Frontier Communications 2011 Annual Report Download - page 48

FRONTIER COMMUNICATIONS CORPORATION AND SUBSIDIARIES
45
2009
($ in thousands) $ Increase % Increase $ Increase % Increase
Amount (Decrease) (Decrease) Amount (Decrease) (Decrease) Amount
Local and long distance services 2,451,311$ 653,929$ 36% 1,797,382$ 850,220$ 90% 947,162$
Data and internet services 1,842,933 607,337 49% 1,235,596 596,781 93% 638,815
Other 329,658 62,736 24% 266,922 94,639 55% 172,283
Customer revenue 4,623,902 1,324,002 40% 3,299,900 1,541,640 88% 1,758,260
Switched access and subsidy 619,141 121,366 24% 497,775 138,141 38% 359,634
Total Revenue 5,243,043$ 1,445,368$ 38% 3,797,675$ 1,679,781$ 79% 2,117,894$
REVENUE
20102011
Local and Long Distance Services
Local and long distance services revenue for 2011 increased $653.9 million, or 36%, to $2,451.3 million, as compared with
2010. Local and long distance services revenue for 2011 increased $836.1 million as a result of the additional six months of
revenue in 2011 attributable to the Acquired Business. Excluding the additional six months of revenue related to the Acquired
Business, local and long distance services revenue decreased $182.2 million, or 10%, as compared with 2010, primarily due
to the continued loss of access lines and, to a lesser extent, decreases in private line services and feature packages.
Local and enhanced services revenue for 2011 increased $527.6 million, or 37%, to $1,970.8 million, as compared with 2010.
Local and enhanced services revenue for 2011 increased $670.6 million as a result of the additional six months of revenue in
2011 attributable to the Acquired Business. Excluding the additional revenue related to the Acquired Business, local and
enhanced services revenue decreased $143.0 million primarily due to the continued loss of access lines and, to a lesser extent,
decreases in private line services and feature packages.
Long distance services revenue for 2011 increased $126.3 million, or 36%, to $480.5 million, as compared with 2010. Long
distance services revenue for 2011 increased $165.5 million as a result of the additional six months of revenue in 2011
attributable to the Acquired Business. Excluding the additional revenue related to the Acquired Business, long distance
services revenue decreased $39.2 million as compared with 2010, primarily due to a decrease in the number of long distance
customers using our bundled service offerings, lower minutes of use and a lower average revenue per minute of use.
Local and long distance services revenue for 2010 increased $850.2 million, or 90%, to $1,797.4 million, as compared with
2009. Local and long distance services revenue for 2010 increased $916.2 million as a result of the Acquired Business. Local
and long distance services revenue for our Frontier legacy operations decreased $66.0 million, or 7%, as compared with 2009.
Local and enhanced services revenue for our Frontier legacy operations declined $70.2 million in 2010, primarily due to the
continued loss of access lines and, to a lesser extent, decreases in private line services and feature packages. Long distance
services revenue for our Frontier legacy operations for 2010 increased $4.2 million as compared with 2009, primarily due to
an increase in the number of long distance customers using our bundled service offerings partially offset by lower minutes of
use and a lower average revenue per minute of use.
Data and Internet Services
Data and internet services revenue for 2011 increased $607.3 million, or 49%, to $1,842.9 million, as compared with 2010.
Data and internet services revenue for 2011 increased $574.7 million as a result of the additional six months of revenue in
2011 attributable to the Acquired Business. Excluding the additional six months of revenue related to the Acquired Business,
data and internet services revenue increased $32.7 million, or 3%, as compared with 2010, primarily due to the overall growth
in the number of HSI subscribers and high-capacity Internet and ethernet circuits purchased by customers. Data services
revenue for 2011, excluding the additional six months of revenue related to the Acquired Business, decreased $12.8 million to
$608.2 million, as compared with 2010, primarily due to higher promotional discounts and customer credits. As of December
31, 2011, the number of the Company’s HSI subscribers increased by approximately 45,200, or 3%, since December 31,
2010. Data and internet services also includes nonswitched access revenue from data transmission services to other carriers
and high-volume commercial customers with dedicated high-capacity Internet and ethernet circuits. Nonswitched access
revenue for 2011, excluding the additional six months of revenue related to the Acquired Business, increased $45.5 million to
$660.0 million, as compared with 2010, primarily due to growth in the number of those circuits.
Data and internet services revenue for 2010 increased $596.8 million, or 93%, to $1,235.6 million, as compared with 2009.
Data and internet services revenue increased $568.0 million as a result of the Acquired Business and increased $28.8 million,
or 5%, for our Frontier legacy operations, as compared with 2009, primarily due to the overall growth in the number of HSI
subscribers and high-capacity Internet and ethernet circuits purchased by customers. Data services revenue for our Frontier
legacy operations for 2010 increased $15.8 million to $373.0 million, as compared with 2009. As of December 31, 2010, the