UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
OF 1934.
Date of Report February 15, 2002
SBA COMMUNICATIONS CORPORATION
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(Exact name of registrant as specified in its charter)
Florida 000-30110 65-0716501
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(State or other jurisdiction of Commission File Number (I.R.S. Employer
incorporation or organization) Identification No.)
5900 Broken Sound Boulevard NW 33487
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(Address of principal executive (Zip code)
offices)
(561) 995-7670
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(Registrant's telephone number, including area code)
Item 5 Other Information
SBA Communications Corporation announced today that it anticipates
reducing capital expenditures for new tower development activities
in 2002 and suspending any material new investment for additional
towers.
SBA anticipates reducing the number of towers built or acquired
in 2002 from 400 - 600 to 250 - 350. Under current capital
markets conditions, the Company does not anticipate building or
buying a material number of new towers beyond those it is
currently contractually obligated to build or buy. The Company
expects approximately 150 new towers to be built or acquired in
the first quarter of 2002 and the remainder of its obligations to
build or buy towers to be satisfied later in 2002. A portion of
the Company's workforce will be reduced, and certain offices will
be closed, substantially all of which were primarily dedicated to
SBA's new tower development activities. The Company anticipates
incurring a non-recurring charge in the first quarter of 2002
estimated to be between $30 million and $65 million for costs
carried on the Company's balance sheet as new tower build and
acquisition work-in-process, severance payments, office closings
and other items. The amount of the charge will be determined
primarily by the fair value of SBA's new tower backlog and
work-in-process with respect to those towers it chooses not to
build or buy.
As a result of these actions, SBA is adjusting its full year
2002 financial guidance as follows:
Prior Guidance New Guidance
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($ in millions except per share amounts)
Site Leasing Revenues $145 to $160 $145 to $160
Services Revenues $135 to $155 $120 to $155
Total Revenues $280 to $315 $265 to $315
EBITDA/(1)/ $86 to $100 $82 to $100
Depreciation & Amortization $85 to $90 $85 to $90
Net Interest Expense $90 to $100 $87 to $97
Cash Interest Expense $61 to $67 $58 to $66
Net Loss Per Common Share $2.00 to $2.20 $2.90 to $3.20
Cash Capital Expenditures $130 to $180 $85 to $135
/(1)/ Earnings before interest, taxes, depreciation, amortization,
non-cash compensation and anticipated non-recurring charge
SBA reaffirms its revenue and EBITDA guidance for the fourth
quarter of 2001 of $65 to $70 million and $18.5 to $20.5 million,
respectively, and will be releasing its results for the fourth
quarter of 2001 and full year 2001 on February 27, 2002. At December
31, 2001, SBA owned 3,734 towers, had net debt of $834 million and
liquidity (cash plus full availability under its revolving line of
credit) of approximately $200 million. At December 31, 2002 the
Company expects to own approximately 4,000 to 4,100 towers and have
net debt of $955 to $980 million. The Company expects to have
liquidity (cash plus full availability under its revolving line of
credit) of $85 to $110 million at year-end 2002 and to have positive
free cash flow in early 2003.
Item 7 Financial Statements and Exhibits
99.1 Press release dated February 6, 2002
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
February 15, 2002 /s/ John F. Fiedor
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John F. Fiedor
Chief Accounting Officer