OKLAHOMA CITY, Oct. 3, 2001 (PRIMEZONE) -- Dobson Communications Corporation (Nasdaq:DCEL) today announced that strong sales and continued low customer churn resulted in a 37 percent increase in net-subscriber additions in the third quarter ended Sept. 30, 2001, compared with the same quarter last year. Dobson reported proportionate net-subscriber additions of approximately 41,500 for the third quarter, compared with 30,300 for the same period in 2000.
Proportionate results reflect Dobson's operations, plus its 50 percent ownership in American Cellular Corporation through its joint venture with AT&T Wireless Services, Inc. (NYSE:AWE). The joint venture acquired American Cellular in Feb. 2000.
Proportionate gross subscriber additions (postpaid) were approximately 97,600 for the third quarter of 2001, an increase of 24 percent over gross adds of 78,700 for the third quarter last year, and compared with 89,900 in the immediately previous quarter.
Average customer churn for the third quarter was 1.9 percent, compared with 2.0 percent in the same period last year.
Approximately 34,300 analog customers (proportionate) migrated to digital calling plans in the second quarter. Based on strong sales of digital calling plans and migrations, the digital portion of Dobson's proportionate subscriber base was approximately 711,300 as of Sept. 30, 2001, or 68 percent of its proportionate customer base of 1.1 million. This compares with only 31 percent at the end of the third quarter last year. Dobson's proportionate subscriber base now represents 10.7 percent penetration of the 9.9 million population in its proportionate market base.
Dobson includes both postpaid and prepaid subscribers in its net subscriber additions. Gross subscriber additions and churn are reported on a postpaid basis only. The Company now uses Claritas Inc.'s 2000 Census Information as its source for market population data.
Dobson plans to announce a schedule for its third quarter earnings release and conference call in the next few weeks.
Dobson Communications is a leading provider of wireless phone services to rural markets in the United States. Headquartered in Oklahoma City, the rapidly growing Company owns or manages wireless operations in 19 states. For additional information on the Company and its operations, please visit its Website at www.dobson.net.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These include, but are not limited to, statements regarding the Company's plans, intentions and expectations. Such statements are inherently subject to a variety of risks and uncertainties that could cause actual results to differ materially from those projected. These risks include increased levels of competition, restrictions on the Company's ability to finance its growth, any market changes that would significantly decrease consumer demand for wireless products and other factors. A more extensive discussion of the risk factors that could impact these areas, and the Company's overall business and financial performance can be found in the Company's reports filed with the Securities and Exchange Commission. Given these concerns, investors and analysts should not place undue reliance on forward-looking statements.