WorldCom January 2003 Monthly Operating Results Show Company Profitable
CLINTON, Miss., Mar 26, 2003 /PRNewswire-FirstCall via COMTEX/ -- WorldCom today filed its January 2003 Monthly Operating Report with the U.S. Bankruptcy Court for the Southern District of New York. During the month of January, WorldCom recorded $2.16 billion in revenue versus $2.20 billion in December 2002 and income from continuing operations of $188 million versus a loss of $47 million in December. Net income for January was $155 million versus a net loss of $580 million in December.
January reorganization items were $37 million versus $514 million in December. During the restructuring process, certain business activities will drive one-time costs that will be recognized in the month in which they were incurred. These expenses are expected to fluctuate from month to month as the Company implements its cost reduction plans.
WorldCom ended January with $2.8 billion in cash on hand, an increase of approximately $300 million from the beginning of the month. WorldCom's capital expenditures for the month were $34 million, including $19 million for PP&E and $15 million for related software. January depreciation and amortization was $118 million.
"We still have a lot of work to do, but we are delivering on our 100-day plan," said Michael Capellas, WorldCom chairman and CEO. "Customer service continues at all time highs, we are making solid progress on our cost reduction initiatives, and we are profitable. We remain on track to emerge from Chapter 11 protection later this year."
The financial results discussed in the January 2003 Monthly Operating Report exclude the results of Embratel. Until WorldCom completes a thorough balance sheet evaluation, the Company will not issue a balance sheet or cash flow statement as part of its Monthly Operating Report.
The Monthly Operating Reports are available on WorldCom's Restructuring Information Desk at www.worldcom.com.
MfG
masteruz