UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 or 15(d) of the SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of earliest event reported): April 25, 2001 USA NETWORKS, INC. (Exact name of Registrant as specified in charter) Delaware 0-20570 59-2712887 (State or other jurisdiction (Commission File (IRS Employer of incorporation) Number) Identification No.) 152 West 57th Street, New York, NY 10019 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (212) 314-7300 ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS (c) Exhibits. 99.1 Press Release of USA Networks, Inc. dated April 25, 2001. 99.2 Supplemental Information. ITEM 9. REGULATION FD DISCLOSURE On April 25, 2001, the Registrant issued a press release announcing its results for the quarter ended March 31, 2001. The full text of this press release, appearing in Exhibit 99.1 hereto, and Supplemental Information, appearing in Exhibit 99.2 hereto, are furnished pursuant to Regulation FD. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. USA NETWORKS, INC. By: /s/ Julius Genachowski ----------------------- Name: Julius Genachowski Title: Senior Vice President and General Counsel Date: April 25, 2001 EXHIBIT INDEX Exhibit No. Description 99.1 Press Release of USA Networks, Inc. dated April 25, 2001. 99.2 Supplemental Information.
Exhibit 99.1 USA NETWORKS INC FOR IMMEDIATE RELEASE APRIL 25, 2001 16% EBITDA GROWTH AT USAI EXCEEDS ESTIMATES FOR 20TH CONSECUTIVE QUARTER SINCE INCEPTION REAFFIRMS OVERALL GUIDANCE FOR 2001 AND 2002 COMPANY IS 2ND MOST PROFITABLE IN INTERNET COMMERCE NEW YORK, April 25, 2001 - USA Networks, Inc. (NASDAQ: USAI) reported results for its quarter ended March 31, 2001. HIGHLIGHTS o Overall guidance remains unchanged for 2001 and 2002, which provides for 18% and 20% EBITDA growth, respectively, for the Operating Businesses. USAi expects to grow total EBITDA by at least 25% annually through 2002. The Company has exceeded EBITDA estimates for five straight years. o Deriving 61% of its Q1 revenue from direct consumer transactions, 24% from subscriptions and production fees, and 15% from advertising, USAi believes its multiple revenue streams provide a real fundamental advantage in withstanding a slowing general business environment. o The Operating Businesses increased EBITDA by 16% to $268.9 million on 17% higher revenue to $1.238 billion. Five divisions posted record revenues in the period: USA Network, Studios USA, Ticketing, Hotel Reservations Network, and Precision Response. o USA Network had a record quarter, growing revenue by 10% to $216.8 million and EBITDA by 16% to $112.2 million. SCI FI grew revenue by 11% and EBITDA by 23%. Studios USA increased revenue by 27% and EBITDA by 23%. o HSN grew revenue by 8% in the United States, including a 14% increase during March. HSN has continued to grow its sales by a double digit increase in April. These results have been achieved amidst one of the most difficult overall retail environments in nearly a decade. o Information & Services is the Company's fastest growing unit and increased its Operating Business revenue by 33% and EBITDA by 25% for the period. o The Company's Internet Commerce Group grew revenue by 89% to $182 million and EBITDA by 70% to $39 million in Q1. Estimating $750 million in revenue and $120 million in EBITDA in 2001, the group expects to be second in profitability only to eBay in consumer commerce on the Internet. The Internet Commerce Group is comprised of HSN.com, Hotel Reservations Network, Ticketmaster.com and Match.com. FINANCIAL RESULTS On a comparative pro forma basis, USAi reported the following, excluding discontinued operations: o Excludes results from USA Broadcasting, the sale of which to Univision was announced in December, 2000. o Presented as if the acquisitions of Precision Response and Styleclick had occurred at the beginning of the periods presented. o EBITDA is defined as net income plus, (1) provision for income taxes, (2) minority interest, (3) interest income and expense, (4) depreciation and amortization, (5) amortization of cable distribution fees ($8.8 million and $8.2 million, respectively), and (6) amortization of non-cash distribution and marketing expense and non-cash compensation. (a) In order to present comparable results for HSN Germany, the results have been translated from Euros to U.S. dollars at a constant exchange rate. (b) HSN Germany's EBITDA growth was impacted primarily by costs associated with adding four hours of daily live programming during Q1 and the implementation of a new sales order system. (c) Represents one-time credits recognized in Q1 `00 by HSN in connection with a favorable settlement of litigation relating to an HSN broadcast affiliation agreement ($4.7 million) and a cable affiliation agreement ($1.6 million). -- More --
ACTUAL PRO FORMA Q1 01 Q1 00 GROWTH ------ ------- ------ ($ IN MILLIONS) REVENUES - OPERATING BUSINESSES Cable and studios...................... $437.6 $379.0 15% Electronic retailing - U.S............. 385.4 358.5 8% Electronic retailing - Germany......... 78.9 65.8 20% Ticketing.............................. 150.1 128.0 17% Hotel reservations..................... 105.3 55.3 91% Teleservices........................... 80.7 69.6 16% --------- -------- ---- SUB-TOTAL - OPERATING.............. 1,238.0 1,056.1 17% Euro exchange rate fluctuation (a).......... (13.7) (7.9) REVENUES - EMERGING BUSINESSES Citysearch, Match.com, and related..... 20.9 17.0 Styleclick............................. 4.0 7.9 Electronic Commerce Solutions.......... 4.8 4.7 HSN - other international.............. 4.5 3.8 USA Films.............................. 51.0 30.3 Trio, NWI, SCIFI.com, USA Network.com.. 6.2 0.6 -------- -------- SUB-TOTAL - EMERGING............... 91.4 64.2 -------- -------- ---- TOTAL.............................. $1,315.7 $1,112.4 18% ======== ======== ==== EBITDA - OPERATING BUSINESSES Cable and studios...................... $163.4 $138.8 18% Electronic retailing - U.S............. 51.7 49.4 5% Electronic retailing - Germany......... 5.6 8.7 (35%)(b) Ticketing.............................. 30.2 27.4 10% Hotel reservations..................... 15.8 8.2 94% Teleservices........................... 10.0 9.5 6% Corporate and other.................... (7.9) (9.6) -------- -------- ---- SUB-TOTAL - OPERATING.............. 268.9 232.2 16% Euro exchange rate fluctuation (a)..... (0.9) (1.0) Nonrecurring credits (charges) (c)..... -- 6.3 EBITDA - EMERGING BUSINESSES Citysearch, Match.com, and related..... (11.8) (17.7) Styleclick............................. (10.4) (10.7) Electronic Commerce Solutions.......... (6.5) (5.6) HSN - other international.............. (6.4) (1.5) USA Films.............................. (1.0) 2.2 Trio, NWI, SCIFI.com, USA Network.com.. (1.7) (2.3) -------- -------- SUB-TOTAL - EMERGING............... (37.9) (35.6) -------- -------- ---- TOTAL.............................. $230.1 $201.9 14% ======= ======= ==== BUSINESS MIX 61% of USAi's Q1 revenue came from direct consumer transactions, 24% was derived from subscriptions and production fees, and 15% was advertising-related. The operating business of the company's organizational units reported the following: (a) HSN Germany's EBITDA growth was impacted primarily by costs associated with adding four hours of daily live programming during Q1 and the implementation of a new sales order system. CASH NET INCOME AND EARNINGS PER SHARE
