Rogers Communications Inc. (ticker: RCI.B.TO, exchange: Toronto Stock Exchange (.TO))
News Release -
Rogers Communications And Rogers Cantel Announce Strong Second Quarter 1999 Subscriber ResultsAdds 109,500 cellular subscribers in quarter
Reaches 100,000 Rogers@Home customer milestone
TORONTO, July 6 /CNW/ - ROGERS COMMUNICATIONS INC. (''RCI'') (Toronto:
RCI.A and RCI.B; NYSE: RG) and ROGERS CANTEL MOBILE COMMUNICATIONS INC.
(''Rogers Cantel'') (Toronto: RCM.B; NYSE: RCN) today announced preliminary
subscriber results for the second quarter ended June 30, 1999.
Rogers Cantel added 109,500 net cellular subscribers, over four times the
24,900 subscribers added in the prior year's second quarter. The average
monthly disconnect or ''churn'' rate was 1.54%, versus 1.87% in the second
quarter of 1998. Rogers Cantel also added 10,800 net paging and data
subscribers, 11,800 more subscribers than the prior year's second quarter. At
June 30, 1999, Rogers Cantel had a total of 2,180,200 wireless subscribers
(cellular and paging), an increase of 120,300 since March 31, 1999.
Commenting on the Company's subscriber results, Charles E. Hoffman,
Rogers Cantel's President and CEO said, ''We are delighted with these results
that represent our highest achievement in a second quarter ever and in fact
surpass our prior years very strong fourth quarter. We believe these results
reflect overall growth in the Canadian wireless market and and we are pleased
with Rogers Cantel's performance in that market place. I am particularly
encouraged by the reduction in our churn rate that underscores the steps we
have taken to simplify our business and improve customer satisfaction.''
In the second quarter, 81% of the gross subscribers added and 67% of the
net subscribers added were on post-paid plans. At the end of the quarter,
approximately 690,000 subscribers were on Digital PCS, representing
approximately 36% of Rogers Cantel's total cellular subscriber base and
181,400 subscribers were on the prepaid cellular service, ''Pay As You Go''.
At June 30, 1999, Rogers Cablesystems had approximately 1,201,000
customers subscribing to the third tier, (MeTV) for a penetration rate of
54.0%. Cablesystems ended the seasonally low second quarter with 2,225,200
basic cable subscribers, a decline of 11,400 subscribers or 0.5% in the
quarter, similar to the decline in the 1998 second quarter of 11,600
During the second quarter, Cablesystems added 24,500 Rogers@Home
customers, ending the quarter with 100,500 customers. At June 30, 1999,
Cablesystems was able to market its high-speed Internet access service to
approximately 2.5 million homes, or approximately 89% of Cablesystems' 2.8
million homes passed.
Commenting on these results, John H. Tory, President and Chief Executive
Officer of Rogers Cablesystems stated, ''Reaching 100,000 Rogers@Home
customers is an important achievement and puts us solidly on track to achieve
our full year subscriber targets. At sign up rates of almost 2,000 per week,
customers are clearly choosing cable over telephone lines as the preferred
method of accessing the Internet. The numbers indicate the value customers
place on fast transmission speeds, 'always on' service and Rogers@Home
''In addition, we are encouraged by the response to our VIP Cable program
that offers tremendous value to our customers. With 167,000 customers since
our launch last October, we plan to continue actively marketing this program
that is being so well received by our customers.''
Rogers Communications Inc. is Canada's national communications company
engaged in cellular, Digital PCS, paging and data communications through its
81% owned subsidiary Rogers Cantel Mobile Communications Inc., in cable
television, high-speed Internet access, and video retailing through its
wholly-owned subsidiary Rogers Cablesystems Limited, and in radio and
television broadcasting, publishing and new media businesses through its
wholly-owned subsidiary Rogers Media Inc.
For further information: Richard J. Harvey, Director, Investor
Relations, Rogers Communications Inc., Phone: (416) 935-3552, Fax:
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