OKLAHOMA CITY, July 11, 2001 (PRIMEZONE) -- Dobson Communications Corporation (Nasdaq:DCEL) today announced that continued strong subscriber growth lifted its customer base past 1 million proportionate subscribers in the quarter ended June 30, 2001.
Proportionate gross subscriber additions (postpaid) were approximately 89,900 for the second quarter of 2001, an increase of 23 percent over gross adds of 73,200 for the second quarter last year. Proportionate results reflect Dobson's 50% ownership in American Cellular Corporation through its joint venture with AT&T Wireless Services, Inc. (NYSE:AWE). The joint venture acquired American Cellular in February 2000.
Average customer churn for the second quarter was 1.8 percent, compared with 1.7 percent in the same period last year and 1.9 percent in the immediately previous quarter.
Dobson reported proportionate net subscriber additions of approximately 38,600 for the second quarter, compared with 35,700 for the same period last year.
Analog subscribers continued to migrate to digital calling plans during the second quarter. Approximately 40,500 analog customers migrated to digital calling plans in the second quarter.
Based on strong sales of digital calling plans and the digital migrations, the digital portion of Dobson's proportionate subscriber base grew to approximately 614,800 as of June 30, 2001, or 61 percent of its proportionate customer base of 1,009,900. This compares with only 22 percent at the end of the second quarter last year. As of June 30, 2001, Dobson's proportionate subscriber base represented 10.5 percent penetration of the 9.6 million population in its total available markets.
Dobson includes both postpaid and prepaid subscribers in its net subscriber additions. Gross subscriber additions and churn are reported on a postpaid basis only.
Dobson plans to announce a schedule for its second 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.