Loading...
HomeMy WebLinkAbout2005Annual report.pdf~: '" ;, ~1: ~:il NNUAL REPO RYfCm,tiisSiOiJ DCM DIRECT COMMUNICATIONS ROCKLAND INC. NAME P .0. BOX 269 ROCKLAND , ID 8327 ADDRESS TO THE IDAHO PUBLIC UTiliTIES COMMISSION FOR THE YEAR ENDED DECEMBER 31 , 2005 ANNUAL REPORT OF SMALL TELEPHONE COMPANIES TO THE IDAHO PUBLIC UTILITIES COMMISSION FOR THE YEAR ENDING December 31. 2005 COMPANY INFORMATION Exact name of utility: DIRECT COMMUNICATIONS ROCKLAND, INC Address of principal office: 150 South Main Rockland, Idaho 83271 Telephone Number (Area Code 208 )548 - 2345 Cities or towns served: Rockland , Arbon, Paris, Bloomington , St. Charles, & Fish Haven Name and title of officer having custody of the general corporate books of account: Leonard May, President Address of office where corporate books are kept and phone number: 150 South Main Rockland , Idaho 83271 (208) 548 - 2345 Organized under the laws of the State of: Idaho Date of organization:: 1973 Form of organization (proprietorship, association , corporation): If a Subchapter S Corporation , please specify: Name and address of controlling company, if any: Corporation Names of affiliated companies. Give address and description of business: OFFICERS Report below the title, name and office address of each general officer of the utility at the end of the year. If there were any changes during the year, show the name, title, and address of the previous officer and the date of change. Title Name Address President - Treasurer Leonard Ma O. Box 269 Rockland Idaho 83271 Vice Pres. - Secreta Maril n Ma O. Box 269 Rockland Idaho 83271 Rev 3/02 Page 1 DIRECTORS List the name of each person who was a member of the Board of Directors at any given time during the year: (Fees related to meetings only. Name and Address Leonard May O. Box 269 Rockland , Idaho 83271 Marilyn May O. Box 269 Rockland, Idaho 83271 Term Expired or Current Term Will Expire Meetings Attended This year Fees Paid During Year May- May- Name of Chairman of the Board: Name of Secretary (or Clerk) of Board: Number of Meetings of the Board during the year: Leonard May Marilyn May MANAGERS List the name of each person who performed management duties for the Company during the year, and the total wages and bonuses paid to those persons: (Do not include Director fees in these amounts. Name Title Wages and Bonuses Paid Leonard May Marilyn May President - Treasurer Vice Pres. - Secretary Information is Confidential Rev 3/02 Page 2 NOTES TO THE FINANCIAL STATEMENTS Please provide important information such as changes in accounting or depreciation practices extensions or additions to the system; disposal of any substantial portion of the property of the utility; reorganization, mergers, or consolidations with other companies; leases executed; other contracts or agreements entered into; changes made in articles of incorporation or amendments; the occurrence of contingency losses or gains. Rev 3/02 Page 3 BALANCE SHEET Assets and Other Debits Balance Balance Increase Beginning at End Title of Account of Year of Year (DeCreaSe) Current Assets 1120 Cash and Equivalents 1130 Cash 653 199 302,472 (350,727) 1140 Special Cash Deposits 492 201 684 (481 517) 1150 Working Cash Advances 300 300 1160 Temporary Investments 630 358 206 341 576 1180 Telecommunications Accts. Receivable 102 201 142,414 213 1181 Accts. Rec. Allow. -Telecommunications 500)500) 1190 Other Accounts Receivable 692 753 840 719 147 965 1191 Accounts Receivable Allow. - Other (42)(42) 1200 Notes Receivable 391 221,470 192 079 1201 Notes Receivable Allowance 1210 Interest & Dividends Receivable 1220 Material and Supplies 166 338 124 133 (42 205) 1280 Prepayments 1290 Prepaid Rents 1300 Prepaid Taxes 000 000 000 1310 Prepaid Insurance 441 612 171 1320 Prepaid Directory Expenses 