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Windstream Q4 Profit Surges On Gain From Sale Of Publishing Business; Guides Q1 Revenue; Plans $400 Mln Buyback
based telecommunications services provider Windstream Corp. (WIN) announced a surge in fourth quarter earnings compared to the prior year. The results were impacted by a gain from sale of publishing business. Further, the company said its Board authorized a $400 million share repurchase plan that expire by end of 2009.

Quarterly net income came in at $583.6 million, up 396% from $117.7 million a year ago. Earnings per share surged to $1.25 from $0.25 last year. The results includes a tax free gain of approximately $451 million on the sale of its directory publishing business and $3.3 million in merger and integration of costs related to the acquisition of CT Communications.

Total revenue and sales edged up 0.2% to $827.8 million from $827.6 million in the prior year. On a pro forma basis, consolidated revenue and sales declined to $804.1 million from $826 million a year ago. GAAP operating income climbed 5% to $300 million from the prior year. On a proforma basis the company reported a 3% decline in operating income to $804 year -over - year. Average revenue per customer increased 3% to $80.85.

On average, 11 analysts polled by First Call/Thomson Financial expected the company to report revenue of $823.12 million.

For the 12-month period, net income climbed to $917.1 million from $545.3 million in the prior year. Earnings per share rose to $1.94 from $1.25 last year.

Total revenue and sales increased 8% to $3.261 billion from $3.033 billion in the same period a year ago.

Looking ahead to 2008, the company expects revenue in the range of $3.160 -$3.290 billion. Analysts are expecting $3.25 billion, with estimates in the range of $3.18 to $3.28 billion.

WIN is currently trading at $11.53, up $0.54 or 4.91% on a volume of 2.761 million shares.
http://www.rttnews.com/sp/breakingnews.asp?date=02/08/2008&item=130&vid=0