For the fourth quarter, pro forma revenue increased 2.5% over the year-ago quarter and 4.1% for the full year. Revenue growth for the full year and quarter was primarily driven by continued strong results in AT&T Wireless, the growth businesses of AT&T Business and Broadband, partially offset by a decline in long distance voice services in AT&T’s Consumer and Business units. On a reported basis, fourth quarter revenue increased $486 million, or 3.0%, to approximately $16.9 billion, compared with the year-ago quarter. For the full year, reported revenue increased 5.4%.
AT&T Common Stock Group’s operational earnings, which exclude certain charges and gains, as well as the impact of certain ownership interests, were $0.26 per diluted share in the fourth quarter, a decrease of 50.9 %, compared to the $0.53 per diluted share from the year-ago quarter. The decrease was primarily a result of the acquisition of MediaOne, as well as the impact of Excite@Home. Full-year operational earnings per diluted share were $1.63, a decline of 22.0% compared to 1999.
On a reported basis, AT&T’s Common Stock Group incurred a loss of $0.45 per share, or $1.7 billion, compared to earnings of $0.36 per share for the year-ago quarter. For the full-year 2000, reported earnings were $0.88 per diluted share compared to $1.74 per diluted share for the full-year 1999.
Excite@Home’s $4.6 billion write down of goodwill and other acquisition-related intangible assets affected both the fourth-quarter and full-year reported results for 2000. AT&T’s approximately 23% proportionate share of this non-cash charge equals about $1.1 billion or $0.29 per share. Corresponding to write off, AT&T also recorded a fourth-quarter non-cash charge of nearly $1.6 billion or $0.42 per share for the impairment of goodwill associated with AT&T’s investment in Excite@Home.
In 2000, the industry felt the impact of the long distance decline we anticipated when we put our new strategy in place three years ago, said Chairman C. Michael Armstrong. Our results reflect the acceleration of that decline, but also clearly demonstrate that we are successfully scaling our growth businesses.
