Cincinnati Bell 2003 Annual Report Download - page 23

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Business Segment Information
Cincinnati Bell Inc.
$ Change % Change $ Change % Change
2003 2003 2002 2002
(Dollars in Millions) 2003 2002 vs. 2002 vs. 2002 2001 vs. 2001 vs. 2001
(Restated)
Local Revenue
Local service $ 466.4 $ 468.1 $ (1.7) - $ 465.3 $ 2.8 1 %
Network access 202.4 204.1 (1.7) (1)% 205.3 (1.2) (1)%
Other services 151.6 160.9 (9.3) (6)% 154.1 6.8 4 %
Total revenue 820.4 833.1 (12.7) (2)% 824.7 8.4 1 %
Operating costs and expenses:
Cost of services and products 260.0 261.8 (1.8) (1)% 271.1 (9.3) (3)%
Selling, general and administrative 133.5 139.5 (6.0) (4)% 134.7 4.8 4 %
Depreciation 125.7 146.7 (21.0) (14)% 140.3 6.4 5 %
Restructuring 4.5 (0.5) 5.0 n/m 12.1 (12.6) n/m
Asset impairments and other charges 0.6 0.3 0.3 100 % - 0.3 n/m
Total operating costs and expenses 524.3 547.8 (23.5) (4)% 558.2 (10.4) (2)%
Operating income $ 296.1 $ 285.3 $ 10.8 4 % $ 266.5 $ 18.8 7 %
Operation margin 36.1 % 34.2 % +2 pts 32.3 % +2 pts
Wireless Revenue
Service $ 246.4 $ 253.3 $ (6.9) (3)% $ 239.0 $ 14.3 6 %
Equipment 13.1 13.9 (0.8) (6)% 15.4 (1.5) (10)%
Total revenue 259.5 267.2 (7.7) (3)% 254.4 12.8 5 %
Operating costs and expenses:
Cost of services and products 110.5 119.5 (9.0) (8)% 131.5 (12.0) (9)%
Selling, general and administrative 50.0 47.3 2.7 6 % 56.9 (9.6) (17)%
Depreciation 38.3 30.6 7.7 25 % 25.3 5.3 21 %
Amortization 0.5 0.7 (0.2) (29)% 3.0 (2.3) (77)%
Total operating costs and expenses 199.3 198.1 1.2 1 % 216.7 (18.6) (9)%
Operating income (loss) $ 60.2 $ 69.1 $ (8.9) (13)% $ 37.7 $ 31.4 83 %
Operating margin 23.2 % 25.9 % (3) pts 14.8 % +11 pts
Other Revenue $ 81.1 $ 82.8 $ (1.7) (2)% $ 79.0 $ 3.8 5 %
Operating costs and expenses:
Cost of services and products 54.1 63.4 (9.3) (15)% 58.8 4.6 8 %
Selling, general and administrative 14.8 15.8 (1.0) (7)% 21.6 (5.8) (27)%
Depreciation 2.0 1.8 0.2 11 % 1.8 - -
Amortization 0.1 0.1 - - - 0.1 100 %
Restructuring - - - n/m 0.5 (0.5) n/m
Asset impairments and other charges 3.6 - 3.6 n/m - - n/m
Total operating costs and expenses 74.6 81.1 (6.5) (8)% 82.7 (1.6) (2)%
Operating income (loss) 6.5 1.7 4.8 n/m (3.7) 5.4 n/m
Operating margin 8.0 %2.1 % +6 pts (4.7)% +7 pts
Broadband Revenue
IT consulting $ 95.3 $ 143.7 $ (48.4) (34)% $ 141.3 $ 2.4 2 %
Broadband transport 159.3 461.6 (302.3) (65)% 466.5 (4.9) (1)%
Switched voice services 111.9 335.9 (224.0) (67)% 383.1 (47.2) (12)%
Data and Internet 80.5 132.9 (52.4) (39)% 121.9 11.0 9 %
Network construction
and other services 1.7 1.3 0.4 31 % 56.8 (55.5) (98)%
Total revenue 448.7 1,075.4 (626.7) (58)% 1,169.6 (94.2) (8)%
Costs,expenses, gains and losses:
Cost of services and products 296.2 655.6 (359.4) (55)% 775.3 (119.7) (15)%
Selling, general and administrative 144.5 308.3 (163.8) (53)% 332.2 (23.9) (7)%
Depreciation 2.5 291.1 (288.6) (99)%273.4 17.7 6 %
Amortization - 24.8 (24.8) (100)% 110.7 (85.9) (78)%
Restructuring (11.0) 32.6 (43.6) n/m 73.9 (41.3) (56)%
Asset impairments and other charges 4.6 2,200.6 (2,196.0) n/m 152.0 2,048.6 n/m
Gain on sale of broadband assets (336.7) - (336.7) n/m - - n/m
Total costs,expenses,gains and losses 100.1 3,513.0 (3,412.9) (97)% 1,717.5 1,795.5 n/m
Operating income (loss) $ 348.6 $(2,437.6) $ 2,786.2 n/m $ (547.9) (1,889.7) n/m
Operating margin 77.7 % n/m n/m (46.8)% n/m