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GTE’s earnings
increase12%
Hawaiian Tel's parent says
By Lisa Levenson
that higher data and wireless
sales fueled the increase
Bloomberg NewsIRVING, Texas -- GTE Corp., which is being acquired by Bell Atlantic Corp. in an $83.8 billion transaction, said fourth-quarter profit rose 12 percent on increased sales of data and wireless services.
The local telephone service company had profit from operations of $961 million, or 98 cents a share, compared with net income of $855 million, or 88 cents, a year ago. Sales rose 13 percent to $6.74 billion from $5.99 billion.
Irving, Texas-based GTE, parent of Hawaii's dominant phone carrier, GTE Hawaiian Tel, said it has 7.1 million wireless customers, up 48 percent from the year-ago period, including acquisitions. Revenue from business services doubled and, for all 1999, rose 73 percent.
"Our focus has been on capturing high-growth opportunities, particularly in the Internet and data business," Charles Lee, chairman and chief executive, said in a statement.
Revenue from networking services provided to Internet service providers rose more than 50 percent in the quarter.
This week Bell Atlantic and GTE said they'd consider selling 90 percent of GTE's Internet unit to the public to gain regulatory approval for their combination. The combined company would hold 10 percent of the unit while it seeks permission to sell long distance throughout its territory.
As a product of the 1984 break-up of the American Telephone & Telegraph Co. monopoly, Bell Atlantic is barred from offering long distance until it proves its local markets are open to competition.