1330 Other Prepayments 1350 Other Current Assets Noncurrent Assets 1401 Investment in Affiliated Companies 288 322 540,476 252 154 1402 Investment in Nonaffiliated Companies 192 565 1406 Nonregulated Investments 1407 Unamortized Debt Issuance Expense 1408 Sinking Funds 1410 Other Noncurrent Assets 787 787 1438 Deferred Maintenance & Retirements 1439 Deferred Charges 511 1500 Other Jurisdiction Assets - Net Property, Plant and Equipment 2001 Telecommunications Plants in Service 276,458 355 234 776 2002 Prop. Held for Future Telecom. Use 2003 Telecom. Plant under Constr. - Short Term 375 771 604) 2004 Telecom. Plant under Constr. - Long Term 2005 Telecom. Plant Adjustment 2006 Nonoperating Plant 176 943 176 943 2007 Goodwill Depreciation and Amortization Accounts 3100 Accumulated Depreciated 909 021 354 734 1,445,713 3200 Accum. Depre. - Held for Future Use 3300 Accumulated Depreciation - Nonoperating 3400 Accumulated Amortization - Tangible 3410 Accum. Amort. - Capitalized Leases 3420 Accum. Amort. - Leasehold Improvements 3500 Accumulated Amortization - Intangible 3600 Accumulated Amortization - Other TOTAL ASSETS 302 341 945,455 (356 886) Rev 3/02 Page 4 BALANCE SHEET Liabilities & Stockholders' Equity Balance Balance Increase Beginning at End Title of Account of Year of Year (Decrease) Current Liabilities 4010 Accounts Payable 117 115 672 (86,443) 4020 Notes Payable 4030 Advance Billings and Payments 887 575 312) 4040 Customer Deposits 4050 Current Maturities - Long -Term Debt 900,474 037 969 137,495 4060 Current Maturities - Capital leases 4070 Income Taxes - Accrued 285 1 ,424 139 4080 Other Taxes - Accrued 992 386 394 4100 Net Current Defer. Oper. Income Taxes 4110 Net Current Defer. Nonoper. Income Taxes 4120 Other Accrued Liabilities 112 161 290 (50 871) 4130 Other Current Liabilities Long-Term Debt 4210 Funded Debt 246 793 830 280 (416 513) 4220 Premium on Long-Term Debt 4230 Discount on Long-Term Debt 4240 Reacquired Debt 4250 Obligations Under Capital Leases 4260 Advances from Affiliated Companies 4270 Other Long-Term Debt Other Liabilities & Deferred Credits 4310 Other Long-Term Liabilities 4320 Una mort. Oper. Invest. Tax Credits - Net 4330 Unamort. Nonoper. Invest. Tax Credits - Net 4340 Net Noncurrent Defer. Oper. Income Taxes 065 188 255,413 190 225 4350 Net Noncur. Defer. Nonoper. Income Taxes 4360 Other Deferred Credits 4370 Other Juris. Liab. & Def. Credits - Net Stockholders' Equity 4510 Capital Stock 000 000 4520 Additional Paid-In Capital 4530 Treasury Stock 4540 Other Capital 4550 Retained Earnings 712,446 580 447 (131 999) TOTAL LlAB. & OTHER CREDITS 302 341 945,455 (356 886) Rev 3/02 Page 5 AN A L Y S I S O F T E L E C O M M U N I C A T I O N S P L A N T I N S E R V I C E TO T A L C o m p a n y B a s i s Ba l a n c e Pl a n t Tr a n s f e r s Ba l a n c e Be g i n n i n g Ad d i t i o n s Re t i r e d an d En d of Y e a r Du r i n g y e a r or S o l d Ad j u s t m e n t s of Y e a r An a l y s i s o f T e l e c o m m u n i c a t i o n s P l a n t i n S e r v i c e 21 1 1 La n d 10 9 56 4 49 2 4 11 4 , 4 8 8 21 1 2 Mo t o r V e h i c l e s 38 5 , 00 7 35 , 4 1 2 34 9 59 5 21 1 3 Ai r c r a f t 21 1 4 Sp e c i a l P u r p o s e V e h i c l e s 08 4 08 4 21 1 5 Ga r a g e W o r k E q u i p m e n t 11 , 4 1 5 41 5 21 1 6 Ot h e r W o r k E q u i p m e n t 73 2 , 4 6 8 80 5 74 2 27 3 21 2 1 Bu i l d i n g s 55 1 09 6 40 , 4 9 0 59 1 58 6 21 2 2 Fu r n i t u r e 96 4 6, 4 7 7 74 , 4 4 1 21 2 3 Of f i c e E q u i p m e n t 14 9 , 94 0 69 0 13 4 25 0 21 2 4 Ge n e r a l P u r p o s e C o m p u t e r s 24 5 , 78 8 51 3 11 9 , 07 8 15 9 , 22 4 22 1 1 An a l o g E l e c t r o n i c S w i t c h i n g 22 1 2 Di g i t a l E l e c t r o n i c S w i t c h i n g 20 7 90 5 33 3 , 37 0 54 1 27 5 22 1 5 El e c t r o - Me c