IMPSAT FIBER NETWORKS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS (SUCCESSOR COMPANY)
AS OF DECEMBER 31, 2003 AND MARCH 31, 2004
(In thousands of U.S. Dollars, except share amounts)
(Unaudited)
Successor Company
December 31, March 31,
2003 2004
------------ ---------
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $61,498 $60,082
Trading investments 2,474 253
Trade accounts receivable, net 31,213 32,026
Other receivables 11,630 14,088
Prepaid expenses 2,249 3,830
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Total current assets 109,064 110,279
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PROPERTY, PLANT AND EQUIPMENT, Net 315,817 308,877
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NON-CURRENT ASSETS:
Investments in common stock 1,873 3,446
Other non-current assets 13,875 14,350
--------------------
Total non-current assets 15,748 17,796
--------------------
TOTAL $440,629 $436,952
====================
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable -- trade $37,095 $37,829
Current portion of long-term debt 11,851 27,553
Accrued and other liabilities 33,140 29,951
--------------------
Total current liabilities 82,086 95,333
LONG-TERM DEBT, Net 249,394 236,537
OTHER LONG-TERM LIABILITIES 11,904 12,125
--------------------
Total liabilities 343,384 343,995
--------------------
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY:
Preferred stock, $0.01 par value; 5,000,000
shares authorized, no shares outstanding as
of December 31, 2003 and March 31, 2004
Common stock, $0.01 par value; 50,000,000 shares
authorized, 10,100,000 shares issued and
outstanding (including 150,000 and 100,000
restricted shares held in the 2003 Stock
Incentive Plan as of December 31, 2003 and
March 31, 2004, respectively) 101 101
Additional paid in capital 90,294 90,294
Retained earnings 9,477 3,005
Deferred stock-based compensation (1,320) (880)
Accumulated other comprehensive (loss) income (1,307) 437
--------------------
Total stockholders' equity 97,245 92,957
--------------------
TOTAL $440,629 $436,952
====================
IMPSAT FIBER NETWORKS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 2003 (PREDECESSOR COMPANY)
AND FOR THE THREE MONTHS ENDED MARCH 31, 2004 (SUCCESSOR COMPANY)
(In thousands of U.S. Dollars, except per share amounts)
(Unaudited)
Predecessor Successor
Company Company
----------- ---------
Three Three
Months Months
Ended Ended
March 31, March 31,
2003 2004
----------- ---------
NET REVENUES:
Broadband and satellite $41,382 $39,573
Internet 5,733 5,984
Value added services 4,781 4,206
Telephony 4,106 5,145
Sales of equipment 74 152
----------- ---------
Total net revenues 56,076 55,060
----------- ---------
COSTS AND EXPENSES:
Direct costs:
Contracted services 4,125 4,327
Other direct costs 4,696 3,758
Leased capacity 17,407 15,790
Cost of equipment sold 48 97
----------- ---------
Total direct costs 26,276 23,972
Salaries and wages 10,727 12,207
Selling, general and administrative 5,553 5,505
Depreciation and amortization 19,358 10,161
----------- ---------
Total costs and expenses 61,914 51,845
----------- ---------
Operating (loss) income (5,838) 3,215
----------- ---------
OTHER INCOME (EXPENSE):
Interest income 200 311
Interest expense (contractual interest of
$21,801 for the three months ended March 31,
2003 (Predecessor)) (1,909) (4,934)
Net gain (loss) on foreign exchange 9,969 (4,391)
Reorganization items 726,127
Other income (loss), net 2,923 (130)
----------- ---------
Total other income (expense) 737,310 (9,144)
----------- ---------
INCOME (LOSS) BEFORE INCOME TAXES 731,472 (5,929)
PROVISION FOR FOREIGN INCOME TAXES (406) (543)
----------- ---------
NET INCOME (LOSS) $731,066 $(6,472)
=========== =========
NET INCOME (LOSS) PER COMMON SHARE:
BASIC AND DILUTED $8.00 $(0.64)
=========== =========
WEIGHTED AVERAGE NUMBER OF COMMON SHARES:
BASIC AND DILUTED 91,429 10,051
----------- =========
NET INCOME (LOSS) $731,066 $(6,472)
----------- ---------
OTHER COMPREHENSIVE (LOSS) INCOME:
Foreign currency translation adjustment (4,097) 167
Unrealized gain on investments available for
sale 55 1,484
Reclassification adjustment for gains included
in net income 93
----------- ---------
TOTAL (4,042) 1,744
----------- ---------
COMPREHENSIVE INCOME (LOSS) $727,024 $(4,728)
=========== =========
Appendix I
SUPPLEMENTAL FINANCIAL INFORMATION
Reconciliation of EBITDA to Operating (Loss) Income
Three months ended
----------------------------------------
March June September December March
31, 30, 30, 31, 31,
2003 2003 2003 2003 2004
------------------------------------- ------ --------- ------- -------
EBITDA 13,520 7,345 11,085 8,273 13,376
Depreciation and Amortization (19,358)(8,969) (10,312)(10,396)(10,161)
Gain on early extinguishment
of debt 0 8,793 5,460 0 0
Operating Income (Loss) (5,838) 7,169 6,233 (2,123) 3,215
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