NEW YORK Feb 12 Clearwire Corp, the
wireless service provider that both Sprint Nextel and Dish
Network want to buy, reported a narrower quarterly loss
even as revenue declined.
Clearwire, which is already majority owned by Sprint, on
Tuesday posted a net loss of $187.15 million or 29 cents per
share compared with a loss of $236.85 million or 81 cents per
share in the year-ago quarter.
Excluding unusual items Clearwire's loss would have been 27
cents per share, in line with Wall Street expectations,
according to Thomson Reuters I/B/E/S.
Roe Equity Research analyst Kevin Roe noted that Clearwire's
shareholders are far more interested in its ownership status
than its numbers. "Their operational results are not what's
driving the shares," Roe said.
Shares in Clearwire were basically unchanged after closing
at $3.18 on Nasdaq.
After Clearwire agreed to a $2.97 per share bid from Sprint
in December, satellite television provider Dish announced a
rival offer of $3.30 per share in January. Clearwire has said
that it was reviewing the offer even though its board said it
has not changed its recommendation in favor of the Sprint deal.
Many shareholders have complained that the Sprint offer is
not high enough but Sprint, which needs shareholder approval,
has said that it believes its offer is superior.
While some analysts have speculated about whether Dish
Chairman Charlie Ergen was serious about Clearwire, Ergen said
on Monday that his offer is not "illusory" and that Sprint would
have to work to fend off his bid.
Meanwhile Clearwire, which has previously said that it has
enough money to fund itself into the third quarter, said its
cash, equivalents and investments fell $315.1 million to $868.6
million in the fourth quarter, reflecting a semi-annual interest
payment and other expenses that cash generated in the quarter.
Clearwire revenue fell to $311.2 million from $361.87
million and missed analyst expectations for $313.62 million.