UPDATE 1-Vonage quarterly loss widens

* Q4 EPS $0.07 vs Street view of $0.08

* Revenue rose 3 percent

* Total subscribers fell 14,700 to 2.6 million

NEW YORK, Feb 12 (Reuters) - Internet-based calling company Vonage Holdings Corp (VG.N) said on Thursday its quarterly loss widened, hurt by a decline in subscribers and costs related to its debt, despite a 3 percent rise in revenue.

Net loss for its fourth quarter was $40.9 million, or 26 cents per share, compared with a loss of $13.8 million or 9 cents per share a year earlier.

Excluding $10 million in costs related to the extinguishment of debt, the loss was 7 cents a share.

Analysts were expecting a loss of 8 cents a share, according to Reuters Estimates.

Revenue rose 3 percent to $222.2 million.

Vonage was one of the first companies to begin offering Web-based phone services to people looking for cheaper alternatives to regular phone lines.

But it has recently struggled with stiff competition from traditional phone and cable operators, which are offering bundled services of video, Internet and phone services.

The company lost 14,700 net subscriber lines, ending the quarter with more than 2.6 million lines in service.

(Reporting by Franklin Paul and Anupreeta Das; Editing by Derek Caney)