MetroPCS Communications' CEO Discusses Q4 2011 Results - Earnings Call Transcript

MetroPCS Communications (PCS)

Q4 2011 Earnings Call

February 23, 2012 9:00 am ET

Executives

Keith D. Terreri - Vice President of Finance and Treasurer

Roger D. Linquist - Founder, Chairman and Chief Executive Officer

Thomas C. Keys - President and Chief Operating Officer

J. Braxton Carter - Vice Chairman and Chief Financial Officer

Analysts

John C. Hodulik - UBS Investment Bank, Research Division

Jonathan Chaplin - Crédit Suisse AG, Research Division

Simon Flannery - Morgan Stanley, Research Division

Michael Rollins - Citigroup Inc, Research Division

Philip Cusick - JP Morgan Chase & Co, Research Division

Matthew Niknam - Goldman Sachs Group Inc., Research Division

Presentation

Operator

Good morning, ladies and gentlemen, and thank you for standing by. Welcome to the MetroPCS Communications Fourth Quarter and Year-End 2011 Conference Call. [Operator Instructions] This conference call is being recorded today, February 23, 2012. I would now like to turn the conference over to Mr. Keith Terreri, Vice President and Treasurer for MetroPCS. Please go ahead, sir.

Keith D. Terreri

Thank you, Lisa, and good morning, everyone. Welcome to our Fourth Quarter and Year-End 2011 conference call. The speakers with me this morning are Roger Linquist, our Chairman and Chief Executive Officer; Tom Keys, our President and Chief Operating Officer; and Braxton Carter, our Vice Chairman and Chief Financial Officer.

The format for today's call is as follows: first, Roger will provide an overview of our business; Tom will then provide a number of operational results and initiatives; and finally, Braxton will review the financial highlights of the fourth quarter and year-end of 2011, followed by a question-and-answer session.

During today's call, we will refer to certain non-GAAP financial measures. We reconcile these historical non-GAAP measures to GAAP measures in our earnings release, which is available at www.metropcs.com under the Investor Relations section.

Before I turn the call over to Roger, I want to remind you that certain information that we will discuss in this conference call may constitute forward-looking statements within the meanings of Federal Securities laws. Forward-looking statements or any statements not of historical fact and involve risks, assumptions and uncertainties that may not occur or could cause actual results of the timing of the events to materially differ from those made in the forward-looking statements. Words such as believes, anticipates, expects, intends, plans, should, could, would, view, estimates, projects, will and other similar expressions typically identify forward-looking statements. Forward-looking statements include, but are not limited to, statements we make regarding our future operational and financial plans, our estimates of capital expenditures, our prospects for success, our strategies in our positioning in a highly competitive wireless industry. Furthermore, included in our forward-looking statements are statements regarding our competitive position and promotional strategy, continued growth in the new contract space, the advantage itself and our plans with respect to 4G LTE, the growth and expansion of 4G LTE worldwide and development of the 4G ecosystem, the availability of 4G LTE and VoLTE handsets in their cost reductions and cost in -- through our data services, consumer demand for data, the capacity of our 4G LTE network, timing of 4G Wireless for All, our ability to reform spectrum, our ability to reduce churn and increase margin, our ability to increase penetration, key factors for growth and reductions in costs, statements regarding the impact of investment in spectrum and capital expenditures and free cash flow, the manageability of our debt maturities, our position from a balance sheet perspective, capital expenditure guidance and other statements which are not historical. Management may make additional forward-looking statements in response to questions.

Additionally, our forward-looking statements are subject to a number of risks, many of which are beyond our control, including, but not limited to, the risk factors described in our earnings release and our annual report on Form 10-K, quarterly reports on Form 10-Q, including our 10-K for the period ended December 31, 2011, and current reports on Form 8-K, copies of which can be obtained free of charge from the SEC at www.sec.gov, or from the Investor Relations section located under the About Us tab on our website, or directly from contacting the Investor Relations department. We encourage you to review these documents.

We've also provided supplemental slides that are available for download and printing on our Investor Relations website. We may refer to these slides during our prepared remarks and in response to questions.

I'd like to remind you that the results for the fourth quarter and full year 2011 may not be reflective of results for any subsequent periods. For anyone listening to a taped or webcast replay, or reviewing a written transcript of today's call, please note that all information presented is current and should be considered valid only as of February 23, 2012, regardless of the date reviewed, read, or replayed. MetroPCS disclaims any intention or obligation to revise or update any forward-looking statements, whether as a result of new information, future events or developments or otherwise, except as required by law. The company does not plan to update or reaffirm guidance, except through formal public disclosure pursuant to Regulation FD. Certain terms that are used in today's call are registered trademarks of MetroPCS.

We intend to file our annual report or Form 10-K for the period ended December 31, 2011 with the SEC by February 29.

At this time, I'd like to turn the call over to our Chairman and Chief Executive Officer, Roger Linquist

Roger D. Linquist

Thank you, Keith. As we begin 2012, I'd like to address upfront, the key issues that are likely on most investors' mind: competition, margins, CapEx and spectrum.

Read the rest of this transcript for free on seekingalpha.com

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