Stream Communications (SCNWF)

Website: www.streamcn.com

'Stream currently offers Cable TV, high-speed Internet and VoIP services to 55,000 subscribers.'

Press Release: Stream Communications Corporate Update

After only five years, Stream Communications Network & Media, Inc., has grown into the 9th largest cable provider in Poland, and the fastest growing cable telecommunications company in Central Europe.

More importantly, with annualized revenues of $4.2 million at 2004 year end, a positive operating cash flow, five years of consistent growth and a highly experienced management team, the company is optimally poised for its next phase of growth.

The company will continue to strategically target acquisition and consolidation opportunities throughout Poland, as the Company builds toward 150,000 to 200,000 subscribers by the end of 2005, making SCNWF the country's 5th largest cable company.

To view the Full Press Release please visit http://biz.yahoo.com/prnews/050401/laf037.html?.v=4

For the Full Profile on SCNWF please visit http://www.smallcapreview.com/scnwf.htm

Approximate Shares Outstanding: 38.6M

 Market Cap: $30.9M

 Recent Price: $0.80

SCNWF Investment Highlights

• After only five years, SCNWF has grown into the 9th largest cable provider in Poland, and the fastest growing cable telecommunications company in Central Europe.

• SCNWF currently offers Cable TV, high-speed Internet and VoIP services to 55,000 subscribers.

• The regulatory environment in Poland currently favors SCNWF's purchasing strategy and Stream will continue to strategically target acquisition and consolidation opportunities throughout Poland, as the Company builds toward 150,000 to 200,000 subscribers by the end of 2005, making them the country's 5th largest.

• Relatively low subscriber acquisition cost in relation to revenues generated per subscriber compared to current cable acquisition market opportunities in western countries.
• The HFC Advantage - Stream has developed a competitive advantage through the architecture of the Company's HFC networks with high-speed Internet access. Through the deployment of this technology, Stream is an early mover in its market segment and is differentiated from the competition.
• Consolidated 12 cable networks and 2 Internet networks.
• Increased rates by 80% with negligible churn within 6 months of acquisition.
• Strong connections in target acquisition markets and operators.

• Regional office in Krakow and has smaller sales and marketing offices in the Bielsko-Biala, Bochnia, Czestochowa, Rzeszow, Sanok, and Sandomierz.

• Poland has emerged as one of the most dynamic economies in Central Europe and subsequently becoming one of the most attractive markets in Europe for the provision of CATV services. Poland is the largest single-language market in Central Europe with a population of 39 million people and an estimated 12 million TV households.
• Mr. Robert Wussler a board member, is currently President and Chief Executive Officer of Ted Turner Pictures and Ted Turner Documentaries. Mr. Wussler has revolutionized the communications industry and was responsible for groundbreaking changes in news production and presentation at CBS News, CNN, TNT, CBS Sports and WTBS Sports. Mr. Wussler was past President of of both CBS Sports and the CBS Television Network and joined Ted Turner as a co-founder of CNN, TNT, and WTBS. He also served as President of the Atlanta Hawks and the Atlanta Braves.

Overview

Through consolidation, construction and marketing, Stream aims to become one of the country's dominant cable TV and Internet operators in the southern region. Stream is headquartered in Vancouver, Canada with its main operational office in Krakow, Poland.

SCNWF entered the Polish cable TV market in 1999 and has acquired and integrated 10 regional operators to become the 9th largest operator in its highly fragmented sector. 

With annualized revenues of $4.2 million at 2004 year end, a positive operating cash flow, five years of consistent growth and a highly experienced management team, the company is optimally poised for its next phase of growth.

Strategy

SCNWF has a strategy to continue its growth both by acquisition and organically, increasing subscribers and average revenues per user. The Company is headquartered in Vancouver, Canada with its main operational office in Krakow, Poland.

• SCNWF will continue to strategically target acquisition and consolidation opportunities throughout Poland, as the Company builds toward 150,000 to 200,000 subscribers by the end of 2005, making them the country's 5th largest.
• The Company thinks Poland is one of the most attractive markets in Europe for the provision of CATV services. Poland is the largest single-language market in Central Europe with a population of 39 million people and an estimated 12 million TV households. TV viewing figures are amongst the highest in Europe with each family watching an average of four and a half hours of television per day. With only 4.35 million cable households, which represents a penetration of 35%, cable penetration in Poland is relatively low compared to other Central European countries.
• The Company holds current telecommunication approvals from the Office of Telecommunications Regulation, which regulates the network operators, for all its networks, granted in 2001 or 2002, and are valid for ten years from the date of approval. All programs distributed by the Company have been registered with and approved by the National Council for Radio and Television, which regulates the broadcast channels and content.
• The Company's target market is the southeastern region of Poland, which is the most densely populated region of Poland with 11.5 million inhabitants and 3.2 million TV homes. CATV penetration is low at just 0.8 million CATV subscribers (25% of TV homes) leaving significant scope for expansion.
• SCNWF owns 100% of Stream Communications, Stream's growth is being accomplished through acquisitions of small, independent cable TV providers and through its own marketing efforts. 

Technology

Stream deploys an advance Hybrid Fiber-Coax (HFC) secure, carrier-class infrastructure to deliver telecommunication services to households in Poland. Stream also develops its network wherever necessary to connect newly acquired cable companies to the existing broadband network, and to increase the customer base by offering cable services in areas where it is not currently available.

The acquired systems present various levels of technology. The Polish cable television industry has only a ten-year history therefore the architecture of existing networks is relatively up-to-date. 

Through modernization and consolidation, the company will increase efficiencies by implementing cost effective operating systems, reducing the number of head-ends and building the infrastructure for two-way transmission. This strategy is designed to minimize operating costs and to increase revenues per subscriber by offering premium channels to customers and deploying Pay-Per-View services at selected locations.

Recent News and Press Releases

Stream Communications Corporate Update...

Stream Announces Its Expansion Objectives For 2005

Stream Communications Network and Media Inc.: Announcement of a Proposed Private Placement

Stream Communications Network and Media Inc.: Share Issuances

Stream Approved for Credit Loan Facility

Disclaimer  

SmallCapReview.com feature stock reports are intended to be stock ideas, NOT recommendations. Please do your own research before investing. It is crucial that you at least look at current SEC filings and read the latest press releases. For continuing coverage of SCNWF, please sign up for our free newsletter, SmallCapReview.com News. Information contained in this report was extracted from current documents filed with the SEC, the company web site and other publicly available sources deemed reliable. For more information see our disclaimer section, a link of which can be found on our web site. This document contains forward-looking statements, particularly as related to the business plans of the Company, within the meaning of Section 27A of the Securities Act of 1933 and Sections 21E of the Securities Exchange Act of 1934, and are subject to the safe harbor created by these sections. Actual results may differ materially from the Company's expectations and estimates. This is an advertisement for Stream Communications. The purpose of this advertisement, like any advertising, is to provide coverage and awareness for the company. The information provided in this advertisement is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to law or regulation or which would subject us to any registration requirement within such jurisdiction or country.

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