h a n i c a l S w i t c h i n g 22 2 0 Op e r a t o r S y s t e m s 22 3 1 Ra d i o S y s t e m s 22 3 2 Ci r c u i t E q u i p m e n t 22 2 59 1 30 5 13 8 36 , 65 2 3, 4 9 1 07 7 23 1 1 St a t i o n A p p a r a t u s 23 2 1 Cu s t o m e r P r e m i s e s W i r i n g 23 4 1 La r g e P r i v a t e B r a n c h E x c h a n g e s 23 5 1 Pu b l i c T e l e p h o n e T e r m i n a l E q u i p m e n t 23 6 2 Ot h e r T e r m i n a l E q u i p m e n t 24 1 1 Po l e s 24 2 1 Ae r i a l C a b l e 24 2 2 Un d e r g r o u n d C a b l e 24 2 3 Bu r i e d C a b l e 13 , 99 8 , 27 6 11 1 24 9 14 , 10 9 52 6 24 2 4 Su b m a r i n e C a b l e 24 2 6 In t r a b u i l d i n g N e t w o r k C a b l e 24 3 1 Ae r i a l W i r e 24 4 1 Co n d u i t S y s t e m s 26 8 1 Ca p i t a l L e a s e s 26 8 2 Le a s e h o l d I m p r o v e m e n t s 26 9 0 In t a n g i b l e s 17 6 94 3 17 6 94 3 TO T A L P L A N T A C C O U N T S 89 5 04 1 84 3 96 7 20 6 83 1 53 2 17 7 Re v 3 / 0 2 Pa g e 6 An a l y s i s o f T e l e c o m m u n i c a t i o n s P l a n t i n S e r v i c e 21 1 1 La n d 21 1 2 Mo t o r V e h i c l e s 21 1 3 Ai r c r a f t 21 1 4 Sp e c i a l P u r p o s e V e h i c l e s 21 1 5 Ga r a g e W o r k E q u i p m e n t 21 1 6 Ot h e r W o r k E q u i p m e n t 21 2 1 Bu i l d i n g s 21 2 2 Fu r n i t u r e 21 2 3 Of f i c e E q u i p m e n t 21 2 4 Ge n e r a l P u r p o s e C o m p u t e r s 22 1 1 An a l o g E l e c t r o n i c S w i t c h i n g 22 1 2 Di g i t a l E l e c t r o n i c S w i t c h i n g 22 1 5 E l e c t r o - Me c h a n i c a l S w i t c h i n g 22 2 0 Op e r a t o r S y s t e m s 22 3 1 Ra d i o S y s t e m s 22 3 2 Ci r c u i t E q u i p m e n t 23 1 1 St a t i o n A p p a r a t u s 23 2 1 Cu s t o m e r P r e m i s e s W i r i n g 23 4 1 La r g e P r i v a t e B r a n c h E x c h a n g e s 23 5 1 Pu b l i c T e l e p h o n e T e r m i n a l E q u i p m e n t 23 6 2 Ot h e r T e r m i n a l E q u i p m e n t 24 1 1 Po l e s 24 2 1 Ae r i a l C a b l e 24 2 2 Un d e r g r o u n d C a b l e 24 2 3 Bu r i e d C a b l e 24 2 4 Su b m a r i n e C a b l e 24 2 6 In t r a b u i l d i n g N e t w o r k C a b l e 24 3 1 Ae r i a l W i r e 24 4 1 Co n d u i t S y s t e m s 26 8 1 Ca p i t a l L e a s e s 26 8 2 Le a s e h o l d I m p r o v e m e n t s 26 9 0 In t a n g i b l e s TO T A L P L A N T A C C O U N T S Re v 3 / 0 2 AN A L Y S I S O F T E L E C O M M U N I C A T I O N S P L A N T A C C O U N T S ID A H O O p e r a t i o n s O n l y Ba l a n c e Be g i n n i n g of Y e a r Ad d i t i o n s Du r i n g Y e a r Pl a n t Re t i r e d or S o l d Tr a n s f e r s an d Ad j u s t m e n t s Ba l a n c e En d of Y e a r SA M E A S T O T A L CO M P A N Y Pa g e 7 AN A L Y S I S O F E N T R I E S I N A C C U M U L A T E D D E P R E C I A T I O N Ac c o u n t 3 1 0 0 TO T A L C o m p a n y B a s i s Ba l a n c e Cr e d i t s Re t i r e m e n t s Ba l a n c e Be g i n n i n g De p r e c i a t i o n Du r i n g an d En d of Y e a r Ra t e Ye a r Ad j u s t m e n t s of Y e a r An a l y s i s o f E n t r i e s i n A c c u m u l a t e d D e p r e c i a t i o n 21 1 2 Mo t o r V e h i c l e s 23 0 62 0 25 . 81 5 (3 5 41 2 ) 26 5 02 3 21 1 3 Ai r c r a f t 21 1 4 Sp e c i a l P u r p o s e V e h i c l e s 44 3 10 . 88 9 33 2 21 1 5 Ga r a g e W o r k E q u i p m e n t 16 3 ) 11 . 42 1 09 6 35 4 21 1 6 Ot h e r W o r k E q u i p m e n t 52 3 28 1 12 . 50 3 (1 0 09 6 ) 56 6 68 8 21 2 1 Bu i l d i n g s 33 6 25 6 23 6 38 3 , 4 9 2 21 2 2 Fu r n i t u r e 70 8 12 . 30 5 01 3 21 2 3 Of f i c e E q u i p m e n t 10 9 48 5 12 . 55 5 (1 5 69 0 ) 11 7 35 0 21 2 4 Ge n e r a l P u r p o s e C o m p u t e r s 18 9 60 8 20 . 31 4 (1 3 2 22 0 ) 70 1 22 1 1 An a l o g E l e c t r o n i c S w i t c h i n g 22 1 2 Di g i t a l E l e c t r o n i c S w i t c h i n g 94 9 23 2 12 . 