Windstream 2007 Annual Report Download - page 115

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SELECTED FINANCIAL DATA
The following table presents certain selected consolidated financial data as of and for the years ended December 31:
(Millions, except per share amounts in thousands) 2007 2006 2005 2004 2003
Revenues and sales $ 3,260.8 $ 3,033.3 $ 2,923.5 $ 2,933.5 $ 3,003.3
Operating income 1,151.1 898.8 633.8 667.6 643.9
Other income, net 11.1 8.7 11.6 13.7 5.8
Gain on sale of directory publishing business and other assets 451.3 - - - 31.0
Loss on extinguishment of debt - (7.9) - - (7.1)
Intercompany interest income (expense) - 31.9 23.3 (15.2) (21.6)
Interest expense (444.4) (209.6) (19.1) (20.4) (27.7)
Income before income taxes, extraordinary item and cumulative effect
of accounting change 1,169.1 721.9 649.6 645.7 624.3
Income taxes 252.0 276.3 267.9 259.4 247.1
Income before extraordinary item and cumulative effect of accounting
change 917.1 445.6 381.7 386.3 377.2
Extraordinary item, net of income taxes - 99.7 - - -
Cumulative effect of accounting change, net of income taxes - - (7.4) - 15.6
Net income $ 917.1 $ 545.3 $ 374.3 $ 386.3 $ 392.8
Basic earnings per share:
Income before extraordinary item and cumulative effect of
accounting change $1.94 $1.02 $ .95 $.96 $.93
Extraordinary item - .23 - - -
Cumulative effect of accounting change - - (.02) - .04
Net income $1.94 $1.25 $ .93 $.96 $.97
Diluted earnings per share:
Income before extraordinary item and cumulative effect of
accounting change $1.94 $1.02 $ .95 $.96 $.93
Extraordinary item - .23 - - -
Cumulative effect of accounting change - - (.02) - .04
Net income $1.94 $1.25 $ .93 $.96 $.97
Dividends declared per common share $1.00 $ .45 $ - $ - $ -
Balance sheet data
Total assets $ 8,210.7 $ 8,030.7 $ 4,935.8 $ 5,079.2 $ 5,276.9
Total long-term debt (including current maturities) $ 5,355.5 $ 5,488.4 $ 260.8 $ 282.9 $ 304.8
Total equity $ 699.8 $ 469.8 $ 3,489.2 $ 3,706.8 $ 3,925.6
Notes to Selected Financial Information:
• Explanations for significant events affecting Windstream’s historical operating trends during the periods 2005 through 2007
are provided in Management’s Discussion and Analysis of Results of Operations and Financial Condition.
• During 2004, Windstream reorganized its operations and support teams and also announced its plans to exit its competitive
service operations in the Jacksonville, Florida market due to the continued unprofitability of these operations. In connection
with these activities, Windstream recorded a restructuring charge of $13.6 million consisting primarily of severance and
employee benefit costs related to a workforce reduction. Effective April 1, 2004, Windstream prospectively reduced
depreciation rates for its regulated operations in Nebraska, reflecting the results of a triennial study of depreciable lives
completed by Windstream in the second quarter of 2004, as required by the Nebraska Public Service Commission. The
effects of this change during the year ended December 31, 2004 resulted in a decrease in depreciation expense of
$19.1 million.
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