers 14 - 255 269
Owned & Managed Sites 10,635 3,309 1,403 15,347
Rooftop Sites 159 51 - 210
Total Sites 10,794 3,360 1,403 15,557
Site Activity:
Beginning Sites 10,769 3,291 1,402 15,462
Built 25 69 - 94
Acquired - - 1 1
Lost -
Managed Sites Added - - - -
Ending Sites 10,794 3,360 1,403 15,557
Quarter Ended 12/31/02
US UK AUS Total
Sites:
Owned Towers 10,621 3,346 1,132 15,099
Managed Towers 14 - 255 269
Owned & Managed Sites 10,635 3,346 1,387 15,368
Rooftop Sites 159 51 - 210
Total Sites 10,794 3,397 1,387 15,578
Site Activity:
Beginning Sites 10,794 3,360 1,403 15,557
Built 4 37 1 42
Acquired - - 4 4
Lost (4) - (21) (25)
Managed Sites Added - - - -
Ending Sites 10,794 3,397 1,387 15,578
Quarter Ended 3/31/02
US UK AUS Total
Tenant Activity:
Beginning Tenants 24,359 8,081 2,860 35,300
Anchors on Builds 31 89 9 129
New 870 310 85 1,265
Acquired - - 2 2
Ending Tenants 25,260 8,480 2,956 36,696
Quarter Ended 6/30/02
US UK AUS Total
Tenant Activity:
Beginning Tenants 25,260 8,480 2,956 36,696
Anchors on Builds 30 115 - 145
New 524 264 112 900
Acquired - - - -
Ending Tenants 25,814 8,859 3,068 37,741
Quarter Ended 9/30/02
US UK AUS Total
Tenant Activity:
Beginning Tenants 25,814 8,859 3,068 37,741
Anchors on Builds 16 69 - 85
New 462 254 72 788
Acquired - - - -
Ending Tenants 26,292 9,182 3,140 38,614
Quarter Ended 12/31/02
US UK AUS Total
Tenant Activity:
Beginning Tenants 26,292 9,182 3,140 38,614
Anchors on Builds 1 37 - 38
New 307 225 166 698
Acquired - - - -
Ending Tenants 26,600 9,444 3,306 39,350
Quarter Ended 3/31/02
US UK AUS Total
Tenants per Site 2.4 2.7 2.1 2.4
New Tenants per Site 0.08 0.13 0.07 0.09
Annualized 0.34 0.50 0.27 0.36
Pure Co-Lo's per Site 0.08 0.10 0.06 0.08
Annualized 0.33 0.40 0.24 0.33
Quarter Ended 6/30/02
US UK AUS Total
Tenants per Site 2.4 2.7 2.2 2.4
New Tenants per Site 0.05 0.12 0.08 0.07
Annualized 0.21 0.46 0.32 0.27
Pure Co-Lo's per Site 0.05 0.08 0.08 0.06
Annualized 0.20 0.33 0.32 0.24
Quarter Ended 9/30/02
US UK AUS Total
Tenants per Site 2.4 2.7 2.2 2.5
New Tenants per Site 0.04 0.10 0.05 0.06
Annualized 0.18 0.38 0.21 0.22
Pure Co-Lo's per Site 0.04 0.08 0.05 0.05
Annualized 0.17 0.31 0.21 0.20
Quarter Ended 12/31/02
US UK AUS Total
Tenants per Site 2.5 2.8 2.4 2.5
New Tenants per Site 0.03 0.08 0.12 0.05
Annualized 0.11 0.31 0.47 0.19
Pure Co-Lo's per Site 0.03 0.07 0.12 0.04
Annualized 0.11 0.27 0.47 0.18
Quarter Ended 3/31/02
US UK AUS Total
Avg Monthly Lease Rate per New
Tenant
Local Currency 1,479 750 1,080
US Dollars 1,479 1,070 558
Assumed Broadband Rate, USD 1,500 650 1,000
New Tenants 870 310 85 1,265
Broadband Equivalent New Tenants 858 510 47 1,415
BBE Co-Lo's per Site 0.08 0.17 0.03 0.09
Annualized 0.32 0.66 0.14 0.37
BBE Adds from Escalations
Total BBE Tenants Added
Total BBE Co-Lo's Per Site
Annualized
Quarter Ended 6/30/02
US UK AUS Total
Avg Monthly Lease Rate per New
Tenant
Local Currency 1,476 735 1,182
US Dollars 1,476 1,078 650
Assumed Broadband Rate, USD 1,500 650 1,000
New Tenants 524 264 112 900
Broadband Equivalent New Tenants 516 438 73 1,026
BBE Co-Lo's per Site 0.05 0.14 0.05 0.07
Annualized 0.19 0.55 0.21 0.27
BBE Adds from Escalations
Total BBE Tenants Added
Total BBE Co-Lo's Per Site
