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| [February 18, 2013] |
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Axtel, S.A.B. de C.V. Reports Fourth Quarter 2012 Results
SAN PEDRO GARZA GARCIA, Mexico --(Business Wire)--
Axtel (News - Alert), S.A.B. de C.V. ("AXTEL" or "the Company"), a leading Mexican
fixed-line integrated telecommunications company, announced today its
unaudited fourth quarter results ended December 31, 2012(1).
For additional information, please contact Adrian de los Santos,
Investor Relations Officer and Corporate Finance Director at IR@axtel.com.mx
Highlights:
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On January 31, 2013, AXTEL successfully completed the execution of its
recapitalization plan, divesting 883 tower sites for $249 million, and
exchanging existing debt for new secured and convertible debt and a
cash payment. On a pro forma basis, as of December 31, 2012, AXTEL
reduced its net debt leverage ratio from 4.0x to 2.4x.
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During the fourth quarter, AXTEL reinforced its productivity
initiatives by downsizing its organization in approximately 1,350
collaborators, which will be reflected in savings of approximately 15%
on its personnel expenses. AXTEL will now have a leaner and more
focused organization concentrated in the implementation of its key
strategic initiatives.
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On January 30, 2013, the Company launched its "AXTEL TV" pay
television service in Mexico City, Guadalajara and Monterrey. This
represnts a key step in AXTEL´s competitive position in the mass
market segment. AXTEL TV's image quality and innovative features are
the result of the capacity and reliability of the Company's end-to-end
fiber network.
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AXTEL's operating performance in the fourth quarter was negatively
impacted by certain extraordinary expenses, as well as lost revenues
due to the uncertainty surrounding the successful execution of its
recapitalization plan. This revenue loss is expected to be gradually
recovered as the recapitalization plan was successfully completed.
For a complete version of the 4Q12 Earnings Release, please visit:
www.axtel.com.mx
1) We are presenting financial information based on International
Financial Reporting Standards (IFRS) in nominal pesos for the following
periods:
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Consolidated income statement information for the three-month periods
ending on December 31 and September 30, 2012, and December 31, 2011;
and twelve-month period ending on December 31, 2012 and December 31,
2011, and
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Balance sheet information as of December 31, 2012 and 2011; and
September 30, 2012.
About AXTEL
Axtel is a Mexican telecommunications company with a significant growth
in the broadband segment, and one of the leading companies in
information and communication technologies solutions in the corporate,
financial and government sectors. The Company serves all market segments
-corporate, financial, government, wholesale and residential with the
most robust offering of integrated communications services in Mexico.
Its world-class network consists of different access technologies like
fiber optic, fixed wireless access, point to point and point to
multipoint links, in order to offer solutions tailored to the needs of
its customers.
AXTELCPO trades on the Mexican Stock Exchange since 2005. AXTEL's
American Depositary Shares are eligible for trading in The PORTAL
Market, a subsidiary of the NASDAQ Stock Market, Inc.
Visit AXTEL's Investor Relations Center on www.axtel.com.mx

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