Crown Castle Inc. · NYSE:CCI
Crown Castle — Q2 2010 Earnings Presentation
11 slides from Crown Castle's earnings presentation, Jul 29, 2010
Slide 1: Second Quarter 2010 Earnings Conference Call
Second Quarter 2010 Earnings Conference Call July 29, 2010
Slide 2: Cautionary Information
Cautionary Information This presentation contains forward-looking statements and information that are based on management’s current expectations. Such statements may include projections, Outlook and estimates regarding (i) our investments and investing activities, including the availability and type
Slide 3: Q2 2010 Summary
Q2 2010 Summary Exceeded our Outlook for site rental gross margin, Adjusted EBITDA, and recurring cash flow Continued our strategy of making investments to enhance long-term recurring cash flow per share growth o Entered into agreement to acquire NewPath o Continued share purchases and investmen
Slide 4: Q2 2010 Highlights
Q2 2010 Highlights $ in millions Site Rental Revenues Site Rental Gross Margin Adjusted EBITDA $410 $294 $376 $280 $263 $247 Q2 '09 Q2 '10 Q2 '09 Q2 '10 Q2 '09 Q2 '10 4
Slide 5: Q2 2010 Highlights (cont'd)
Q2 2010 Highlights (cont’d) $ in millions, except per share amounts Recurring Cash Flow Recurring Cash Flow / Share $155 $0.54 $132 $0.46 Q2 '09 Q2 '10 Q2 '09 Q2 '10 5
Slide 6: Q3 2010 Outlook
Q3 2010 Outlook $ in millions Site Rental Revenues Site Rental Gross Margin $419 to $301 $424 to $396 $282 $354 $238 $306 Q3 '08 Q3 '09 Q3 '10 Q3 '08 Q3 '09 Q3 '10 Reported Results Midpoint of Outlook Issued on July 28, 2010 Adjusted EBITDA Recurring Cash Flow $284 to $156 $261 $289 to $144 $218 $12
Slide 7: Full Year 2010 Outlook
Full Year 2010 Outlook $ in millions Site Rental Revenues Site Rental Gross Margin $1,667 $1,202 $1,543 to to $1,403 $1,677 $1,087 $946 $1,212 2008 2009 2010E 2008 2009 2010E Reported Results Midpoint of Outlook Issued on July 28, 2010 Adjusted EBITDA Recurring Cash Flow $1,128 $621 to to $1,013 $86
Slide 8: Net Debt and Cash Interest Ratios
Net Debt and Cash Interest Ratios Net Debt to LQA Adjusted EBITDA Ratio Adjusted EBITDA to Cash Interest Ratio 7.1x 6.1x (1) 5.6x 2.8x 2.6x 2.6x Q2 '08 Q2 '09 Q2 '10 Q2 '08 Q2 '09 Q2 '10 Note: LQA = Last quarter annualized (1) Calculated using LQA Q2 2010 Adjusted EBITDA and net debt; excludes restr
Slide 9: Rate Swaps
Forward-Starting Interest Rate Swaps $ in millions Final Hedged Debt LIBOR Fixed Rate Notional Settlement Date(1) Valuation (2) GSL III $1.55b Notes 5.26% $1,550 2/15/2011 ($209) Towers LLC $1.55b Notes 5.15% $1,550 11/15/2011 ($163) Total $3,100 ($372) (3) Five Year LIBOR Swap Rate & Interest Rate
Slide 10: Current Debt Schedule
Current Debt Schedule Issue Face Value ($ in thousands) Final 7.5% Senior Notes Due 2013 $51 December 1, 2013 2007 Crown Castle Operating Company Term Loan 628,875 March 5, 2014 9% Senior Notes Due 2015 866,885 January 15, 2015 7.75% Senior Secured Notes Due 2017 1,000,407 May 1, 2017 7.125% Senior
Slide 11: Track Record of Shareholder Focused Investments
Track Record of Shareholder Focused Investments Resuming historical practice of deploying cash to maximize recurring cash flow per share Breakdown of Capital Deployment Since 2003(1) Q2 2010 Capital Deployment ($ in millions) Revenue Enhancing New Site Sustaining Capex New Site Acq. & Capex Acquisit