Annualized
Quarter Ended 9/30/02
US UK AUS Total
Avg Monthly Lease Rate per New
Tenant
Local Currency 1,547 769 594
US Dollars 1,547 1,192 324
Assumed Broadband Rate, USD 1,500 650 1,000
New Tenants 462 254 72 788
Broadband Equivalent New Tenants 476 466 23 966
BBE Co-Lo's per Site 0.04 0.14 0.02 0.06
Annualized 0.18 0.57 0.07 0.25
BBE Adds from Escalations 186 20 31 237
Total BBE Tenants Added 662 486 54 1202
Total BBE Co-Lo's Per Site 0.06 0.15 0.04 0.08
Annualized 0.25 0.59 0.16 0.31
Quarter Ended 12/31/02
US UK AUS Total
Avg Monthly Lease Rate per New
Tenant
Local Currency 1,467 651 986
US Dollars 1,467 1,025 550
Assumed Broadband Rate, USD 1,500 650 1,000
New Tenants 307 225 166 698
Broadband Equivalent New Tenants 300 355 91 746
BBE Co-Lo's per Site 0.03 0.11 0.07 0.05
Annualized 0.11 0.42 0.26 0.19
BBE Adds from Escalations 127 257 - 384
Total BBE Tenants Added 427 612 91 1130
Total BBE Co-Lo's Per Site 0.04 0.18 0.07 0.07
Annualized 0.16 0.73 0.26 0.29
CROWN CASTLE INTERNATIONAL CORP.
Towers & Tenants Fact Sheet
Restricted and Unrestricted Subsidiaries
Quarter Ended 3/31/02
Restricted Crown
Group Atlantic UK Total
Sites:
Owned Towers 9,673 2,014 3,125 14,723
Managed Towers 269 - - 269
Owned & Managed Sites 9,942 2,014 3,125 15,081
Rooftop Sites 159 - 51 210
Total Sites 10,101 2,014 3,176 15,291
Site Activity:
Beginning Sites 10,018 2,011 3,087 15,116
Built 80 4 89 173
Acquired 2 - - 2
Converted
Lost 1 (1) - -
Managed Sites Added - - - -
Ending Sites 10,101 2,014 3,176 15,291
Quarter Ended 6/30/02
Restricted Crown
Group Atlantic UK Total
Sites:
Owned Towers 9,723 2,020 3,240 14,983
Managed Towers 269 - - 269
Owned & Managed Sites 9,992 2,020 3,240 15,252
Rooftop Sites 159 - 51 210
Total Sites 10,151 2,020 3,291 15,462
Site Activity:
Beginning Sites 10,101 2,014 3,176 15,291
Built 50 6 115 171
Acquired - - - -
Converted - -
Lost - - - -
Managed Sites Added - - - -
Ending Sites 10,151 2,020 3,291 15,462
Quarter Ended 9/30/02
Restricted Crown
Group Atlantic UK Total
Sites:
Owned Towers 9,745 2,024 3,309 15,078
Managed Towers 269 - - 269
Owned & Managed Sites 10,014 2,024 3,309 15,347
Rooftop Sites 159 - 51 210
Total Sites 10,173 2,024 3,360 15,557
Site Activity:
Beginning Sites 10,151 2,020 3,291 15,462
Built 21 4 69 94
Acquired 1 - - 1
Converted - - -
Lost - - - -
Managed Sites Added - - - -
Ending Sites 10,173 2,024 3,360 15,557
Quarter Ended 12/31/02
Restricted Crown
Group Atlantic UK Total
Sites:
Owned Towers 9,733 2,020 3,346 15,099
Managed Towers 269 - - 269
Owned & Managed Sites 10,002 2,020 3,346 15,368
Rooftop Sites 159 - 51 210
Total Sites 10,161 2,020 3,397 15,578
Site Activity:
Beginning Sites 10,173 2,024 3,360 15,557
Built 5 - 37 42
Acquired 4 - - 4
Converted - - - -
Lost (21) (4) - (25)
Managed Sites Added - - - -
Ending Sites 10,161 2,020 3,397 15,578
Quarter Ended 3/31/02
Restricted Crown
Group Atlantic UK Total
Tenant Activity:
Beginning Tenants 22,630 4,589 8,081 35,300
Anchors on Builds 40 - 89 129
New 816 139 310 1,265
Acquired 2 - - 2
Ending Tenants 23,488 4,728 8,480 36,696
Quarter Ended 6/30/02
Restricted Crown
Group Atlantic UK Total
Tenant Activity:
Beginning Tenants 23,488 4,728 8,480 36,696
Anchors on Builds 30 - 115 145