25 3 91 1 20 3 14 3 22 1 5 El e c t r o - Me c h a n i c a l S w i t c h i n g 22 2 0 Op e r a t o r S y s t e m s 22 3 1 Ra d i o S y s t e m s 22 3 2 Ci r c u i t E q u i p m e n t 57 9 , 4 7 2 10 . 33 2 64 1 (3 6 79 8 ) 87 5 31 5 23 1 1 St a t i o n A p p a r a t u s 23 2 1 Cu s t o m e r P r e m i s e s W i r i n g 23 4 1 La r g e P r i v a t e B r a n c h E x c h a n g e s 23 5 1 Pu b l i c T e l e p h o n e T e r m i n a l E q u i p m e n t 23 6 2 Ot h e r T e r m i n a l E q u i p m e n t 24 1 1 Po l e s 24 2 1 Ae r i a l C a b l e 24 2 2 Un d e r g r o u n d C a b l e 24 2 3 Bu r i e d C a b l e 28 9 80 2 75 4 23 6 04 4 03 8 24 2 4 Su b m a r i n e C a b l e 24 2 6 In t r a b u i l d i n g N e t w o r k C a b l e 24 3 1 Ae r i a l W i r e 24 4 1 Co n d u i t S y s t e m s TO T A L 26 2 74 4 58 7 82 6 22 0 11 9 63 0 , 4 5 1 Pl e a s e l i s t i n d i v i d u a l d e p r e c i a t i o n r a t e f o r e a c h a c c o u n t . Re v 3 / 0 2 Pa g e 8 AN A L Y S I S O F E N T R I E S I N A C C U M U L A T E D D E P R E C I A T I O N Ac c o u n t 3 1 0 0 An a l y s i s o f E n t r i e s i n A c c u m u l a t e d D e p r e c i a t i o n 21 1 2 M o t o r V e h i c l e s 21 1 3 A i r c r a f t 21 1 4 S p e c i a l P u r p o s e V e h i c l e s 21 1 5 G a r a g e W o r k E q u i p m e n t 21 1 6 O t h e r W o r k E q u i p m e n t 21 2 1 B u i l d i n g s 21 2 2 F u r n i t u r e 21 2 3 O f f i c e E q u i p m e n t 21 2 4 G e n e r a l P u r p o s e C o m p u t e r s 22 1 1 A n a l o g E l e c t r o n i c S w i t c h i n g 22 1 2 D i g i t a l E l e c t r o n i c S w i t c h i n g 22 1 5 E l e c t r o - Me c h a n i c a l S w i t c h i n g 22 2 0 O p e r a t o r S y s t e m s 22 3 1 R a d i o S y s t e m s 22 3 2 C i r c u i t E q u i p m e n t 23 1 1 S t a t i o n A p p a r a t u s 23 2 1 C u s t o m e r P r e m i s e s W i r i n g 23 4 1 L a r g e P r i v a t e B r a n c h E x c h a n g e s 23 5 1 P u b l i c T e l e p h o n e T e r m i n a l E q u i p m e n t 23 6 2 O t h e r T e r m i n a l E q u i p m e n t 24 1 1 P o l e s 24 2 1 A e r i a l C a b l e 24 2 2 U n d e r g r o u n d C a b l e 24 2 3 B u r i e d C a b l e 24 2 4 S u b m a r i n e C a b l e 24 2 6 I n t r a b u i l d i n g N e t w o r k C a b l e 24 3 1 A e r i a l W i r e 24 4 1 C o n d u i t S y s t e m s TO T A L Pl e a s e l i s t i n d i v i d u a l d e p r e c i a t i o n r a t e f o r e a c h a c c o u n t . Re v 3 / 0 2 ID A H O O p e r a t i o n s O n l y Ba l a n c e Be g i n n i n g of Y e a r De p r e c i a t i o n Ra t e Cr e d i t s Du r i n g Ye a r Re t i r e m e n t s an d Ad j u s t m e n t s Ba l a n c e En d of Y e a r SA M E A S T O T A L CO M P A N Y Pa g e 9 INVESTMENTS Report below the investments in Accounts 1401 , 1402 and 1406. Identify each investment as to the account in which included. Minor amounts in Account 1406 may be grouped by classes. Description Date AcQuired CTT COMMUNICATIONS 1991 RTFC CERTIFICATES 1993 , & 96 INDEPENDENT CABLE SYSTEIV 2003 EAGLE MOUNTAIN 2004 SYRINGA NETWORK 2000ANPI & SOLEX 2002 NEWSTREETS , INC. & NRT S : 2002 RTB STOC 2002 Totals Book Cost of Investments Disposed of This ~ear Book Cost of Investments Held at End of Year 160 861 350,495 084 175 257 172 123 800 908 942 540,476 RECEIVABLES Itemize amounts show in Accounts 1180, 1190 and 1200. For notes receivable list each note separately and include the maturity date and interest rate. Minor amounts in Account 1210 may be combined. Name of Company CUSTOMERS INTEREXCHANGE CARRIERS AND OTHERS BEAVER CREEK TELEPHONE Amount at End of YearNotes AccountsReceivable Receivable 142,414 840 719 221,470 Totals Rev 3/02 221,470 983 133 Page 10 NOTES PAYABLE For Notes Payable, list each note separately and include the maturity date and interest rate. Name of Creditor Totals Date of Note Interest Rate ACCOUNTS PAYABLE Report below all Accounts Payable amounting to more than $100. Name of Creditor American Falls Napa Auto Parts Bear Lake Motors Due Date Burgoyne Auto Body Computer Technology, Inc. Employee Flex Plan Federal Excise Tax Givens Pursley, LLP. GVNW, Inc. Idaho Power Power County Clerk (E911) PSI Environmental Services Wiggins & Co. All others under $100 Totals Rev 3/02 Page 11 Face Amount Amount 146. 