Rogers Cable

Rogers Cable is Canada's leading provider of cable television services as well as high-speed Internet access and competitive telephony services, and is also a facilities-based telecommunications provider to businesses. Its business consists of the following three segments:


The Cable Operations segment has 2.3 million basic cable subscribers at December 31, 2007, representing approximately 30% of basic cable subscribers in Canada. At December 31, 2007, it provided digital cable services to approximately 1.4 million households and high-speed Internet service to approximately 1.5 million residential subscribers. Through Rogers Home Phone, it offers local telephone and long-distance services to residential customers with both voice-over-cable and circuit-switched technologies and had almost 1.0 million subscriber lines at December 31, 2007.


The RBS segment offers local and long-distance telephone, enhanced voice and data services, and IP access to Canadian businesses and governments, as well as making some of these offerings available on a wholesale basis to other telecommunications providers. At December 31, 2007, there were 237,000 local line equivalents and 35,000 broadband data circuits. Cable is increasingly focusing its business segment sales efforts on the smaller business portion of the market within its traditional cable television footprint, where it is able to provision and serve customers with voice and data telephony services provisioned over its own infrastructure.


The Rogers Retail segment operates a retail distribution chain that offers Rogers branded home entertainment and wireless products and services. There were 465 stores at December 31, 2007, including approximately 170 stores acquired in January 2007 from Wireless, many of which provide customers with the ability to purchase any of Rogers’ primary services (cable television, Internet, cable telephony and wireless), to pay their Rogers bills, and to pick up or return Rogers digital and Internet equipment. It also offers digital video disc (“DVD”) and video game sales and rentals through Canada’s second largest chain of video rental stores.

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 Key Statistics ($ In Millions Of Dollars, Except Subscriber Statistics)
  2007(1)(2) 2006
 Revenue $3,558 $3,201
 Adjusted Operating profit(1)(2) $1,016 $890
 Property, plant and equipment
 expenditures
$814 $794
 Basic cable subscribers 2,295,430 2,277,100
 Digital households 1,352,473 1,134,000
 High-speed Internet subscribers 1,465,354 1,296,647
 Residential telephony subscribers:
        Voice-over-cable 655,798 365,900
        Circuit switched 334,185 349,600
        Total: 989,983 715,500
(1) Adjusted operating profit is defined as net income before depreciation and amortization, interest expense, income tax recover (expense) and the impact of a one-time non-cash charge related to the introduction of a cash settlement feature for employee stock options, stock-based compensation expense, integration and restructuring expense and non-operating items, which include foreign exchange gains (losses), loss on repayment of long-term debt, change in the fair value of derivative instruments, non-controlling interest, gain on sale of investments, write-down of investments, income (loss) from investments accounted for by the equity method and investment and other income.
(2) Adjusted for the impact of a one-time non-cash charge related to the introduction of a cash settlement feature for employee stock options, stock-based compensation expense and integration and restructuring expense.
Updated: March 2008
 
 
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