New 561 75 264 900
Acquired - - - -
Ending Tenants 24,079 4,803 8,859 37,741
Quarter Ended 9/30/02
Restricted Crown
Group Atlantic UK Total
Tenant Activity:
Beginning Tenants 24,079 4,803 8,859 37,741
Anchors on Builds 16 - 69 85
New 400 134 254 788
Acquired - - - -
Ending Tenants 24,495 4,937 9,182 38,614
Quarter Ended 12/31/02
Restricted Crown
Group Atlantic UK Total
Tenant Activity:
Beginning Tenants 24,495 4,937 9,182 38,614
Anchors on Builds 1 - 37 38
New 480 (7) 225 698
Acquired - - - -
Ending Tenants 24,976 4,930 9,444 39,350
Quarter Ended 3/31/02
Restricted Crown
Group Atlantic UK Total
Tenants per Site 2.3 2.3 2.7 2.4
New Tenants per Site 0.08 0.07 0.13 0.09
Annualized 0.34 0.28 0.50 0.36
Pure Co-Lo's per Site 0.08 0.07 0.10 0.08
Annualized 0.33 0.28 0.40 0.33
Quarter Ended 6/30/02
Restricted Crown
Group Atlantic UK Total
Tenants per Site 2.4 2.4 2.7 2.4
New Tenants per Site 0.06 0.04 0.12 0.07
Annualized 0.23 0.15 0.46 0.27
Pure Co-Lo's per Site 0.06 0.04 0.08 0.06
Annualized 0.22 0.15 0.33 0.24
Quarter Ended 9/30/02
Restricted Crown
Group Atlantic UK Total
Tenants per Site 2.4 2.4 2.7 2.5
New Tenants per Site 0.04 0.07 0.10 0.06
Annualized 0.16 0.26 0.38 0.22
Pure Co-Lo's per Site 0.04 0.07 0.08 0.05
Annualized 0.16 0.27 0.31 0.20
Quarter Ended 12/31/02
Restricted Crown
Group Atlantic UK Total
Tenants per Site 2.5 2.4 2.8 2.5
New Tenants per Site 0.05 (0.00) 0.08 0.05
Annualized 0.19 (0.01) 0.31 0.19
Pure Co-Lo's per Site 0.05 (0.00) 0.07 0.04
Annualized 0.19 (0.01) 0.27 0.18
CROWN CASTLE INTERNATIONAL CORP.
Summary Fact Sheet
(in $ thousands)
Quarter Ended 03/31/02
US UK AUS CCIC
Revenues
Site Rental 101,796 53,455 5,013 160,264
Services 43,775 15,945 633 60,353
Total Revenues 145,571 69,400 5,646 220,617
Operating Expenses
Site Rental 35,115 24,717 2,234 62,066
Services 31,185 12,139 401 43,725
Total Operating Expenses 66,299 36,856 2,635 105,790
General & Administrative
Site Rental 4,884 1,388 1,261 7,533
Services 13,916 339 - 14,255
Total General & Administrative 18,800 1,727 1,261 21,788
Operating Cash Flow
Site Rental 61,798 27,350 1,518 90,665
Services (1,326) 3,467 232 2,373
Total Pre-Overhead Cash Flow 60,472 30,817 1,750 93,038
Corporate Overhead 2,239 - - 2,239
Adjusted EBITDA 58,233 30,817 1,750 90,799
Quarter Ended 06/30/02
US UK AUS CCIC
Revenues
Site Rental 103,373 62,409 6,170 171,952
Services 44,069 8,934 576 53,579
Total Revenues 147,442 71,343 6,746 225,531
Operating Expenses
Site Rental 35,622 28,235 2,089 65,946
Services 35,339 10,150 358 45,847
Total Operating Expenses 70,961 38,385 2,447 111,793
General & Administrative
Site Rental 5,574 4,560 1,518 11,652
Services 15,294 1,786 - 17,080
Total General & Administrative 20,868 6,346 1,518 28,732
Operating Cash Flow
Site Rental 62,177 29,614 2,563 94,354
Services (6,564) (3,002) 218 (9,348)
Total Pre-Overhead Cash Flow 55,613 26,612 2,781 85,006
Corporate Overhead 1,733 - - 1,733
Adjusted EBITDA 53,880 26,612 2,781 83,273
Quarter Ended 09/30/02
US UK AUS CCIC
Revenues
Site Rental 104,763 55,230 6,350 166,343
Services 41,228 19,226 627 61,081
Total Revenues 145,991 74,456 6,977 227,424
Operating Expenses
Site Rental 39,707 28,743 2,141 70,591
Services 31,960 15,009 419 47,388
