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DIRECTV Latin America
Business Description
DIRECTV Latin America
is the leading regional multi-channel entertainment provider in Latin
America, serving more than 1.3 million customers in 27 countries at year-end
2000. DIRECTV Latin America generated monthly average revenues from programming
of $36 per subscriber as of year-end 2000; additional monthly revenues
are earned from equipment rental and activation fees. In addition, the
DIRECTV businesses in Latin America generated more than $541 million in
revenue—a 72-percent increase over 1999—and negative EBITDA
of $171 million. DIRECTV Latin America is currently a partnership of HUGHES
(78-percent ownership) and Darlene Investments, LLC, an affiliate of the
Cisneros Group (22-percent ownership).
Key Strategies
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Continue to differentiate service through exclusive programming, new interactive services, and comprehensive sports and local programming |
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Continue to acquire new customers at a rapid pace |
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Strengthen distribution channels |
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Improve customer service; maximize customer loyalty; reduce customer churn |
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Restructure ownership of key local operating companies to improve operational efficiencies |
Major Accomplishments
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Added a record
501,000 net new subscribers—a 57-percent increase over the number
added in 1999—bringing the total number of subscribers to over
1.3 million |
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Acquired exclusive
broadcast rights in Argentina, Chile, Colombia, Mexico, Uruguay and
Venezuela for the 2002 and 2006 FIFA World Cup™ competitions |
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Announced agreement
to restructure the local operating company in Argentina to increase
operational control |
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Introduced the
DIRECTV Interactive™ service in Brazil, including weather, games
and banking applications |
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