XO Communications 2010 Annual Report Download - page 42

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analyze our goodwill and indefinite-lived intangible assets for impairment, if actual results are not consistent
with our assumptions and estimates, we may be required to record additional impairment charges in future
periods.
Results of Operations
The following tables contain certain data from our Consolidated Statements of Operations for the years
ended December 31, 2010, 2009 and 2008 (dollars in thousands):
2010
%of
Consolidated
Revenue 2009
%of
Consolidated
Revenue
Change
Dollars Percent
Revenue ............. $1,529,241 100.0% $1,521,288 100.0% $ 7,953 0.5%
Cost and expenses
Cost of service* ...... 869,370 56.8 879,979 57.8 (10,609) (1.2)%
Selling, general and
administrative ...... 469,120 30.7 489,427 32.2 (20,307) (4.1)%
Depreciation and
amortization ....... 183,732 12.0 180,144 11.8 3,588 2.0%
Impairment of LMDS
licenses .......... 20,000 1.3 8,282 0.5 11,718 141.5%
Loss on disposal of
assets ............ 5,781 0.4 10,688 0.7 (4,907) (45.9)%
Total cost and
expenses ........ 1,548,003 101.2 1,568,520 103.0 (20,517) (1.3)%
Loss from operations..... (18,762) (1.2) (47,232) (3.1) 28,470 (60.3)%
Interest income......... 212 — 11,844 0.8 (11,632) (98.2)%
Investment gain, net ..... 6,846 0.4 59,986 3.9 (53,140) (88.6)%
Interest expense, net ..... (329) — (1,568) (0.1) 1,239 (79.0)%
Net (loss) income before
income taxes......... (12,033) (0.8) 23,030 1.5 (35,063) (152.2)%
Income tax benefit
(expense) ........... 191 0.0 (1,195) (0.1) 1,386 (116.0)%
Net (loss) income ....... (11,842) (0.8) 21,835 1.4 (33,677) (154.2)%
Preferred stock accretion . . (73,272) (4.8) (79,642) (5.2) 6,370 (8.0)%
Net loss allocable to
common shareholders . $ (85,114) (5.6)% $ (57,807) (3.8)% $(27,307) (47.2)%
38