ACTUAL PRO FORMA ($ IN MILLIONS) Q1 01 Q1 00 GROWTH MIX ------ ------- ------ --- REVENUES - OPERATING BUSINESSES Entertainment................................... $437.6 $379.0 15% 35% Electronic retailing............................ 464.3 424.3 9% 38% Information and Services........................ 336.1 252.9 33% 27% -------- -------- --- ---- TOTAL....................................... $1,238.0 $1,056.1 17% 100% ======== ======== === ==== EBITDA - OPERATING BUSINESSES Entertainment................................... $163.4 $138.8 18% 61% Electronic retailing............................ 57.3 58.1 -1%(a) 21% Information and Services........................ 56.1 45.0 25% 21% Corporate and other............................. (7.9) (9.6) (3%) -------- -------- --- ---- TOTAL....................................... $268.9 $232.2 16% 100% ======== ======== === ==== (a) Amounts based on net income before cumulative effect of accounting change ($9.2 loss million in Q1 '01) and discontinued operations ($11.8 million loss in Q1 '00). (b) Excluding one-time credits ($6.3 million, pre-tax, in Q1 `00). Due to regulatory restrictions, Universal and Liberty own a significant portion of their interests in USAi through USAi subsidiaries. This structure causes USAi to record net losses in situations where net income would otherwise have been recorded if their ownership were entirely in USAi common stock. Fully converted earnings and fully converted cash net income reflect the impact as if all shares exchangeable into common stock had been exchanged during the period. -- More --
PRO FORMA(a) PRO FORMA(a)(b) Q1 01 Q1 00 ----- ------ Fully converted cash net income per share....... 0.12 0.09 Fully converted earnings per share.............. 0.02 (0.01) Cash net income per share....................... 0.16 0.11 Basic loss per share............................ (0.05) (0.07) ENTERTAINMENT HIGHLIGHTS USA NETWORK grew revenue by 10% to $216.8 million and EBITDA by 16% to $112.2 million, its best quarter in history. o USA climbed one-half rating point over five months to tie for #1 in February cable primetime. Its Q1 average primetime rating increased 12% from Q4 '00 to 1.9. Delivery of targeted adults 25-54 is up more than 30% from Q1 '00 in primetime on Wednesdays and Saturdays. o Mark Burnett's ECO-CHALLENGE: BORNEO did a 2.0 rating, nearly doubling its adult 25-54 audience from last year and making it the most viewed ECO-CHALLENGE in its 7-year history. o ATTILA averaged a 5.8 to become cable's #2 most watched mini-series in history, behind USA's own MOBY DICK in 1998. o USA's acquired movies averaged a 1.8 rating in Q1 '01 and increased delivery of adults 25-54 by 12% versus Q1 '00. o USA Sports coverage of 10 professional golf tournaments in Q1 has generated 10% higher ratings and delivered 31% more targeted men 25-54 versus last season. o JAG, cable's top rated acquired strip series, is up 14% from Q1 '00. NASH BRIDGES, cable's 2nd highest rated acquired strip series, averaged a 2.0 rating in Q1, and WALKER, TEXAS RANGER, has improved its time slot ratings by 70% vs. Q1 `00. SCI FI grew revenue by 11% to $69.3 million and EBITDA by 23% to $29.7 million. o One of the fastest growing cable networks in history, SCI FI surpassed 70 million households in April. o SCI FI's average primetime rating in Q1 was 0.8 and its average delivery was 565,000. o SCI FI continues to have the highest concentration of adult viewers 25-54 of any network on television, ranks in the top 10 among basic cable networks in its delivery of adults and men 25-54, and for the last three weeks of March, delivered more viewers in these targeted demos than WB and UPN on Friday night. o New episodes of SCI FI's Friday night original series - INVISIBLE MAN, FARSCAPE and OUTER LIMITS - have set new rating and delivery records for their regularly scheduled time periods. FARSCAPE'S new episodes are up 38% from its 2000 average rating. o CROSSING OVER WITH JOHN EDWARD has improved the 11:00pm and 11:30pm ratings by 33% versus Q1 '00. o SCI FI is the #1 provider of original scripted series in cable primetime. STUDIOS USA grew net revenue by 27% to $151.5 million, its best ever, and net EBITDA by 23% to $21.5 million. o LAW & ORDER, the #2 drama on television, averaged a 13.2 rating in February, its best sweep performance in history. o LAW & ORDER: SVU, the most watched show on Friday by adults 18-49, improved its sweeps rating by 8% versus 2/00. o THE DISTRICT, the #1 rated series on Saturday, is also second highest rated new television drama this season. o MAURY remains the only syndicated daytime series to grow its ratings in two consecutive years. o Studios USA is the #3 producer of primetime and first-run syndicated programming including two of the top four syndicated talk shows and two of the top ten primetime dramas. -- More -- ENTERTAINMENT HIGHLIGHTS (CONTINUED) CABLE AND STUDIOS: USA FILMS' TRAFFIC has generated more than $120 million at the box office, and was the 3rd highest-grossing film during Q1 in North America. TRAFFIC garnered four ACADEMY AWARDS for Best Director, Best Screenplay (Adapted), Best Supporting Actor and Best Editing. USA Films' theatrical releases during the period also included IN THE MOOD FOR LOVE and SERIES 7. USA Home Entertainment's Q1 releases included NURSE BETTY, 2001 SUPER BOWL CHAMPION BALTIMORE RAVENS, and USA's original mini-series ATTILA. -- More --
Q1 01 Q1 00 GROWTH ----- ----- ------ Revenue ($ IN MILLIONS): USA Network................................. $216.8 $196.9 10% SCI FI...................................... 69.3 62.4 11% Studios, net................................ 151.5 119.6 27% ------ ------ ------ Total................................. $437.6 $379.0 15% ====== ====== ====== EBITDA ($ IN MILLIONS): USA Network................................. $112.2 $97.1 16% SCI FI...................................... 29.7 24.2 23% Studios, net................................ 21.5 17.5 23% ------ ------ ------ Total................................. $163.4 $138.8 18% ====== ====== ====== Households (IN MILLIONS @ 3/31): USA Network................................. 81.3 77.4 5% SCI FI...................................... 69.4 60.5 15% Advertising and other revenue / affiliate revenue: USA Network mix............................. 58:42 57:43 SCI FI mix.................................. 63:37 64:36 ELECTRONIC RETAILING HIGHLIGHTS HSN grew revenue by 8% to $385.4 million and EBITDA by 5% to $51.7 million in the United States (excluding one-time credits recognized in Q1 '00). o HSN added more than 530,000 new customers during the period, increasing its active customer base by 20% to 4.8 million customers versus March 2000. o HSN.com sales grew more than 300% to nearly $19 million in Q1 with virtually no incremental customer acquisition costs. 42% of HSN.com's customers are new to the HSN franchise. Customers shopping on HSN and HSN.com are spending an average 25% more than they were on HSN TV alone. o Programming highlights include: HSN became a significant player in the arts and crafts business by acquiring the assets of Craftopia.com; HSN is partnering with GOOD HOUSEKEEPING to develop and launch a line of houseware products found only on the network; HSN will be the exclusive retailer of THE LOOK designed by Randolph Duke, a collection of apparel and accessories from the celebrity designer. -- More --