277. 283. 620. 1,475. 855. 845. 20,408. 432. 402. 103. 541. 278. 671. LO N G - T E R M D E B T Ac c o u n t s 4 2 1 0 , 4 2 4 0 , 42 5 0 , 4 2 6 0 , 4 2 7 0 a n d 4 3 1 0 Li s t t h e r e q u i r e d d a t a f o r e a c h o b l i g a t i o n i n c l u d e d i n t h e s e a c c o u n t s , g r o u p i n g t h e m b y a c c o u n t n u m b e r a n d s h o w i n g t o t a l s f o r e a c h a c c o u n t . If a n y o b l i g a t i o n s m a t u r e s e r i a l l y o r o t h e r w i s e a t v a r i o u s d a t e s , g i v e p a r t i c u l a r s i n a n o t e . Da t e Da t e Fa c t Pr e m i u m ! D i s c o u n t Cl a s s & S e r i e s Am o u n t Ou t s t a n d i n g Ye a r In t e r e s t f o r y e a r of O b l i g a t i o n Is s u e Ma t u r i t v Au t h o r i z e d Ye a r - En d To t a l Am o r t i z e d Ra t e Am o u n t RT F C 19 9 4 20 0 9 46 5 30 5 55 5 VA R I E S 37 9 RT F C 19 9 5 20 1 2 03 0 20 2 57 4 61 1 VA R I E S 14 2 99 6 RU S 19 7 9 20 1 1 60 8 , 4 2 1 69 5 72 5 00 % 44 9 14 2 RU S 19 9 0 20 1 2 08 0 58 3 66 3 05 7 00 % RT F C 20 0 4 20 1 1 77 5 69 9 66 6 68 9 VA R I E S 73 0 RT B 20 0 2 20 1 7 39 8 00 0 17 3 61 2 05 % 60 1 Re v 3 / 0 2 Pa g e 1 2 CAPITAL STOCK Report below the particulars called for concerning common and preferred stock at end of year designating separate series of any general class. Show totals separately for common and preferred. For each class of preferred stock, show the dividend rate and whether dividends are cumulative or noncumulative. Show details in a footnote of capital stock sold during the year. Include number of shares consideration received, premium or discount, and expenses incurred. Class & Series of Stock COMMON Rev 3/02 Number of Shares Authorized 000 Par Value per Share $1. Page 13 Outstanding per Balance Sheet Shares Amount 000 $50 000. INCOME & RETAINED EARNINGS STATEMENT Item Total Company Idaho Only Total Operating Income (from page 16) Total Operating Expenses (from page 18) 7100 Other Operating Income and Expense 7210 Operating Investment Tax Credits-Net 7220 Operating Federal Income Taxes 7230 Operating State and Local Income Taxes 7240 Operating Other Taxes 7250 Provision for Deferred Operating Income Taxes-Net7200 Operating Taxes (Total) 7310 Dividend Income 7320 Interest Income 7330 Income from Sinking and Other Funds 7340 Allowance for Funds Used During Construction 7350 Gains/Losses from the Disposition of Certain Property 7360 Other Nonoperating Income 7370 Special Charges7300 Nonoperating Income and Expense 7410 Nonoperating Investment Tax Credits-Net 7420 Nonoperating Federal Income Taxes 7430 Nonoperating State and Local Income Taxes 7440 Nonoperating Other Taxes 7450 Provision for Deferred Nonoperating Income Taxes-Net7400 Nonoperating Taxes 7510 Interest on Funded Debt 7520 Interest Expense-Capital Leases 7530 Amortization of Debt Issuance Expense 7540 Other Interest Deductions7500 Interest and Related Items 7610 Extraordinary Income Credits 7620 Extraordinary Income Charges 7630 Current Income Tax Effect of Extraordinary Items-Net 7640 Provision for Deferred Income Tax Effect of Extraordinary Items-Net7600 Extraordinary Items 7910 Income Effect of Jurisdictional Ratemaking Differences-Net 7990 Nonregulated Net Income AMOUNT TRANSFERRED TO RETAINED EARNINGS Rev 3/02 024 804 4,423 894 1 ,424 128 771 730 172 925 (22 