THE NIELSEN COMPANY REPORTS FULL YEAR 2007 RESULTS

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Algemeen advies 31/03/2008 13:51
New York, USA and Haarlem, The Netherlands – March 31, 2008– The Nielsen Company B.V., a leading global information and media company, today announced its financial results for the year ended December 31, 2007.

Reported revenues for the full year ended December 31, 2007 were $4,707 million, an increase of 13% over the pro forma* revenues of $4,174 million for the twelve months ended December 31, 2006. Excluding the impact of currency fluctuations** and deferred revenue adjustments, 2007 full year revenues increased 7%.

Reported operating income for the full year 2007 was $416 million compared to pro forma* operating income of $227 million for the twelve months ended December 31, 2006 The full year 2007 and 2006 results were negatively impacted by $174 million and $218 million respectively for certain items such as restructuring costs, compensation agreements, deal costs, and legal settlements. Adjusting for these items, pro forma* operating income, on a constant currency basis**, increased 27%.

Covenant earnings before interest, taxes, depreciation and amortization and other adjustments permitted under our senior secured credit facilities (“Covenant EBITDA”) was $1,304 million for the twelve month period ended December 31, 2007. Covenant EBITDA is a non – GAAP measure. Refer to page 4 for a reconciliation of loss from continuing operations for the twelve month period ended December 31, 2007 to Covenant EBITDA.

Finances
As of December 31, 2007, total debt was $8,250 million, and cash balances were $399 million. Capital expenditures were $266 million for the full year ended December 31, 2007 compared with $236 million for the twelve month pro forma* period ending December 31, 2006.

Conference Call and Webcast
The Nielsen Company will hold an earnings conference call, hosted by The Nielsen Company’s Chairman and Chief Executive Officer David L. Calhoun, and Chief Financial Officer Brian J. West at 9:00 a.m. U.S. Eastern Daylight Time (EDT) on Monday, March 31, 2008. The call will be audio-webcast live at www.nielsen.com, and an archive will be available on the website after the call. In addition, a link to the company’s financial report has been posted at www.nielsen.com.

Forward-looking Statements
This news release includes information that could constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as ‘expect’, ‘should’, ‘could’, ‘shall’ and similar expressions. These statements are subject to risks and uncertainties, and actual results and events could differ materially from what presently is expected. Factors leading thereto may include without limitations general economic conditions, conditions in the markets Nielsen is engaged in, behavior of customers, suppliers and competitors, technological developments, as well as legal and regulatory rules affecting Nielsen’s business. This list of factors is not intended to be exhaustive. We assume no obligation to update any written or oral forward-looking statement made by us or on our behalf as a result of new information future events, or other factors.

About The Nielsen Company
The Nielsen Company is a global information and media company with leading market positions in marketing information (ACNielsen), media information (Nielsen Media Research), online intelligence (NetRatings and BuzzMetrics), mobile measurement, trade shows and business publications (Billboard, The Hollywood Reporter, Adweek). The privately held company is active in more than 100 countries, with headquarters in Haarlem, the Netherlands, and New York, USA. For more information, please visit, www.nielsen.com.

Notes:
*The unaudited pro forma presentation for the twelve months ended December 31, 2006 reflects the Predecessor period from January 1, 2006 to May 23, 2006 preceding the Valcon Acquisition adjusted to reflect the pro forma effect of the Valcon Acquisition and its related financing as if it had occurred on January 1, 2006.

** Constant currency growth rates eliminate the impact of year-over-year foreign currency fluctuations.

Management believes this is the most meaningful way to comment on the results of its operations. The pro forma financial information is not necessarily indicative of the results of operations had the acquisition occurred on January 1, 2006 or the results of operations that may be obtained in the future.

Results of Operations – Successor (Year Ended December 31, 2007), Pro Forma (Year Ended December 31, 2006), Successor (from May 24, 2006 to December 31, 2006), and Predecessor (from January 1, 2006 to May 23, 2006).

The following table sets forth, for the periods indicated, the amounts included in our Consolidated Statements of Operations and unaudited pro forma results for the year ended December 31, 2006:




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