ASTCA financials project a profit of $6K+ for FY 2021

Pago Pago, AMERICAN SAMOA — The American Samoa TeleCommunications Authority (ASTCA) has forecast “operating income” of just over $6,000 for fiscal year 2021, according to the ASTCA profit and loss statement.

The ASTCA budget proposal for FY 2021, which included the profit and loss statement, was submitted directly to lawmakers and shows total operating revenues at more than $21.13 million (or total of $21,139,092.00) with:

•     nearly $7.68 million from local network services;

•     about $3.77 million from long distance network service;

•     $3.32 million in mobile & wireless services;

•     nearly $4.90 million in “federal revenues and subsides; and

•     about $1.49 million from “other circuits, settlements”.

The budget also shows a drop in ASTCA customers. For example, FY 2021 total Local Exchange Carrier customers dropped 25% to an estimate 8,600 compared to 11,500 in FY 2020; active cellular customers for FY 2021 estimates at 16,000 — a decrease of 11% compared to 18,000 in FY 2020; and also a reduction of 7% in the number of Active DSL subscribers from 4,600 in FY 2020 to 4,900 in FY 2021.

The profit and loss statement shows an “operating income” of $6,514 for FY 2021 — with expenditures estimated at $21,132,578 — with: highest expenditure of $10.67 million under the “All Other” costs; followed by more than $4.79 million in personnel cost; $2.94 million for contractual services and the rest for other expenses such as materials & supplies, travel and equipment.

The largest expenditure in “All Other” is nearly $3.11 million for debt repayment, which represents loan repayment of principal and interest on ASTCA’s two loans — the federal Rural Utilities Services and the ASG Employees Retirement Fund, according to ASTCA’s budget book.

The “All Other” costs also include $3.4 million in telephone and communications expenses; and $2.48 million for general expenses, and other technical work/expenses associated with the network and infrastructure, according to the summary explanation in the budget booklet.

ASTCA chief executive officer Fala Sualevai appeared last week before the Fono Joint Budget Committee for the agency’s budget and several lawmakers were poised to ask questions pertaining to ASTCA budget including revenues from Hawaiki fiber optic cable.

But none were able to ask questions, as a motion was introduced to dismiss the witnesses to return to work and Sualevai gladly thanked the committee — without lawmakers given a chance to ask questions, although Samoa News observed around six lawmakers with their hands raised — meaning they had questions.

IPTV LAUNCH

While Sualevai was at the budget hearing, an ASTCA official attended last week’s cabinet meeting and announced that one of the developments at the agency is the launch on Oct. 1st of ASTCA’s cable TV or IPTV.

This new but long time planned IPTV service will bring competition to Bluesky’s Moana cable TV, which has dominated the local cable service for many years. No details from ASTCA as to how much it will cost consumers for this service, but some ASTCA employees told Samoa News that it would be “less expensive than current cable TV service”.

It’s common knowledge on island that ASTCA faces competition from privately owned Bluesky American Samoa through internet and cellular phone services. And now ASTCA plans to compete in the cable TV service.