Time Warner CFO predicts woe
December 3, 2008
Time Warner Cable will likely sell fewer than expected video, Internet and phone subscriptions this year, and expects a further decline next year due to the worsening U.S. economy, Chief Financial Officer Rob Marcus said.
“In 2008, we’re on track to deliver less than 2.5 million additional revenue-generating units,” Marcus told the Reuters Media Summit adding that that was less than originally anticipated. Time Warner has sold around 2.1 million RGUs in the first three quarters of 2008, implying that it expects to add 400,000 RGUs in the fourth quarter.
Time Warner Cable said on its third-quarter earnings call last month that it saw a slowdown in customers signing up for premium services, such as digital video recorders and pay-per-view TV.