WARWICK VALLEY TELEPHONE COMPANY
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
($ in thousands, except share and per share amounts)
Three Months Ended
March 31
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2008 2007
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Operating revenues:
Local network service $ 749 $ 825
Network access service 1,913 1,949
Long distance services 822 910
Directory advertising 325 338
Online services 1,340 1,475
Other services and sales 495 394
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Total operating revenues 5,644 5,891
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Operating expenses:
Plant specific 1,314 1,186
Plant non-specific:
Depreciation and amortization 1,359 1,294
Other 763 701
Customer operations 1,130 1,052
Corporate operations 1,298 1,550
Cost of services and sales 261 391
Property, revenue and payroll taxes 349 417
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Total operating expenses 6,474 6,591
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Operating loss (830) (700)
Other income (expense):
Interest income (expense), net of capitalized
interest (87) (34)
Income from equity method investments 2,147 1,870
Other income (expense), net (49) (18)
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Total other income (expense) 2,011 1,818
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Income before income taxes 1,181 1,118
Income taxes 421 392
--------- ---------
Net income 760 726
Preferred dividends 6 6
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Income applicable to common stock $ 754 $ 720
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Basic and diluted earnings per share of
outstanding common stock $ 0.14 $ 0.13
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Weighted average shares of common stock
outstanding 5,351,780 5,351,780
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WARWICK VALLEY TELEPHONE COMPANY
CONSOLIDATED BALANCE SHEETS
($ in thousands except share and per share amounts)
March 31, December 31,
2008 2007
------------ ------------
(Unaudited)
Assets
Current assets:
Cash and cash equivalents $ 5,295 $ 5,849
Accounts receivable - net of allowance for
uncollectibles - $209 and $214, in 2008 and
2007, respectively 2,844 3,067
Other accounts receivable 73 152
Materials and supplies 1,615 1,591
Prepaid expenses 942 769
Prepaid expenses 253 -
Deferred income taxes 108 119
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Total current assets 11,130 11,547
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Property, plant and equipment, net 35,380 35,791
Unamortized debt issuance costs 61 65
Other deferred charges 749 762
Investments 8,233 8,276
Other assets 210 210
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Total assets $ 55,763 $ 56,651
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Liabilities and Shareholders' Equity
Current liabilities:
Accounts payable $ 1,103 $ 940
Current maturities of long-term debt 1,519 1,519
Advance billing and payments 208 234
Customer deposits 105 116
Accrued taxes 126 80
Pension and post retirement benefit
obligations 929 929
Other accrued expenses 1,344 1,830
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Total current liabilites 5,334 5,648
------------ ------------
Long-term debt, net of current maturities 5,315 5,695
Deferred income taxes 3,334 3,334
Long term income taxes payable 660 640
Other liabilities and deferred credits 622 591
Pension and post retirement benefit
obligations 4,374 4,324
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Total liabilities 19,639 20,232
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Shareholders' equity
Preferred shares - $100 par value;
authorized and issued shares of 5,000;
$0.01 par value authorized and unissued
shares of 10,000,000; 500 500
Common stock - $0.01 par value; authorized
shares of 10,000,000 60 60
issued 5,985,463 shares
Treasury stock - at cost, 633,683 common
shares (4,748) (4,748)
Additional paid in capital 3,487 3,487
Accumulated other comprehensive loss (853) (875)
Retained earnings 37,678 37,995
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Total shareholders' equity 36,124 36,419
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Total liabilities and shareholders' equity $ 55,763 $ 56,651
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Contact Information: Contact: WVT Communications Kenneth H. Volz Executive Vice President, Chief Financial Officer and Treasurer 845-986-8080