824) (41 022) (13 929) 225) 534 (46.466) 755 847 755 848 (340 505) 109 Page 14 SAME TOTAL OPERATING REVENUES Item Total Company Idaho Only Local Network Services Revenues 5001 Basic Area Revenue 5002 Optional Extended Area Revenue 5003 Cellular Mobile Revenue 5004 Other Mobile Services Revenue 5010 Public Telephone Revenue 5040 Local Private Line Revenue 5050 Customer Premises Revenue 5060 Other Local Exchange Revenue 5069 Other Local Exchange Settlements Network Access Services Revenues 5081 End User Revenue (SLC) 5082 Switched Access Revenue (Interstate) 5083 Special Access Revenue 5084 State Access Revenue (Intrastate) Long Distance Network Services Revenues 5100 Long Distance Message Revenue - All Miscellaneous Revenues 5230 Directory Revenue 5240 Rent Revenue 5250 Corporate Operations Revenue 5261 Special Billing Arrangements Revenue 5262 Customer Operations Revenue 5263 Plant Operations Revenue 5264 Other Incidental Regulated Revenue 5269 Other Revenue Settlements 5270 Carrier Billing & Collection Revenue Uncollectible Revenues 5301 Uncollectible Revenue - Telecommunications 5302 Uncollectible Revenue - Other TOTAL OPERATING REVENUES Please identify the following revenues: 414,464 43,477 118 283 163 957 270 024 503 602 2,493 024 804 NECA USF $686,184 . To what account were they booked? State USF 221.847 . To what account were they booked? Rev 3/02 Page 15 SAME TOTAL 5082. 5084. OPERATING REVENUES Item Total Company Idaho Only Plant Specific Operations Expense 6110 Network Support Expenses 6112 Motor Vehicle Expense 6113 Aircraft Expense 6114 Special Purpose Vehicles Expense 6115 Garage Work Equipment Expense 6116 Other Work Equipment Expense 6120 General Support Expenses 6121 Land and Building Expenses 6122 Furniture and Artworks Expense 6123 Office Equipment Expense 6124 General Purpose Computers Expense 6210 Central Office Switching Expenses 6211 Analog Electronic Expense 6212 Digital Electronic Expense 6215 Electro-Mechanical Expense 6220 Operators System Expense 6230 Central Office Transmission Expenses 6231 Radio Systems Expense 6232 Circuit Equipment Expense 6310 Information OriginationfTermination Expense 6311 Station Apparatus Expense 6341 Large Private Branch Exchange Expense 6351 Public Telephone Terminal Equipment Expense 6362 Other Terminal Equipment Expense 6410 Cable and Wire Facilities Expenses 6411 Pole Expense 6421 Aerial Cable Expense 6422 Underground Cable Expense 6423 Buried Cable Expense 6424 Submarine Cable Expense 6425 Deep Sea Cable Expense 6426 Intrabuilding Network Cable Expense 6431 Aerial Wire Expense 6441 Conduit Systems Expense TOTAL PLANT SPECIFIC OPERATIONS EXPENSE Rev 3/02 786 SAME TOTAL 619 185 216 295 140 760 163 437 194 542 038 026 733 681 Page 16 OPERATING REVENUES Item Total Company Idaho Only Plant Nonspecific Operations Expense 6510 Other Property/Plant/Equipment Expenses 6511 Property Held for Future Telecomm. Use Expenses 6512 Provisioning Expense 6530 Network Operations Expense 6531 Power Expense 6532 Network Administration Expense 6533 Testing Expense 6534 Plant Operations Administration Expense 6535 Engineering Expense 6540 Access Expense 6560 Depreciation and Amortization Expenses 6561 Depreciation Expense-Telecom. Plant in Service 6562 Depreciation Expense-Property Held for Future Use 6563 Amortization Expense - Tangible 6564 Amortization Expense - Intangible 6565 Amortization Expense - Other Total Plant Nonspecific Operations Expenses Customer Operations Expense 6610 Marketing 6611 Product Management 6612 Sales 6613 Product Advertising 6620 Services 6621 Call Completion Services 6622 Number Services 6623 Customer Services Total Customer Operations Expense Corporate Operations Expense 6710 Executive and Planning 6711 Executive 6712 Planning 6720 General and Administrative 6721 