Total Operating Expenses 71,667 43,752 2,560 117,979
General & Administrative
Site Rental 5,037 924 1,328 7,289
Services 13,754 418 - 14,172
Total General & Administrative 18,791 1,342 1,328 21,461
Operating Cash Flow
Site Rental 60,019 25,563 2,881 88,463
Services (4,486) 3,799 208 (479)
Total Pre-Overhead Cash Flow 55,533 29,362 3,089 87,984
Corporate Overhead 2,060 - - 2,060
Adjusted EBITDA 53,473 29,362 3,089 85,924
Quarter Ended 12/31/02
US UK AUS CCIC
Revenues
Site Rental 108,023 65,248 6,009 179,280
Services 27,651 20,372 658 48,681
Total Revenues 135,674 85,620 6,667 227,961
Operating Expenses
Site Rental 37,080 31,888 2,453 71,421
Services 21,914 16,850 451 39,215
Total Operating Expenses 58,994 48,738 2,904 110,636
General & Administrative
Site Rental 4,797 392 1,661 6,850
Services 15,220 171 - 15,391
Total General & Administrative 20,017 563 1,661 22,241
Operating Cash Flow
Site Rental 66,146 32,968 1,895 101,009
Services (9,483) 3,351 207 (5,925)
Total Pre-Overhead Cash Flow 56,663 36,319 2,102 95,084
Corporate Overhead 1,451 - - 1,451
Adjusted EBITDA 55,212 36,319 2,102 93,633
Quarter Ended 03/31/02
US UK AUS CCIC
Gross Margins:
Site Rental 66% 54% 55% 61%
Services 29% 24% 37% 28%
Operating Cash Flow Margins
Site Rental 61% 51% 30% 57%
Services -3% 22% 37% 4%
Adjusted EBITDA Margin 40% 44% 31% 41%
Quarter Ended 06/30/02
US UK AUS CCIC
Gross Margins:
Site Rental 66% 55% 66% 62%
Services 20% -14% 38% 14%
Operating Cash Flow Margins
Site Rental 60% 47% 42% 55%
Services -15% -34% 38% -17%
Adjusted EBITDA Margin 37% 37% 41% 37%
Quarter Ended 09/30/02
US UK AUS CCIC
Gross Margins:
Site Rental 62% 48% 66% 58%
Services 22% 22% 33% 22%
Operating Cash Flow Margins
Site Rental 57% 46% 45% 53%
Services -11% 20% 33% -1%
Adjusted EBITDA Margin 37% 39% 44% 38%
Quarter Ended 12/31/02
US UK AUS CCIC
Gross Margins:
Site Rental 66% 51% 59% 60%
Services 21% 17% 31% 19%
Operating Cash Flow Margins
Site Rental 61% 51% 32% 56%
Services -34% 16% 31% -12%
Adjusted EBITDA Margin 41% 42% 32% 41%
CROWN CASTLE INTERNATIONAL CORP.
Summary Fact Sheet
Restricted and Unrestricted Subsidiaries
(in $ thousands)
Quarter Ended 03/31/02
Crown
Restricted UK Atlantic Other CCIC
Revenues
Site Rental 84,266 53,455 22,543 - 160,264
Services 37,982 15,945 6,426 - 60,353
Total Revenues 122,248 69,400 28,969 - 220,617
Operating Expenses
Site Rental 28,530 24,717 8,819 - 62,066
Services 28,037 12,139 3,549 - 43,725
Total Operating Expenses 56,567 36,856 12,368 - 105,790
General & Administrative
Site Rental 5,586 1,388 559 - 7,533
Services 12,698 339 1,178 40 14,255
Total General & Administrative 18,284 1,727 1,737 40 21,788
Operating Cash Flow
Site Rental 50,150 27,350 13,165 - 90,665
Services (2,753) 3,467 1,699 (40) 2,373
Total Pre-Overhead Cash Flow 47,397 30,817 14,864 (40) 93,038
Corporate Overhead 2,239 - - - 2,239
Adjusted EBITDA 45,158 30,817 14,864 (40) 90,799
Quarter Ended 06/30/02
Crown
Restricted UK Atlantic Other CCIC
Revenues
Site Rental 86,491 62,409 23,052 - 171,952
Services 38,081 8,934 6,564 - 53,579
Total Revenues 124,572 71,343 29,616 - 225,531
Operating Expenses
Site Rental 28,951 28,235 8,760 - 65,946
Services 31,076 10,150 4,621 - 45,847
Total Operating Expenses 60,027 38,385 13,381 - 111,793