Q1 01 Q1 00 GROWTH ----- ----- ------ U.S. units shipped (IN MILLIONS)..................... 8.4 8.3 1% On air gross profit %................................ 32.3% 33.6% On air return rate................................... 20.0% 20.9% On air product mix: Homegoods................................... 49% 50% Jewelry..................................... 26% 25% Health / Beauty............................. 10% 11% Apparel / Accessories....................... 15% 14% HSN cable / DBS homes (IN MILLIONS @ 3/31)........... 68.1 62.0 10% HSN total homes (IN MILLIONS @ 3/31)................. 79.9 75.2 6% ELECTRONIC RETAILING HIGHLIGHTS (CONTINUED) HSN - INTERNATIONAL o HSN Germany grew revenue by 20% in Q1. HSN Germany's EBITDA growth was impacted primarily by costs associated with adding four additional hours of daily live programming during Q1 and the implementation of a new sales order system. o Home Shopping Espanol expanded into Puerto Rico in February and expects to go into Mexico this spring. HSE attracted 110,000 new customers in Q1 `01, a 40% increase over the year ago period o HSN also recently launched new services in Italy and a Dutch language service in Belgium and The Netherlands. o HSN is the world's #1 distributed television retailer, reaching 154 million households. INFORMATION & SERVICES HIGHLIGHTS TICKETMASTER grew ticketing revenue by 17% to a record $150.1 million and EBITDA by 10% to $30.2 million. o Online ticket sales accounted for a record 29.5% of total tickets sold by Ticketmaster, versus 19.6% in Q1 '00. o Ticketing highlights include: A strategic partnership with AOL covering event ticketing, movie ticketing and personals; the acquisitions of ReserveAmerica and Evite; the installation of Print My Own technology in five new venues; and the installation of Ultimate Fan systems in 3 additional venues.
TV HOUSEHOLDS LIVE HOURS ---------------------------- 3/01 3/00 GROWTH DAILY 3/01 STAKE ---- ---- ------ --------- ------ Consolidated Services: (IN MILLIONS @ 3/31) HOT Germany (includes Austria / Switzerland).......... 29.7 28.2 1.5 20 hours 42% Home Shopping en Espanol (U.S. / Puerto Rico)......... 4.5 2.7 1.8 18 hours 100% Unconsolidated Services: TVSN (China).......................................... 17.8 -- 17.8 5 hours 21% Shop Channel (Japan) ................................. 9.4 7.2 2.2 12 hours 30% HOT Italia (Italy).................................... 9.4 -- 9.4 6 hours 33% HOT Thuis Winkelen (Belgium / The Netherlands)........ 1.6 -- 1.6 6 hours 47% HOT LeGrand Magasin (France / Belgium)................ 1.5 1.4 0.1 8 hours 47% -- More --
Q1 01 Q1 00 GROWTH ----- ----- ------ Number of tickets sold (IN MILLIONS)............ 23.6 21.8 8% Gross value of tickets sold (IN MILLIONS)....... $937 $812 15% Revenue per ticket.............................. $5.96 $5.44 10% Share of tickets sold online.................... 29.5% 19.6% Top-selling events in Q1 `01.................... *NSYNC, U.S. Hot Rod Association Monster Truck Events, Ringling Brothers and Barnum and Bailey Circus, U2 INFORMATION & SERVICES HIGHLIGHTS (CONTINUED) HOTEL RESERVATIONS NETWORK grew revenue by 91% to a record $105.2 million and EBITDA by 94% to $15.8 million. o HRN expanded into 38 new markets and sold 799,000 room nights during Q1. HRN now has more than 18,600 mostly-exclusive affiliates, including those affiliated with the newly acquired TravelNow. o HRN is the #1 provider of discount hotel accommodations worldwide. PRECISION RESPONSE had its best revenue quarter ever, increasing sales by 16% to $81 million. o PRC clients added during the recent period include Orbitz, Mellon Investor Services, and the U.S. Army. The company also expanded its relationships with Avaya and DirectTV. o PRC is the #2 inbound teleservices and integrated customer care company in the United States. CROSS COMPANY HIGHLIGHTS o ECO CHALLENGE was a multidimensional success for USAi. USA Networks' 4-day coverage attracted 2.6 million viewers, Mark Burnett's appearance on HSN and HSN.com's new Chat Cafe generated more than $40,000 in exclusive merchandise sales, and Citysearch benefited from joint online and radio promotions in NY, LA and Chicago. o USA Network acquired the exclusive off-network rights to Studios USA's LAW & ORDER: SPECIAL VICTIMS UNIT and will begin airing the series in September 2003. USA Network also acquired the cable television rights to USA Films' TRAFFIC. o The Company continues to strengthen its commerce activities in the area of professional sports. ECS now manages commerce on 4 of the top Internet sports sites: NBA.com, NASCAR.com, CBS.SportsLine.com and PGATour.com. In addition, Ticketmaster sells 12 million tickets to major league games and events, USA Films produces and distributes 1 million sports-related videos, HSN sells 250,000 units of merchandise through its NFL SHOP and NBA STORE specials, and USA Network broadcasts live 15 professional sporting events annually. o Citysearch is now Hotel Reservation Network's 5th largest affiliate, up from #7 in the fourth quarter. SHARES OUTSTANDING, MARKET CAPITALIZATION, NET DEBT As of April 20, 2001, USAi had outstanding 733.6 million shares, including exchangeable securities, with an aggregate market capitalization of approximately $17.1 billion. USAi's net debt, including that of its public subsidiaries, offset by an advance receivable to Universal, was approximately $215 million as of March 31, 2001. Net debt is expected to be reduced further using net cash proceeds from the sale of USA Broadcasting to Univision. -- More --