Accounting and Finance 6722 External Relations 6723 Human Resources 6724 Information Management 6725 Legal 6726 Procurement 6727 Research and Development 6728 Other General and Administrative 6790 Provision for Uncollectible Notes Receivable Total Corporate Operations Expense TOTAL OPERATING EXPENSES Rev 3/02 779 3,454 972 361 279 15,424 006 581 752 817 026 378 783 649 264 537 277 347 165 718 331 255 1 ,440 555 292 579 595 839 4,423 894 Page 17 SAME TOT AL CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 20 0 5 (u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f i c e : AR B O N Pr e f i x ( e s ) : 33 5 Ce n t r a l O f f i c e S w i t c h Ty p e : SI E M E N S E W S D - R L S 1 0 0 0 Ch e c k a l l t h a t a p p l y : St a n d A l o n e Ho s t Re m o t e ~ Ch e c k o n e : Di g i t a l ~ An a l o g - Ac c e s s L i n e C a p a c i t y De s i g n : 18 0 In s t a l l e d / E q u i p p e d : 13 8 Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Mu l t i - Li n e Pa r t y Re s i d e n c e Si n gl e L i n e Mu l t i - Pa r t y pa r t y Be g i n n i n g o f Y e a r Ne w C o n n e c t s Di s c o n n e c t s En d o f Y e a r Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . Di a l T o n e f r o m a n o t h e r C . Cu s t o m C a l l i n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : Re v 3 / 0 2 Ch e c k o n e : El e c t r o n i c ~ El e c t r o - Me c h a n i c a l Ot h e r : Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : 10 9 (I n c l u d e C e n t r e x , P A L , S e m i - Pu b . Pu b l i c T e l e p h o n e L i n e s Co m p a n y O f f i c i a l L i n e s Co m p a n y T e s t L i n e s 4 Bu s i n e s s Mu l t i - Si n g l e L i n e To t a l Su b t o t a l Ce n t r e x Li n e Mu l t i - Su b t o t a l Re s i d e n c e Re s i d e n c e N. A . R . pa r t y pa r t y Pa r t y Bu s i n e s s & B u s i n e s s 10 5 10 9 Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : Pa g e 1 8 CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 20 0 5 (u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f i c e : PA R I S Pr e f i x ( e s ) : 94 5 Ce n t r a l O f f i c e S w i t c h Ty p e : SI E M E N S E W S D O N E - U P Ch e c k a l l t h a t a p p l y : St a n d A l o n e - 1 L - Ho s t - 1 L - Re m o t e Ch e c k o n e : Di g i t a l - 1 L - An a l o g - Ac c e s s L i n e C a p a c i t y De s i g n : 15 2 0 In s t a l l e d / E q u i p p e d : 14 4 2 Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Mu l t i - Li n e pa r t y Re s i d e n c e Si n g l e L i n e Mu l t i - Pa r t y Pa r t y 80 7 82 0 Be g i n n i n g o f Y e a r Ne w C o n n e c t s Di s c o n n e c t s En d o f Y e a r Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . Di a l T o n e f r o m a n o t h e r C . Cu s t o m C a l l i n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : 50 3 To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : Re v 3 / 0 2 Ch e c k o n e : El e c t r o n i c - 1 L - El e c t r o - Me c h a n i c a l Ot h e r : Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : 93 3 (I n c l u d e C e n t r e x , P A L , S e m i - Pu b . Pu b l i c T e l e p h o n e L i n e s Co m p a n y O f f i c i a l L i n e s Co m p a n y T e s t L i n e s 6 Su b t o t a l Re s i d e n c e 80 7 82 0 Bu s i n e s s Mu l t i - Si n g l e L i n e To t a l Ce n t r e x Li n e Mu l t i - Su b t o t a l Re s i d e n c e NA R . pa r t y pa r t y Pa r t y Bu s i n e s s & B u s i n e s s 11 0 11 0 91 7 11 3 11 3 93 3 Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : Pa g e 1 8 CE N T R A L O F F I C E D A T A as o f D e c e m b e r 3 1 20 0 5 (u n l e s s o t h e r w i s e i n d i c a t e d ) Na m e o f C e n t r a l O f f i c e : RO C K L A N D Pr e f i x ( e s ) : 54 8 Ce n t r a l O f f i c e S w i t c h Ty p e : SI E M E N S