General & Administrative
Site Rental 6,787 4,560 305 - 11,652
Services 14,517 1,786 688 89 17,080
Total General & Administrative 21,304 6,346 993 89 28,732
Operating Cash Flow
Site Rental 50,753 29,614 13,987 - 94,354
Services (7,512) (3,002) 1,255 (89) (9,348)
Total Pre-Overhead Cash Flow 43,241 26,612 15,242 (89) 85,006
Corporate Overhead 1,733 - - - 1,733
Adjusted EBITDA 41,508 26,612 15,242 (89) 83,273
Quarter Ended 09/30/02
Crown
Restricted UK Atlantic Other CCIC
Revenues
Site Rental 87,300 55,230 23,813 - 166,343
Services 34,658 19,226 7,197 - 61,081
Total Revenues 121,958 74,456 31,010 - 227,424
Operating Expenses
Site Rental 32,380 28,743 9,468 - 70,591
Services 29,082 15,009 3,297 - 47,388
Total Operating Expenses 61,462 43,752 12,765 - 117,979
General & Administrative
Site Rental 5,943 924 422 7,289
Services 12,356 418 906 492 14,172
Total General & Administrative 18,299 1,342 1,328 492 21,461
Operating Cash Flow
Site Rental 48,977 25,563 13,923 88,463
Services (6,780) 3,799 2,994 (492) (479)
Total Pre-Overhead Cash Flow 42,197 29,362 16,917 (492) 87,984
Corporate Overhead 2,060 - - - 2,060
Adjusted EBITDA 40,137 29,362 16,917 (492) 85,924
Quarter Ended 12/31/02
Crown
Restricted UK Atlantic Other CCIC
Revenues
Site Rental 89,684 65,248 24,348 - 179,280
Services 22,663 20,372 5,646 - 48,681
Total Revenues 112,347 85,620 29,994 - 227,961
Operating Expenses
Site Rental 29,898 31,888 9,635 - 71,421
Services 19,991 16,850 2,374 - 39,215
Total Operating Expenses 49,889 48,738 12,009 - 110,636
General & Administrative
Site Rental 6,006 392 452 - 6,850
Services 12,758 171 1,015 1,447 15,391
Total General & Administrative 18,764 563 1,467 1,447 22,241
Operating Cash Flow
Site Rental 53,780 32,968 14,261 - 101,009
Services (10,086) 3,351 2,257 (1,447) (5,925)
Total Pre-Overhead Cash Flow 43,694 36,319 16,518 (1,447) 95,084
Corporate Overhead 1,451 - - - 1,451
Adjusted EBITDA 42,243 36,319 16,518 (1,447) 93,633
Quarter Ended 03/31/02
Crown
Restricted UK Atlantic Other CCIC
Gross Margins:
Site Rental 66% 54% 61% - 61%
Services 26% 24% 45% - 28%
Operating Cash Flow Margins
Site Rental 60% 51% 58% - 57%
Services -7% 22% 26% - 4%
Adjusted EBITDA Margin 37% 44% 51% N/A 41%
Quarter Ended 06/30/02
Crown
Restricted UK Atlantic Other CCIC
Gross Margins:
Site Rental 67% 55% 62% - 62%
Services 18% -14% 30% - 14%
Operating Cash Flow Margins
Site Rental 59% 47% 61% - 55%
Services -20% -34% 19% - -17%
Adjusted EBITDA Margin 33% 37% 51% N/A 37%
Quarter Ended 09/30/02
Crown
Restricted UK Atlantic Other CCIC
Gross Margins:
Site Rental 63% 48% 60% - 58%
Services 16% 22% 54% - 22%
Operating Cash Flow Margins
Site Rental 56% 46% 58% - 53%
Services -20% 20% 42% - -1%
Adjusted EBITDA Margin 33% 39% 55% N/A 38%
Quarter Ended 12/31/02
Crown
Restricted UK Atlantic Other CCIC
Gross Margins:
Site Rental 67% 51% 60% - 60%
Services 12% 17% 58% - 19%
Operating Cash Flow Margins
Site Rental 60% 51% 59% - 56%
Services -45% 16% 40% - -12%
Adjusted EBITDA Margin 38% 42% 55% N/A 41%
Contacts: W. Benjamin Moreland, CFO
Jay Brown, VP Finance
Crown Castle International Corp.
713-570-3000
Ken Dennard / kdennard@drg-e.com
Lisa Elliott / lelliott@drg-e.com
DRG&E
713-529-6600