Dish Network 1998 Annual Report Download - page 51

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ECHOSTAR COMMUNICATIONS CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(In thousands, except per share amounts)
See accompanying Notes to Consolidated Financial Statements.
F–4
Year Ended December 31,
1996 1997 1998
Revenue:
DISH Network:
Subscription television services.............................................................. $ 49,650 $ 298,883 $ 669,310
Other........................................................................................................ 10,482 45,367 13,722
Total DISH Network ................................................................................... 60,132 344,250 683,032
DTH equipment sales and integration services........................................... 78,062 91,637 256,193
Satellite services .......................................................................................... 5,822 11,135 22,366
C-band and other ......................................................................................... 54,885 30,396 21,075
Total revenue.................................................................................................... 198,901 477,418 982,666
Costs and Expenses:
DISH Network Operating Expenses:
Subscriber-related expenses.................................................................... 22,840 143,574 296,923
Customer service center and other.......................................................... 13,043 35,137 72,496
Satellite and transmission ....................................................................... 6,573 14,563 25,992
Total DISH Network operating expenses ................................................... 42,456 193,274 395,411
Cost of sales – DTH equipment and integration services ........................... 76,384 61,992 173,388
Cost of sales – C-band and other................................................................. 42,349 23,909 16,496
Marketing:
Subscriber promotion subsidies.............................................................. 33,591 145,061 272,523
Advertising and other.............................................................................. 17,929 34,862 47,998
Total marketing expenses ............................................................................ 51,520 179,923 320,521
General and administrative.......................................................................... 52,123 69,315 97,105
Amortization of subscriber acquisition costs .............................................. 16,073 121,735 18,869
Depreciation and amortization .................................................................... 27,341 51,541 83,767
Total costs and expenses .................................................................................. 308,246 701,689 1,105,557
Operating loss................................................................................................... (109,345) (224,271) (122,891)
Other Income (Expense):
Interest income............................................................................................. 15,630 17,251 30,286
Interest expense, net of amounts capitalized............................................... (61,487) (104,192) (167,529)
Other ............................................................................................................ (477) (1,467) (704)
Total other income (expense)........................................................................... (46,334) (88,408) (137,947)
Loss before income taxes ................................................................................. (155,679) (312,679) (260,838)
Income tax benefit (provision), net .................................................................. 54,693 (146) (44)
Net loss ............................................................................................................. $ (100,986) $ (312,825) $ (260,882)
Change in unrealized gain (loss) on available-for-sale securities,
net of tax ..................................................................................................... (250) (8) 19
Comprehensive loss.......................................................................................... $ (101,236) $ (312,833) $ (260,863)
Net loss attributable to common shareholders (Note 2) .................................. $ (102,190) $ (321,267) $ (296,097)
Weighted-average common shares outstanding .............................................. 40,548 41,918 44,982
Basic and diluted loss per share ....................................................................... $ (2.52) $ (7.66) $ (6.58)