Hawaiian Telcom narrows loss
Hawaiian Telcom Communications yesterday reported progress in reducing its red ink, ending 2006 with a loss of $144.6 million, compared to $175.7 million the year before.
Michael Ruley, CEO of Hawaiian Telcom, called the fourth quarter the conclusion of a very challenging year.
"There still remains a lot of hard work ahead to get this company on stronger footing, but we have made a tremendous amount of progress to date," said Ruley.
The reduced losses came on revenues of $570.2 million, versus $337.4 million for 2005.
For the fourth quarter, Hawaiian Telcom posted a loss of $29.8 million, compared to a loss of $44.2 million in fourth-quarter 2005. Fourth-quarter 2006 operating revenues were $142.3 million, compared to $135.6 million in the same period of 2005.
The number of land lines installed declined 2 percent to 602,900 in the fourth quarter. The number of digital subscriber lines, at last count numbering 92,300, will not be reported until today's conference call.
In the fourth quarter of last year, Hawaiian Telcom launched a new bundle plan which includes home phone service, unlimited long distance and high-speed Internet for $65.95 a month.
Hawaiian Telcom has made some key changes in recent months. In February, it brought in global consulting firm Accenture Ltd. to take over its troubled billing and other back-office systems from BearingPoint Inc.
Hawaiian Telcom yesterday announced Paul Sunu as its new Chief Financial Officer, effective May 14, to replace outgoing CFO Daniel O'Brien. Sunu last served as managing director and chief financial officer for Madison River Communications, based in Mebane, N.C.
Ruley said Hawaiian Telcom's priority continues to be on stabilizing its systems, which it hopes to accomplish with Accenture on board.