Q1 01 Q1 00 GROWTH ----- ----- ------- Hotel room nights sold.......................... 799,000 429,000 86% Affiliates (including TravelNow)................ 18,649 6,000 211% Properties...................................... 3,084 1,750 76% Cities served (AS OF 3/31)...................... 135 49 176% STATEMENTS OF OPERATIONS The actual quarterly results are not comparable due to: 1) the acquisition of Precision Response in April, 2000; 2) the acquisition of Styleclick.com in August 2000; and 3) Ticketmaster's acquisition of TicketWeb. ANALYST CONFERENCE CALL USA Networks, Inc. will audiocast its conference call with analysts and investors discussing the company's first quarter financial results on Wednesday, April 25, 2001, at 12:00 p.m. Eastern Time (ET). The live audiocast is open to the public at WWW.USANETWORKS.COM/INVESTOR.RELATIONS. A replay of the audiocast will begin approximately one hour after its completion at WWW.USANETWORKS.COM/INVESTOR.RELATIONS. IMPORTANT DISCLOSURES This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include the information relating to possible or assumed future results of operations of USAi, including those preceded by, followed by or that include the words "believes," "projects," "expects," "anticipates" or similar expressions. These statements reflect the current views of USAi with respect to future events. The following important factors, in addition to those described in USAi's filings with the Securities and Exchange Commission, could affect the future results of USAi, and could cause those results to differ materially from those expressed in the forward-looking statements: material adverse changes in economic conditions in the markets served by our businesses; future regulatory actions and conditions in our businesses' operating areas; competition from others; successful integration of our divisions, including recently acquired businesses; product demand and market acceptance; the ability to protect proprietary information and technology or to obtain necessary licenses on commercially reasonable terms; and obtaining and retaining key executives and employees. These forward-looking statements are made as of the date of this press release, and USAi undertakes no obligation to update or revise them, whether as a result of new information, future events or any other reason. The financial, statistical and other information contained in this press release and its attachments is unaudited. USA Network and SCI FI ratings and household delivery data per NMR Galaxy Explorer for NHI defined periods versus comparable periods. Subscriber counts based on Nielsen People Meter Installed Sample, March `01 vs. `00. All ratings within each network's coverage area. Studios' syndicated program ratings per NSS (GAA % where applicable), and broadcast network data per NTI for comparable time periods. Subject to qualifications. USA Networks, Inc. (NASDAQ: USAI) is focused on the new convergence of entertainment, information and direct selling. Formed in February 1998, the Company is organized into three distinct but interrelated units which include the following assets: USA Entertainment's USA Network, SCI FI Channel, TRIO, NWI, Studios USA, USA Films, and Interactive Entertainment; USA Electronic Retailing's HSN, HSN International, HSN Interactive; and USA Information and Services' Ticketmaster, (NASDAQ: TMCS), Citysearch,com, Match.com, Hotel Reservations Network (NASDAQ: ROOM), Electronic Commerce Solutions, Styleclick, Inc. (NASDAQ: IBUY) and Precision Response Corporation. More at www.usanetworks.com.
CONTACTS: MEDIA RELATIONS: INVESTOR RELATIONS: Adrienne Becker Roger Clark 212-314-7254 212-314-7400 USA NETWORKS, INC. AND SUBSIDIARIES BUSINESS SEGMENT INFORMATION - CONTINUING OPERATIONS UNAUDITED ($ IN THOUSANDS) (a) Presented as if the acquisitions of Precision Response and Styleclick had occurred at the beginning of the period presented. (b) EBITDA is defined as net income plus, (1) provision for income taxes, (2) minority interest, (3) interest income and expense, (4) depreciation and amortization, (5) amortization of cable distribution fees of $8,756 and $8,223, respectively, and (6) amortization of non-cash distribution and marketing expense and non-cash compensation expense. (c) In order to present comparable results for Germany, the results have been translated from Euros to U.S. dollars at a constant exchange rate. (d) Represents one-time credits recognized in Q1 '00 by HSN in connection with a favorable settlement of litigation relating to an HSN broadcasting affiliation agreement ($4,661) and a cable affiliation agreement ($1,647).
THREE MONTHS ENDED MARCH 31, ACTUAL PRO FORMA (a) ACTUAL --------------- ---------------- ---------------- 2001 2000 2000 --------------- ---------------- ---------------- REVENUES - OPERATING BUSINESSES Cable and studios $ 437,651 $ 378,953 $ 378,953 Electronic retailing - U.S. 385,372 358,479 358,479 Electronic retailing - Germany 78,861 65,798 65,798 Ticketing 150,109 127,961 127,961 Hotel reservations 105,286 55,263 55,263 Teleservices 80,692 69,649 - ----------- ----------- ----------- SUB-TOTAL 1,237,971 1,056,103 986,454 Euro's exchange rate fluctuation (c) (13,705) (7,890) (7,890) REVENUES - EMERGING BUSINESSES Citysearch, Match.com and related 20,928 16,975 16,975 Styleclick 4,019 7,869 6,617 Electronic Commerce Solutions 4,749 4,666 4,666 HSN - international and other 4,547 3,830 3,830 USA Films 51,006 30,307 30,307 Trio, NWI, SCIFI.com, USA Network.com 6,162 562 562 ----------- ----------- ----------- SUB-TOTAL 91,411 64,209 62,957 ----------- ----------- ----------- TOTAL $ 1,315,677 $ 1,112,422 $ 1,041,521 =========== =========== =========== EBITDA - OPERATING BUSINESSES (b) Cable and studios $ 163,407 $ 138,757 $ 138,757 Electronic retailing - U.S. 51,735 49,390 49,390 Electronic retailing - Germany 5,645 8,674 8,674 Ticketing 30,233 27,383 27,383 Hotel reservations 15,822 8,176 8,176 Teleservices 10,017 9,461 - Corporate and other (7,937) (9,603) (9,603) ----------- ----------- ----------- SUB-TOTAL 268,922 232,238 222,777 Euro's exchange rate fluctuation (c) (936) (1,034) (1,034) Nonrecurring charges (d) - 6,308 6,308 EBITDA - EMERGING BUSINESSES Citysearch, Match.com and related (11,830) (17,719) (17,719) Styleclick (10,436) (10,708) (6,367) Electronic Commerce Solutions (6,482) (5,563) (5,563) HSN - international and other (6,414) (1,493) (1,493) USA Films (1,035) 2,182 2,182 Trio, NWI, SCIFI.com, USA Network.com (1,699) (2,266) (2,266) ----------- ----------- ----------- SUB-TOTAL (37,896) (35,567) (31,226) ----------- ----------- ----------- TOTAL $ 230,090 $ 201,945 $ 196,825 =========== =========== =========== USA NETWORKS, INC. AND SUBSIDIARIES Condensed Consolidated Statements of Operations Unaudited ($ IN THOUSANDS, EXCEPT PER SHARE DATA) (a) Presented as if the merger of Ticketmaster and TMCS had occurred at the beginning of the period presented. The merger has no impact on revenues or EBITDA. Pro forma results reflect the impact of the merger on minority interest and income taxes. (b) Presented as if the acquisitions of Precision Response and Styleclick had occurred at the beginning of the period presented. (c) Amortization of warrants and stock issued in exchange for distribution and marketing services. (d) Expense relates to the Company's bonus stock purchase program and restricted stock awards. (e) Represents the cumulative effect of adoption of SOP 00-2, "Accounting by Producers and Distributors of Films". (f) Q1 '00 excludes the results of USA Broadcasting, the sale of which to Univision was announced in December 2000. The results for the discontinued operations was an after tax loss of $11,773. (g) EBITDA is defined as net income plus, (1) provision for income taxes, (2) minority interest, (3) interest income and expense, (4) depreciation and amortization, (5) amortization of cable distribution fees of $8,756 and $8,223, respectively, and (6) amortization of non-cash distribution and marketing expense and non-cash compensation expense.
