McLeodUSA Reports Q4 Revenue of $230 Million

McLeodUSA, one of the largest CLECs, reported Q4 revenue of $230.0 million and a net loss of $88.7 million, or a loss per common share of $0.33. EBITDA for the competitive telecommunications (Telco) business and excluding discontinued operations for the period was $11.4 million. Gross margin for Q4 was $93.2 million or 40.5% of revenue, as compared to $89.4 million or 36.7% of revenue in Q3 2002. Some other highlights:

Completed the implementation of a standardized regional transport and long distance network by integrating 3 independent networks into one Lucent and Nortel-centric network.

Core customer billing systems were reduced from 27 to 2, trouble management systems were reduced from 4 to 1 and preventive maintenance and vendor management programs were implemented.

Migrated over 200,000 customer lines to on-net/on-switch platforms, resulting in a mix at the end of the year of 15% resale, 33% UNE-M/P and 52% UNE-L versus 24%, 40% and 36%, respectively, at the end of 2001.

As of December 31, 2002, McLeodUSA had 38 ATM switches, 50 voice switches, 562 collocations, 430 DSLAMs and 3,719 employees. On April 16, 2002, Forstmann Little & Co. became a 58% shareholder in the company.
http://www.mcleodusa.com