LOUISVILLE, Ky., March 14, 2012 — Lightyear Network Solutions, Inc. (the “Company”) (OTCBB:LYNS, news, filings), an established provider of data, voice and wireless telecommunication services to business and residential customers throughout North America, announced today certain anticipated 2011 financial results:
- The Company expects 2011 non-GAAP EBITDA (Earnings Before Interest, Taxes, Depreciation, Amortization and Impairment Loss) to be between $1.0 million and $1.3 million. The Company had a loss before interest, taxes, depreciation, amortization and net gain on bargain purchase of $2.8 million in 2010.
- Net loss from operations is expected to be between $800 thousand and $1.1 million. 2010’s loss from operations was $2.9 million.
- Due to the redemption of the 9.5 million shares of Convertible Preferred Stock, the Company anticipates a deemed dividend of approximately $11.8 million, or approximately $0.54 per diluted share.
- Loss per Common Share before the deemed dividend for the redemption of Convertible Preferred Stock is estimated to be $0.03.
The above amounts are subject to finalization of the Company’s 2011 results.
“Although the economic environment remains challenging, Lightyear is continuing to make positive financial strides forward, especially as we compare 2010 figures with estimated numbers for 2011,” said Stephen M. Lochmueller, Lightyear’s Chief Executive Officer. “We expect the Company to record EBITDA of $1.0 million to $1.3 million for 2011, compared with an EBITDA loss before gain on bargain purchase of $2.8 million in 2010. This represents a significant improvement in our operations. Our net loss from operations has also improved significantly, as we expect it to be between $800 thousand and $1.1 million for 2011, an approximate 70 percent reduction in the loss from the 2010 figure.”