THREE MONTHS ENDED MARCH 31, PRO FORMA (a) ACTUAL PRO FORMA(a)(b) ACTUAL ------------- ---------- --------------- ----------- 2001 2001 2000 2000 ------------- ---------- -------------- ------------ Revenues, net $ 1,315,677 $ 1,315,677 $ 1,112,422 $ 1,041,521 Operating costs and expenses: Costs related to revenues 800,173 800,173 665,603 611,402 Other costs and expenses 285,414 285,414 244,874 233,294 Amortization of non cash distribution and marketing expense (c) 8,017 8,017 1,593 1,593 Amortization of non cash compensation expense (d) 2,512 2,512 990 990 Amortization of cable distribution fees 8,756 8,756 8,223 8,223 Depreciation and amortization 137,599 137,599 135,198 104,000 ----------- ----------- ----------- ----------- Total operating costs and expenses 1,242,471 1,242,471 1,056,481 959,502 ----------- ----------- ----------- ----------- Operating income 73,206 73,206 55,941 82,019 Interest expense, net (11,416) (11,416) (8,602) (8,029) Other, net (6,522) (6,522) (637) (631) ----------- ----------- ----------- ----------- Earnings before income taxes and minority interest 55,268 55,268 46,702 73,359 Income tax expense (25,457) (26,462) (30,273) (35,073) Minority interest (49,337) (46,189) (40,361) (45,385) =========== =========== ========== =========== Loss from continuing operations, before cumulative effect of accounting change (19,526) (17,383) (23,932) (7,099) Cumulative effect of accounting change, net of tax (e) (9,187) (9,187) - - =========== =========== ========== =========== Net loss from continuing operations (f) $ (28,713) $ (26,570) $ (23,932) $ (7,099) =========== =========== ========== =========== Net loss from continuing operations, excluding one-time charges and non-operating gains, before cum. effect of accounting change $ (19,526) $ (17,383) $ (24,791) $ (7,958) =========== =========== ========== =========== Fully converted net earnings from continuing operations, excluding one-time charges and non-operating gains, before cum. effect of accounting change $ 11,563 $ 13,706 $ (7,724) $ 17,888 =========== =========== ========== =========== Weighted average diluted shares 370,176 370,176 361,856 337,511 =========== =========== ========== =========== Weighted average fully converted shares 758,046 758,046 752,474 728,129 =========== =========== ========== =========== EPS FROM CONTINUING OPERATIONS, BEFORE CUM. EFFECT OF ACCOUNTING CHANGE: Basic loss per share $ (.05) $ (.05) $ (.07) $ (.02) =========== =========== ========== =========== Basic loss per share, excluding one-time charges and non-operating gains $ (.05) $ (.05) $ (.07) $ (.02) =========== =========== ========== =========== Fully converted earnings per share, excluding one-time charges $ .02 $ .02 $ (.01) $ .02 =========== =========== ========== =========== EBITDA (g) $ 230,090 $ 230,090 $ 201,945 $ 196,825 =========== =========== ========== =========== USA NETWORKS, INC. AND SUBSIDIARIES EPS AND CASH NET INCOME RECONCILIATION INFORMATION - CONTINUING OPERATIONS, BEFORE CUMULATIVE EFFECT OF ACCOUNTING CHANGE UNAUDITED ( $ IN THOUSANDS, EXCEPT PER SHARE DATA ) (a) Presented as if the merger of Ticketmaster and TMCS had occurred at the beginning of the period presented. The merger has no impact on revenues or EBITDA. Pro forma results reflect the impact of the merger on minority interest and income taxes. (b) Presented as if the acquisitions of Precision Response and Styleclick had occurred at the beginning of the period presented. (c) Excludes one time charges and non-operating gains.
