Consolidated Communications' income down for quarter

MATTOON – Mattoon-based Consolidated Communications Holdings reported net income of $7.05 million for the quarter that ended June 30, down 6 percent from the same quarter a year ago.

That resulted in diluted net income of 24 cents per share, compared with 25 cents per share a year ago.

Revenues were also down about 6 percent – $95.7 million in the most recent quarter, compared with $102 million a year earlier.

For the first six months of the year, the company's net income totaled $13.97 million, up 29 percent from the first six months of 2009.

Revenues for the first six months of 2010 totaled $194 million, down nearly 5 percent from the same period in 2009.

Consolidated Communications is a rural local exchange company that provides voice, data and video services to residential and business customers in Illinois, Texas and Pennsylvania.

Over the past year, it has seen a 4.8 percent shrinkage in the number of local access lines it has. But it has seen growth in Digital Subscriber Line (DSL), Voice Over Internet Protocol (VOIP) and Internet Protocol Television (IPTV) subscribers.

Company President Bob Currey said the loss of access lines was "the best year-over-year line loss rate in 2 1/2 years and demonstrates the power of our bundled offerings."

Over the past year, Consolidated saw drops in every category of operating revenues except "data and Internet services." It saw lower revenues from local calling services, network access services, subsidies and long-distance services.

Consolidated recently declared a quarterly dividend of 38.7 cents per common share payable Nov. 1 to stockholders of record at the close of business Oct. 15.

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