E W S D O N E - U P R E M O T E Ch e c k a l l t h a t a p p l y : St a n d Al o n e ~ Ho s t Re m o t e ~ Ch e c k o n e : Di g i t a l ~ An a l o g - Ac c e s s L i n e C a p a c i t y De s i g n : 73 5 In s t a l l e d / E q u i p p e d : 66 3 Cl a s s i f i c a t i o n o f C u s t o m e r A c c e s s Mu l t i - Li n e Pa r t y Re s i d e n c e Si n g l e L i n e Mu l t i - Pa r t y Pa r t y 22 2 22 3 Be g i n n i n g Ne w C o n n e c t s Di s c o n n e c t s En d o f Y e a r Fo r e i g n E x c h a n g e : Di a l T o n e f r o m t h i s C . Di a l T o n e f r o m a n o t h e r C . Cu s t o m C a l l i n g : Nu m b e r o f c u s t o m e r s w i t h a t l e a s t o n e f e a t u r e : To t a l n u m b e r o f f e a t u r e s s u b s c r i b e d t o : 16 8 Re v 3 / 0 2 Ch e c k o n e : El e c t r o n i c ~ El e c t r o - Me c h a n i c a l Ot h e r : Ac c e s s L i n e s i n U s e Cu s t o m e r L i n e s : 30 5 (I n c l u d e C e n t r e x , P A L , S e m i - Pu b . Pu b l i c T e l e p h o n e L i n e s Co m p a n y O f f i c i a l L i n e s Co m p a n y T e s t L i n e s Bu s i n e s s Mu l t i - Si n g l e L i n e To t a l Su b t o t a l Ce n t r e x Li n e Mu l t i - Su b t o t a l Re s i d e n c e Re s i d e n c e NA R . pa r t y pa r t y Pa r t y Bu s i n e s s & B u s i n e s s 22 2 30 4 22 3 30 5 Di r e c t o r y L i s t i n g s : Nu m b e r o f C u s t o m e r s w i t h N o n p u b l i s h e d o r N o n l i s t e d : Pa g e 1 8 Lo c a l E x c h a n g e AR B O N RO C K L A N D PA R I S Re v 3 / 0 2 NU M B E R O F C A L L S C O M P L E T E D B Y C U S T O M E R S D U R I N G ( Y e a r ) 20 0 5 Av e r a g e # of C u s t o m e r Li n e s i n U s e 10 9 30 5 93 3 Lo c a l C a l l s Nu m b e r Av g . l (1 O O O s ) Li n e Pa g e 1 9 To l l C a l l s O r i a i n a t e d ( T o t a l o f a l l C a r r i e r s ) Av g . l In t r a s t a t e In t e r s t a t e To t a l Li n e 90 7 53 7 67 5 52 3 23 0 56 4 63 9 25 6 53 , 4 3 0 25 2 10 1 66 7 93 1 49 0 82 7 71 6 ANNUAL REPORT FOR SMALL TELEPHONE COMPANIES YEAR ENDED DECEMBER 31, 2005 CUSTOMER RELATIONS RULES COMPLIANCE Rule IDAPA 31.21.01.603 Rule IDAPA31.41.01.105 Please provide copies of: Summary of Customer Relations Rules for Telephone Corporations Idaho Telephone Solicitation Act Notification Method of Notification: Mailed separately to customers Yes No X Included in directory Yes X Date of notification Paris in January, Rockland & Arbon in June Alternate method of notification Local newspaper annually Rule IDAPA 31.41.01.403. Record of Complaints: Number received by Company 103 Category of complaints (if known): Deposit Disputes Charges on Bill DeniallTermination Quality or Availability of Service Carrier Selection/Assignment Miscellaneous Rev 3/02 Page 20 CERTIFICATE State of Idaho ) ss County of , the undersigned Leonard May and Bruce Steed of the Direct Communications Rockland, Inc.utility, on our oath do severally say that the foregoing return has been prepared under our direction , from the original books, papers, and records of said utility; that we have carefully examined same, and declare the same to be a correct statement of the business affairs of said utility for the period covered by the return in respect to each and every matter and thing erein set forth, to the best of '.'.\\,\\\iJillI/l/lll/, ,,;:':-v \ R.oS/.A """ ,v~ if 0 . " " . 0 i1 ".... ~OTARy \'1.- ~ ~ / \ %\. :-U:L ) I ~ , '% \J /'.,"....~ ~~:~::, ;:! r#'oi="'O .f'II!/I! 111111\1 \ 1\\\\" A;) fA. D../ our knowledge, information and belief. (Chief Officer) JJ && )diM (efft6er in Ch rge of Accounts) Subscribed and Sworn to Before Me this c::? ~ ~h,'I? Notary Public day of ---.A- Cd"-' I , (Year) ~(J o~ My Commission expires (- ~3 , (Year)~olD Rev 3/02 gdklexce IIi nelso nl an u I rpts/te la n n ual rpt Page 21