THREE MONTHS ENDED MARCH 31, PRO FORMA (a) ACTUAL PRO FORMA (a) (b) ACTUAL -------------- -------------- ------------------ --------- 2001 2001 2000 2000 -------------- -------------- ------------------ --------- BASIC LOSS PER SHARE: Net loss $ (19,526) $ (17,383) $ (23,932) $ (7,099) Impact of unusual items, net of tax and minority interest (c) -- -- (859) (859) --------- --------- --------- --------- BASIC LOSS, EXCLUDING UNUSUAL ITEMS (c) $ (19,526) $ (17,383) $ (24,791) $ (7,958) ========= ========= ========= ========= Weighted average basic shares 370,176 370,176 361,856 337,511 ========= ========= ========= ========= Basic loss per share: $ (.05) $ (.05) $ (.07) $ (.02) ========= ========= ========= ========= Basic loss per share excluding unusual items (c) $ (.05) $ (.05) $ (.07) $ (.02) ========= ========= ========= ========= =================================================================================================================================== CASH NET INCOME: Net loss $ (19,526) $ (17,383) $ (23,932) $ (7,099) Impact of goodwill amortization, net of tax and minority interest 76,909 76,909 64,721 60,635 --------- --------- --------- --------- CASH NET INCOME 57,383 59,526 40,789 53,536 Impact of unusual items, net of tax and minority interest (c) -- -- (859) (859) --------- --------- --------- --------- CASH NET INCOME, EXCLUDING UNUSUAL ITEMS (c) $ 57,383 $ 59,526 $ 39,930 $ 52,677 ========= ========= ========= ========= Weighted average basic shares 370,176 370,176 361,856 337,511 ========= ========= ========= ========= Cash net income per share $ .16 $ .16 $ .11 $ .16 ========= ========= ========= ========= Cash net income per share, excluding unusual items (c) $ .16 $ .16 $ .11 $ .16 ========= ========= ========= ========= =================================================================================================================================== FULLY CONVERTED NET EARNINGS: Net loss $ (19,526) $ (17,383) $ (23,932) $ (7,099) Impact of minority interest, net of tax 31,089 31,089 20,045 28,824 --------- --------- --------- --------- FULLY CONVERTED NET EARNINGS 11,563 13,706 (3,887) 21,725 Impact of unusual items, net of tax and minority interest (c) -- -- (3,837) (3,837) --------- --------- --------- --------- FULLY CONVERTED NET EARNINGS, EXCLUDING UNUSUAL ITEMS (c) $ 11,563 $ 13,706 $ (7,724) $ 17,888 ========= ========= ========= ========= Weighted average fully converted shares 758,046 758,046 752,474 728,129 ========= ========= ========= ========= Fully converted earnings per share $ .02 $ .02 $ (.01) $ .03 ========= ========= ========= ========= Fully converted earnings per share, excluding unusual items (c) $ .02 $ .02 $ (.01) $ .02 ========= ========= ========= ========= =================================================================================================================================== FULLY CONVERTED CASH NET INCOME: Net loss $ (19,526) $ (17,383) $ (23,932) $ (7,099) Impact of minority interest, net of tax 31,089 31,089 20,045 28,824 Impact of goodwill amortization, net of tax and minority interest 76,909 76,909 79,209 60,635 --------- --------- --------- --------- FULLY CONVERTED CASH NET INCOME 88,472 90,615 75,322 82,360 Impact of unusual items, net of tax and minority interest (c) -- -- (3,837) (3,837) --------- --------- --------- --------- FULLY CONVERTED CASH NET INCOME, EXCLUDING UNUSUAL ITEMS (c) $ 88,472 $ 90,615 $ 71,485 $ 78,523 ========= ========= ========= ========= Weighted average fully converted shares 758,046 758,046 752,474 728,129 ========= ========= ========= ========= Fully converted cash net income per share $ .12 $ .12 $ .10 $ .11 ========= ========= ========= ========= Fully converted cash net income per share, excluding unusual items (c) $ .12 $ .12 $ .09 $ .11 ========= ========= ========= =========
Exhibit 99.2 USA NETWORKS, INC. PRO FORMA SEGMENT RESULTS $ IN MILLIONS; ROUNDING DIFFERENCES MAY EXIST. UNAUDITED. THE FINANCIAL, STATISTICAL AND OTHER INFORMATION CONTAINED HEREIN IS UNAUDITED. As filed with the Securities and Exchange Commission on April 25, 2001.
--------- --------------------------------------------------------------------- REVENUE 1999 2000 --------- --------------------------------------------------------------------- YE 12/31 Q1 Q2 Q3 Q4 YE 12/31 --------- --------- --------- --------- --------- --------- OPERATING BUSINESSES Cable and studios 1,304.7 379.0 390.7 336.0 424.8 1,530.5 Electronic retailing - U.S. 1,332.9 358.5 344.0 368.8 462.1 1,533.3 Electronic retailing - Germany 166.7 65.8 57.1 62.7 74.0 259.6 Ticketing 442.7 128.0 143.0 124.9 122.7 518.6 Hotel reservations 161.8 55.3 78.1 94.6 100.0 328.0 Teleservices 215.9 69.6 70.2 70.2 72.1 282.1 Other 6.9 0.0 0.0 0.0 0.0 0.0 --------- --------- --------- --------- --------- --------- SUB-TOTAL 3,631.7 1,056.1 1,083.1 1,057.3 1,255.6 4,452.0 German DM exchange rate fluctuation (7.9) (6.7) (8.9) (11.8) (35.3) Emerging Businesses Citysearch, Match.com and related 36.3 17.0 20.2 21.6 21.2 80.0 Styleclick 35.1 7.9 6.3 5.3 4.8 24.2 Electronic Commerce Solutions 20.2 4.7 3.8 7.2 8.7 24.3 HSN - international and other 8.9 3.8 3.6 4.4 9.4 21.3 USA Films 82.1 30.3 20.8 14.5 20.5 86.1 Trio, NWI, SCIFI.com, USA Network.com 1.2 0.6 3.7 8.6 7.5 20.3 --------- --------- --------- --------- --------- --------- SUB-TOTAL 183.9 64.2 58.4 61.5 72.1 256.3 --------- --------- --------- --------- --------- --------- Total 3,815.6 1,112.4 1,134.8 1,109.9 1,315.9 4,673.0 ========= ========= ========= ========= ========= ========= USA Network 757.7 196.9 208.9 200.5 201.4 807.8 SCI FI 198.5 62.4 71.3 64.6 78.4 276.7 Studios, net 348.6 119.6 110.5 71.0 144.9 446.0 --------- --------- --------- --------- --------- --------- Cable and studios 1,304.7 379.0 390.7 336.0 424.8 1,530.5 --------- --------- --------- --------- --------- --------- ==================================================================================================================================== Operating Businesses Entertainment 1,304.7 379.0 390.7 336.0 424.8 1,530.5 Electronic retailing 1,499.6 424.3 401.1 431.5 536.0 1,792.9 Information and services 820.5 252.9 291.3 289.7 294.8 1,128.7 Corporate and other 6.9 0.0 0.0 0.0 0.0 0.0 --------- --------- --------- --------- --------- --------- SUB-TOTAL 3,631.7 1,056.1 1,083.1 1,057.3 1,255.6 4,452.0 --------- --------- --------- --------- --------- --------- ---------------------------------------------------------------- REVENUE 2001 ---------------------------------------------------------------- Q1 Q2 Q3 Q4 YTD 3/31 --------- --------- --------- --------- --------- OPERATING BUSINESSES Cable and studios 437.7 437.7 Electronic retailing - U.S. 385.4 385.4 Electronic retailing - Germany 78.9 78.9 Ticketing 150.1 150.1 Hotel reservations 105.3 105.3 Teleservices 80.7 80.7 Other 0.0 0.0 --------- --------- --------- --------- --------- SUB-TOTAL 1,238.0 1,238.0 German DM exchange rate fluctuation (13.7) (13.7) Emerging Businesses Citysearch, Match.com and related 20.9 20.9 Styleclick 4.0 4.0 Electronic Commerce Solutions 4.7 4.7 HSN - international and other 4.5 4.5 USA Films 51.0 51.0 Trio, NWI, SCIFI.com, USA Network.com 6.2 6.2 --------- --------- --------- --------- --------- SUB-TOTAL 91.4 91.4 --------- --------- --------- --------- --------- Total 1,315.7 1,315.7 ========= ========= ========= ========= ========= USA Network 216.8 216.8 SCI FI 69.3 69.3 Studios, net 151.5 151.5 --------- --------- --------- --------- --------- Cable and studios 437.7 437.7 --------- --------- --------- --------- --------- =============================================================================================================== Operating Businesses Entertainment 437.7 437.7 Electronic retailing 464.2 464.2 Information and services 336.1 336.1 Corporate and other 0.0 0.0 --------- --------- --------- --------- --------- SUB-TOTAL 1,238.0 1,238.0 --------- --------- --------- --------- --------- USA NETWORKS, INC. PRO FORMA RESULTS OF OPERATIONS (AS REPORTED) $ IN MILLIONS; ROUNDING DIFFERENCES MAY EXIST. UNAUDITED. * AS REPORTED. MAY NOT AGREE WITH PROFORMA REVENUE AND EBITDA RESULTS ABOVE. THE FINANCIAL, STATISTICAL AND OTHER INFORMATION CONTAINED HEREIN IS UNAUDITED. As filed with the Securities and Exchange Commission on April 25, 2001.
