Good day ladies and gentlemen and welcome to the Atlantic Tele-Network 's fourth-quarter and full-year 2013 earnings conference call. (Operator Instructions) As a reminder, this call is being recorded. I would now like to introduce your host for today's conference, Justin Benincasa, Chief Financial Officer. Please go ahead, sir.

Great thank you, Danielle. Good morning, everyone, thank you for joining us on our call to review our fourth-quarter and full-year 2013 results. With me here is Michael Prior, ATN's Co-President and Chief Executive Officer. During the call I will be covering the relevant financial information and certain operational data and Michael will be providing an update on the business. Before I turn the call over to Michael for his comments I would like to point out that this call and our press release contain forward-looking statements concerning our current expectations, objectives, and underlying assumptions regarding our future operating results. And are subject to risks and uncertainties that could cause actual results to differ materially from those described. Also, in an effort to provide useful information to investors, are comments today include non-GAAP financial measures. For details on these measures and reconciliation to comparable GAAP measures and for further information regarding the factors that may affect our future operating results, please refer to our earnings release on our website at ATNI.com or the 8-K filing provided to the SEC. And with that, I'll turn the call over to Michael for his comments on the quarter.

Thank you, Justin. Good morning, everyone. I'll start with some highlights for the quarter and the year. I think it is fair to term the operating results for both periods strong and consistent. Quarter-after-quarter our continuing operations saw steady revenue growth and consistent and healthy margins. While we always believe that there's a long list of potential areas to improve in our operating performance, and the present time is no exception to that, there is a good deal to be proud of in the year. Our remaining US wireless operations are performing well, and our Island Wireless operations showed a strong improvement in results led by Bermuda. Strategically, the year of course had an excellent milestone as we exited our US retail wireless business generating strong returns for investors. It was the right time to do so and it has positioned us with the capacity to make significant investments in new areas of potential growth. And I will give some color later on as to what we're seeing out there. Before that, let's turn to some specifics for the fourth-quarter, starting with US wireless. So, US wireless, which is of course is now largely composed of wholesale roaming revenue, showed solid revenue growth in 2013, particularly when you factor in the sale of the Midwestern network in late 2012. This time last year I recall saying that we would increase our investment in this business and thought we would see a rekindling of some growth and I'm glad to be able to say a year later that the growth did occur. Beyond even our expectations at the time. The drivers of the growth were a combination of expanding base stations and cell-sites in service, and growth in data roaming volumes, which more than offset declining voice volumes. The growth in…

Great, thank you, Michael. As Michael noted, our US wireless operations finished the year with another strong quarter of revenue growth. Adjusting for the sale of the Midwest assets that occurred at the end of 2012, that segment increased revenues by a very respectable 18% increase over last year. For the total company, revenues were up 9% to $76.5 million in the quarter. And as we noted in our press release we're still finalizing our review of our international telephony segment, and as such, labeled our results as preliminary. International wireless revenues represented or presented in the fourth quarter, I should say, from the international segment, did benefit by $1.8 million from previously unrecorded revenues related to earlier periods in 2013. Adjusted EBITDA for the quarter increased 14% to $28.6 million and our adjusted EBITDA margin was 37%. Moving down the income statement, this quarter's operating income from continuing operations was $16.3 million, down from the same quarter in 2012. However 2012 included both gains – a gain on sale and impairment charge which if netted out would show operating income of 27% in this year's fourth quarter. Operating expenses also included $907,000 of non-cash stock-based compensation expense. Income from continuing operations to the quarter was $16.2 million or $1.02 per share compared to $7.5 million or $0.48 per share reported in the fourth quarter of last year. A significant part of this increase in the quarter is associated with a net $1.8 million tax benefit from the quarter against the $16.5 million of income from continuing operations, which was the resulting benefit of an intercompany note receivable write off for tax purposes. Looking ahead to 2014 you should expect a more normalized tax rate of 38% to 40%. For the full year 2013 revenues from continuing operations were $292.3…

(Operator Instructions) And as the first question comes from Rick Prentiss from Raymond James. Please go ahead.

Good morning, guys.

Good morning.

A couple questions. First, on the CapEx side, so about flat CapEx in 2014 versus 2013 with about half the CapEx for the Commnet US wireless wholesale business. I know prior years you had some undersea cable work, you had fiber work in the US that seemed like it's wrapping up, why wouldn't CapEx be coming down in 2014 in some of those other areas?

In the other areas well, there's still some network – if you take some of the technology upgrades, right, LTE, et cetera in some of the island stuff to kind of stay on that curb, and then in Guyana, there's still opportunities such as GPON, et cetera, that we still have out there so there's still some opportunities to put CapEx to work down there.

Plus there is the fiber network build in the US has still has not a considerable amount this year because of things we're doing at the end of the stimulus build, as well as laterals and things like that to maximize the value of what we've built. So that will become very opportunistic post- 2014, post really first half of 2014. But there's still a good piece of the CapEx is allocated to that area this year.

And then Michael in your prepared remarks you talked about Commnet CapEx sizable for technology and capacity upgrades, we're still talking 3G technologies out in that area, not 4G LTE in the Commnet area?

There is limited – there is a limited area where we are doing 4G, but you're right, it's by and large, it's 3G.

Okay. And then, I think in the press release last night you spoke about, obviously 2013 was a nice year of EBITDA growth for the remaining businesses and that expect growth in 2014 versus 2013, but not as high. If we could maybe parse that out to look at the different segments, GTT, the integrated telephony one, it was surprisingly that it grew. I think even the one-time benefit or out of period benefit really counts within 2013, so we saw EBITDA growth at GTT. Is that something we should continue to expect or is it going to be a declining EBITDA there?

