Verizon Wireless Reports Solid Second Quarter Customer Growth
July 5, 2001
Verizon Wireless, a joint venture of Verizon Communications (NYSE: VZ) and Vodafone Group (NYSE and LSE: VOD), today announced it added more than 807,000 net new customers during the second quarter 2001. Total customers increased to 28 million, a 10 percent increase over the second quarter 2000 reported subscriber base of 25.4 million.
Demand for wireless services in the quarter was solid, with total gross customer additions up slightly over the year-earlier quarter. Postpaid gross additions increased 10 percent over the second quarter 2000, and accounted for 85 percent of total gross additions. Total churn decreased from the first quarter 2001 to 2.3 percent, mainly attributable to the significant decrease in postpaid churn to 2.0 percent.
The strong adds during the quarter resulted in part from the company's launch of its store-within-a-store at RadioShack, national promotions, and its new digital prepay product.
"This was a strong quarter in terms of gross and net additions as we continue to focus on the fundamentals of this business and the quality of our customer base," said Denny Strigl, president and CEO of Verizon Wireless.
All comparisons with last year's results are on a pro forma basis, reflecting the formation of Verizon Wireless from the U.S. wireless operations of Bell Atlantic, Vodafone Group, and GTE as if it had occurred on January 1, 1999.
About Verizon Wireless
Verizon Wireless is the largest wireless communications provider in the U.S. with 28 million wireless voice and data customers. The new coast-to-coast wireless provider was formed by the combination of the U.S. wireless businesses of Bell Atlantic Corp. and GTE Corp -- now Verizon Communications (NYSE:VZ) -- and Vodafone (NYSE and LSE: VOD). The new company includes the assets of Bell Atlantic Mobile, AirTouch Cellular, GTE Wireless and PrimeCo Personal Communications. The company has a footprint covering more than 90 percent of the U.S. population, 49 of the top 50 and 96 of the top 100 U.S. markets. Verizon Wireless, headquartered in Bedminster, NJ, is 40,000 employees strong. Reporters and editors can find more information about the company on the Web at http://www.verizonwireless.com.