--------- ------------------------------------------------------------- P&L 1999 2000 --------- ------------------------------------------------------------- YE 12/31* Q1 Q2 * Q3 * Q4 * YE 12/31 * --------- --------- --------- -------- --------- --------- Date Reported: 02/03/00 04/27/00 07/26/00 10/26/00 02/01/01 02/01/01 Revenues, net 3,815.6 1,112.4 1,098.1 1,115.2 1,315.9 4,673.0 Operating costs and expenses: Costs related to revenues 2,301.7 665.6 638.8 673.6 801.3 2,812.4 Other costs and expenses 855.1 244.9 280.1 281.8 278.6 1,064.4 Amort. of non-cash distribution and marketing expense 0.0 1.6 1.6 2.7 7.1 11.5 Depreciation 119.2 36.5 42.9 46.3 54.0 166.1 Amortization of goodwill 374.0 108.0 96.7 108.9 135.1 467.3 --------- --------- --------- -------- --------- --------- Total operating costs 3,650.1 1,056.5 1,060.0 1,113.3 1,276.1 4,521.7 --------- --------- --------- -------- --------- --------- Operating income 165.4 55.9 38.0 1.9 39.8 151.3 Interest expense, net (50.2) (8.6) (8.8) (9.6) (10.3) (35.0) Gain on disposition of television station 0.0 0.0 0.0 0.0 0.0 0.0 Gain on sale of securities 89.7 0.0 0.0 0.0 0.0 0.0 Other, net (4.9) (0.6) (1.9) 69.9 (18.1) 49.3 --------- --------- --------- -------- --------- --------- 34.6 (9.2) (10.7) 60.3 (28.3) 14.3 Earnings before income taxes and minority interest 200.1 46.7 27.3 62.2 11.5 165.7 Income tax expense (83.9) (30.3) (19.0) (23.0) (26.3) (113.0) Minority interest (136.7) (40.4) (36.9) (58.6) (14.4) (128.5) --------- --------- --------- -------- --------- --------- Loss before cumulative effect of accounting change (20.5) (23.9) (28.6) (19.5) (29.2) (75.9) Cumulative effect of accounting change, net of tax 0.0 0.0 0.0 0.0 0.0 0.0 --------- --------- --------- -------- --------- --------- Net loss from continuing operations (20.5) (23.9) (28.6) (19.5) (29.2) (75.9) --------- --------- --------- -------- --------- --------- Weighted average diluted shares 352.6 361.9 362.0 367.8 368.3 366.0 --------- --------- --------- -------- --------- --------- Weighted average fully converted shares 745.8 752.5 748.5 754.8 752.6 747.4 --------- --------- --------- -------- --------- --------- Basic earnings per share $ (.06) $ (.07) $ (.08) (.05) $ (.08) $ (.21) --------- --------- --------- -------- --------- --------- Diluted earnings per share $ (.06) $ (.07) $ (.08) (.05) $ (.08) $ (.21) --------- --------- --------- -------- --------- --------- Fully converted earnings per share $ .12 $ (.01) $ .01 .04 $ (.00) $ .05 --------- --------- --------- -------- --------- --------- EBITDA 658.7 201.8 179.2 159.8 236.0 796.3 --------- --------- --------- -------- --------- --------- Excluding one-time charges and non-operating gains: Basic and diluted earnings per share $ (.11) $ (.07) $ (.07) (.10) $ (.03) $ (.19) --------- --------- --------- -------- --------- --------- Cash net income earnings per share $ .11 $ .11 $ .07 $ .21 --------- --------- --------- -------- --------- --------- Fully converted earnings per share $ .05 $ (.01) $ .01 (.02) $ .03 $ .03 --------- --------- --------- -------- --------- --------- Fully converted cash net income earnings per share $ .09 $ .10 $ .10 $ .15 --------- --------- --------- -------- --------- --------- ----------------------------------------------------------------------------- P&L 2001 ----------------------------------------------------------------------------- Q1 Q2 Q3 Q4 YE 12/31 --------- --------- --------- --------- --------- Date Reported: 04/25/01 Revenues, net 1,315.7 Operating costs and expenses: Costs related to revenues 800.2 Other costs and expenses 285.4 Amort. of non-cash distribution and marketing expense 8.0 Depreciation 48.7 Amortization of goodwill 100.2 --------- --------- --------- --------- --------- Total operating costs 1,242.5 --------- --------- --------- --------- --------- Operating income 73.2 Interest expense, net (11.4) Gain on disposition of television station 0.0 Gain on sale of securities 0.0 Other, net (6.5) --------- --------- --------- --------- --------- (17.9) Earnings before income taxes and minority interest 55.3 Income tax expense (25.5) Minority interest (49.3) --------- --------- --------- --------- --------- Loss before cumulative effect of accounting change (19.5) Cumulative effect of accounting change, net of tax (9.2) --------- --------- --------- --------- --------- Net loss from continuing operations (28.7) --------- --------- --------- --------- --------- Weighted average diluted shares 370.2 --------- --------- --------- --------- --------- Weighted average fully converted shares 758.0 --------- --------- --------- --------- --------- Basic earnings per share $ (.05) --------- --------- --------- --------- --------- Diluted earnings per share $ (.05) --------- --------- --------- --------- --------- Fully converted earnings per share $ .02 --------- --------- --------- --------- --------- EBITDA 229.3 --------- --------- --------- --------- --------- Excluding one-time charges and non-operating gains: Basic and diluted earnings per share $ (.05) --------- --------- --------- --------- --------- Cash net income earnings per share $ .16 --------- --------- --------- --------- --------- Fully converted earnings per share $ .02 --------- --------- --------- --------- --------- Fully converted cash net income earnings per share $ .12 --------- --------- --------- --------- --------- USA NETWORKS, INC. OPERATING METRICS IN MILLIONS EXCEPT PERCENTAGES AND RATINGS. USA NETWORK AND SCI FI RATINGS AND HOUSEHOLD DELIVERY DATA ARE SOURCED FROM NMR GALAXY EXPLORER. SUBSCRIBER COUNTS ARE BASED ON NIELSEN PEOPLE METER INSTALLED SAMPLES. THE FINANCIAL, STATISTICAL AND OTHER INFORMATION CONTAINED HEREIN IS UNAUDITED. As filed with the Securities and Exchange Commission on April 25, 2001.
