AOL Reports Q2 Earnings
August 04, 2010 07:03 AM Eastern Daylight Time
NEW YORK--(EON: Enhanced Online News)--AOL Inc. (NYSE: AOL) released second quarter 2010 results
“In the second quarter, we continued our efforts to successfully reposition AOL for growth and the Company is
getting healthier every day,” said Tim Armstrong, Chairman and Chief Executive Officer. “Although we have much
more significant goals for the future of AOL, we are pleased with this quarter’s internal and external trends.”
l During Q2 2010, AOL reorganized its content business into a variety of “super networks,” re-launched
MapQuest, expanded Patch into 83 towns from 44 towns and migrated the majority of AOL mail users to an
improved back-end system.
l AOL continued to recruit top talent, adding new leadership to our Technology, Email and Mobile areas.
l AOL continued to divest non-core assets selling ICQ, DMS, Bebo and our investment in Kayak. Bebo
generated a $302.7 million deferred tax asset which is expected to offset ordinary income and capital gains of
l AOL continued its focus on improving the consumer experience and optimizing its product offerings.
Approximately $70 million of the $110 million year-over-year decline in advertising revenue in Q2 2010
relates to the impact of these initiatives, including a $49 million impact to Third Party Network revenue, which
In millions (except per share amounts)
Q2 2009 Change
Adjusted operating income before depreciation and amortization (OIBDA)
Restructuring costs (included in Adjusted OIBDA)
Goodwill impairment charge
) $ 153.7 NM
Net income attributable to AOL Inc.
) $ 90.7
Basic and diluted EPS
) $ 0.86