I don't – we're not sure it would be declining but we certainly don't see growth in the short term, we do see growth potential in the longer-term. Partly it was 2012 had some higher expenses and we were able to manage those better in 2013. That was probably the most significant impact there. And there was some revenue growth in certain areas, particularly broadband revenue growth which helped. And then the other thing that makes it hard to predict in Guyana, is we have been talking with the government and the government has been – Parliament has been considering a bill to end, to change the telecom regulatory scheme in a way that would end our exclusivity in which we have in international and in local wireline, as we said in the past, a lot of that has been eroded by poor enforcement and other issues already. But, in the short term that could have a negative impact. I think longer-term getting a clear and transparent scheme if that's what we end up with will be beneficial.

And then in the islands, 2013 was a very strong year, you mentioned getting scale, but that to get growth is going to require taking share and deploying mobile data. Just wondering what you're seeing in the islands area as far as what we should be thinking about on EBITDA line?

Yes, I think that we really had a phenomenal year, particularly in Bermuda, in terms of really capturing the benefits of scale and working through issues of just operating efficiency. And so in terms of EBITDA growth it's really hard to capture that. Plus there's some new costs coming into Bermuda, new regulatory costs and other things that will eat up some of what otherwise would be improvements. So, I think it's a good market but would be – it's going to be hard to grow beyond flat and then we have some smaller markets that have – where we are continuing to grow subscribers relatively quickly and those are pretty small. So it takes a lot of movement to make a small movement on our EBITDA overall. And in Guyana, when we said international wireless, just to clarify the remarks, international wireless, which would include Guyana, Guyana is really a 2G, 2.5G market. And it's our belief that all those markets, markets anywhere, there will be significant demand for better mobile data and that's part of – there's been a long delay of the government in terms of releasing spectrum to deploy those services. So when that happens is anybody's guess.

Okay, thanks.

Sure.

Thank you. And our next comes from Barry McCarver from Stephens Inc. Please go ahead.

Good morning, guys. Thanks for taking my questions. I guess first back on the base stations here in the US, can you give us an idea of what type of returns you're seeing on some of the builds maybe you've done in, you did in 4Q or you expect to do here in 1Q?

No, I don't think we can, first of all the returns vary, but we won't, I mean we don't build anything if we don't think we're going to see returns ahead of our cost of capital, and in some cases we're well ahead of it and in some cases we're not. But I think you can look at the cap that we've deployed over the last few years or even beyond that there, and we've generally same very reasonable returns for the capital.

And when you say significant opportunities to increase the base stations, accounting for the sale, is that somewhat equivalent to the build that you did in 2013 or do you think it could be higher than that?

Yes, I think it's a similar level.

Yes.

Okay. And then, in terms of I guess the bigger opportunities to put the balance sheet to use, could you at least tell us if you're looking more internationally or more domestically at opportunities here? Thanks.

Sure. Yes, Barry, we're looking at both, we really continue to look at both and we – US and International, and in US we're even less likely to look at sort of traditional network situations that as I said in the call earlier compete with tier one operators, so we look at infrastructure and other ways to play in that market or unbuilt segments as we always have.

Okay, very good, thanks.

Sure.

Thank you. (Operator Instructions) And our next question comes from Hamed Khorsand from BWS Financial. Please go ahead.

Just want to ask you as far as just the build out of the base stations goes, is there going to be a distribution based upon the weather and how you could take advantage of having more base stations during the summer months?

Say that again, Hamed? I'm not sure I…

Like how will that impact seasonality? Is that your…

Yes, that's the path I'm going with, in the past you've used CapEx in the colder months so you could get it – have the base stations up and going by the summer months, so that's basically what I'm asking.

Well, yes, I mean in some areas we do prioritize areas by traffic flows often where we can. Sometimes we just can't do that. It depends on our customers' needs and when we're trying to deliver by for them as well, so I'm not sure that's a significant – that has a significant impact. But once we decide to build, I will say this, once we decide to build an area we build it as fast as we can.

Right. And it starts generating traffic as soon as we light it.

Okay. Does your CapEx take into consideration any potential need for spectrum or are these areas that you're going into you already have some footprint?

There is no significant spectrum spend in that number so we kind of consider spectrum as more strategic and it's hard to predict as well. But, it is possible we'd buy some spectrum if the right spectrum is available in the right place.

Okay. All right and change of topic to GTT, there was a story about the government selling their 20% stake?

Yes.

And, why didn't you guys decide to sell the entire stake to the Chinese company?

Well your – I'm not going to comment on that in detail because it's just, I just can't.

Okay.

But we still like our assets we have there, I'll say that.

Okay, but do you think that their sale of their portion just really gives them a feel to seek removing the monopoly at law?

No I don't think it's changed. I think the government has been trying – talking about doing that for 13, 14 years, and I don't think it's driven by that whatsoever, I don't think it affected by that.

Okay, that's it for me. Thank you.

Yes, thank you.

Thank you. And I'm not showing any further questions at this time. I would now like to turn the call back to Justin Benincasa for any further remarks.

No further remarks, operator. Thank you, everyone and we'll talk to you shortly. Take care.

Ladies and gentlemen, thank you for participating in today's conference. This does conclude today's program. You may all disconnect. Everyone, have a great day. -