----------- ---------------------------------------------- --------- 2000 2001 ----------- ---------------------------------------------- --------- YE Q1 Q2 Q3 Q4 YE Q1 ----------- ---------------------------------------------- --------- USA NETWORK Advertising and other revenue 56% 57% 58% 57% 55% 58% 58% Affiliate revenue 44% 43% 42% 43% 45% 42% 42% Average primetime rating 2.4 2.4 2.2 2.0 1.7 2.1 1.9 Households (end of period) 77.2 77.4 78.2 79.4 79.9 79.9 81.3 ----------- ---------------------------------------------- --------- 2000 2001 ----------- ---------------------------------------------- --------- YE Q1 Q2 Q3 Q4 YE Q1 ----------- ---------------------------------------------- --------- SCI FI CHANNEL Advertising and other revenue 59% 64% 66% 62% 67% 65% 63% Affiliate revenue 41% 36% 34% 38% 33% 35% 37% Average primetime rating 0.8 0.9 0.8 0.9 0.9 0.9 0.8 Households (end of period) 59.7 60.5 62.7 65.1 66.7 66.7 69.4 ---------------------------------------------- --------- 2000 2001 ---------------------------------------------- --------- Q1 Q2 Q3 Q4 YE Q1 ---------------------------------------------- --------- TRIO Households (end of period) 6.9 7.3 7.3 8.8 NWI Households (end of period) 6.5 6.7 6.7 8.0 USA NETWORKS, INC. OPERATING METRICS IN MILLIONS EXCEPT PERCENTAGES. THE FINANCIAL, STATISTICAL AND OTHER INFORMATION CONTAINED HEREIN IS UNAUDITED. As filed with the Securities and Exchange Commission on April 25, 2001.
---------- ----------------------------------------------- ---------- 2000 2001 ---------- ----------------------------------------------- ---------- YE Q1 Q2 Q3 Q4 YE Q1 ---------- ----------------------------------------------- ---------- HSN - Domestic U.S. units shipped 32.0 8.3 7.9 8.4 9.6 34.2 8.4 On-air gross profit% 34.3% 33.6% 34.7% 34.7% 32.7% 33.8% 32.3% On air product mix: Homegoods 49% 50% 46% 49% 55% 51% 49% Jewelry 27% 25% 28% 27% 25% 26% 26% Heath/Beauty 11% 11% 13% 9% 8% 10% 10% Apparel/Accessories 13% 14% 13% 15% 12% 13% 15% On air return rate 20.3% 20.9% 19.6% 20.2% 19.2% 19.9% 20.0% HSN cable/DBS HH (end of period) 60.6 62.0 63.2 64.6 65.6 65.6 68.1 HSN total HH (end of period) 73.7 75.2 76.4 75.9 76.8 76.8 79.9 America's Store FTE's (end of period) 8.3 8.8 8.8 9.0 8.6 8.6 8.3 USA NETWORKS, INC. OPERATING METRICS IN MILLIONS EXCEPT REVENUE PER TICKET AND PERCENTAGES. THE FINANCIAL, STATISTICAL AND OTHER INFORMATION CONTAINED HEREIN IS UNAUDITED. As filed with the Securities and Exchange Commission on April 25, 2001.
---------- --------------------------------------------------------------- ----------- 2000 2001 ---------- --------------------------------------------------------------- ----------- YE Q1 Q2 Q3 Q4 YE Q1 ---------- --------------------------------------------------------------- ----------- TICKETMASTER Number of tickets sold(mm) 75.0 21.8 22.3 20.2 18.7 83.0 23.6 Gross value of tickets sold(mm) $ 2,781 $ 812 $ 881 $ 782 $ 781 $ 3,256 $ 937 Share of tickets sold online 13.4% 19.6% 25.5% 25.6% 27.9% 24.5% 29.5% Revenue per ticket $ 5.25 $ 5.44 $ 5.89 $ 5.67 $ 5.87 $ 5.71 $ 5.96 USA NETWORKS, INC. OPERATING METRICS THE FINANCIAL, STATISTICAL AND OTHER INFORMATION CONTAINED HEREIN IS UNAUDITED. As filed with the Securities and Exchange Commission on April 25, 2001.
---------- --------------------------------------------------------------- ----------- 1999 2000 2001 ---------- --------------------------------------------------------------- ----------- YE Q1 Q2 Q3 Q4 YE Q1 ---------- --------------------------------------------------------------- ----------- HOTEL RESERVATIONS NETWORK Hotel room nights sold (thousands) 1,229 429 587 717 700 2,433 799 Affiliates (including TravelNow) 6,000 18,649 Properties 1,500 1,750 1,950 2,150 2,700 2,700 3,084 Cities served 40 49 60 83 97 97 135 USA NETWORKS, INC. OPERATING METRICS IN MILLIONS CAPITALIZATION (as of 4/20/01) Ticker (NASDAQ) USAI USAi Common Stock 309.5 USAi Class B 63.0 USAi Exchangeable Common Stock 213.0 USAi Exchangeable Class B 148.1 --------------- Total Shares Outstanding 733.6 Estimated dilutive options (treasury method) 41.0 --------------- Fully diluted shares 774.6 =============== Outstanding equity cap $17.1 billion Fully diluted equity cap $18.1 billion ================================================================================ BUSINESS MIX Revenue sources (Q1 '01): Merchandise 35% Ticketing 11% Teleservices / ECS 7% Hotel rooms 8% --------------- Commerce 61% =============== Advertising 15% Affiliate fees and subscriptions 9% Production and distribution 15% --------------- Media 39% =============== Online (% of total) 16% International (% of total) 10% THE FINANCIAL, STATISTICAL AND OTHER INFORMATION CONTAINED HEREIN IS UNAUDITED. As filed with the Securities and Exchange Commission on April 25, 2001.