CORAL GABLES, Fla., March 8 /PRNewswire-FirstCall/ -- MasTec, Inc. (NYSE: MTZ) today announced results for the quarter and year ended December 31, 2006.

For the year ended December 31, 2006, income from continuing operations was $38.9 million, or $0.60 diluted earnings per share, on revenue of $945.8 million. This compares with income from continuing operations of $18.6 million, or $0.37 diluted per share, on revenue of $848.0 million for the prior year. Non-cash 123R stock-based compensation expense of $7.4 million and $0.5 million was included in the results for 2006 and 2005, respectively.

For the quarter ended December 31, 2006, income from continuing operations was $9.0 million, or $0.14 diluted earnings per share, on revenue of $241.1 million. This compares with income from continuing operations of $8.1 million, or $0.16 diluted per share, on revenue of $223.4 million in the prior year quarter. Non-cash 123R stock-based compensation expense of $2.0 million and $0.1 million was included in the fourth quarter results for 2006 and 2005, respectively.

MasTec had gross liquidity, defined as bank cash plus credit line availability, of approximately $124.2 million at December 31, 2006 compared with $58.5 million at the end of 2005. MasTec currently has no cash draws on its bank credit facility.

Austin J. Shanfelter, MasTec's President and Chief Executive Officer, commented, "We have had quite a few positive developments since December of 2005. Our major discontinued operations, and the related distractions, are now behind us and we have completely recapitalized the Company. Our balance sheet has been enhanced with $156 million in new equity and a $150 million, 7 5/8 percent, 10-year, senior note issue, both providing greater financial flexibility for the Company. These events establish the platform for full concentration on business improvements and opportunities under Jose Mas' leadership. I am extremely excited about remaining on MasTec's Board and about Jose's leadership going into 2007."

MasTec's previous guidance forecast for 2007 remains unchanged and it expects revenue to be in the range of $1.04 to $1.06 billion. Earnings per share from continuing operations for 2007 is expected to be between $0.80 and $0.90 per share.

The following tables set forth the financial results for the periods ended December 31, 2005 and 2006:

                    Consolidated Statements of Operations
                   (In thousands except per share amounts)

                                                       Three Months Ended
                           Year Ended December 31,         December 31,
                              2006         2005         2006          2005

    Revenue                $945,806     $848,046     $241,084       $223,442
    Costs of revenue        813,406      731,504      208,582        188,119
    Depreciation             14,664       16,341        3,893          3,696
    General and
     administrative
     expenses                74,610       64,266       19,486         18,391
    Interest expense,
     net of interest
     income                  10,023       19,233        2,034          4,887
    Other income
     (expense), net           8,106        3,616        3,008            505
       Income (loss) from
        continuing operations
        before benefit for
        income taxes and
        minority interest    41,209       20,318       10,097          8,854
    Minority interest        (2,294)      (1,714)      (1,114)          (719)
       Income (loss) from
        continuing
        operations           38,915       18,604        8,983          8,135
    Discontinued operations:
    Loss from discontinued
     operations, net        (89,263)     (32,637)     (23,828)       (19,602)
    Loss on write-off of
     assets of discontinued
     operations, net              -         (583)           -              -
       Net Loss            $(50,348)    $(14,616)    $(14,845)      $(11,467)
    Basic net (loss)
     income per share:
       Continuing operations  $0.61        $0.38        $0.14          $0.17
       Discontinued
        operations            (1.40)       (0.68)       (0.37)         (0.40)
          Total basic net
           loss per share    $(0.79)      $(0.30)      $(0.23)        $(0.23)
    Basic weighted average
     common shares
     outstanding             63,574       48,952       65,128         49,179
    Diluted net (loss)
     income per share:
       Continuing operations  $0.60        $0.37        $0.14          $0.16
       Discontinued
        operations            (1.37)       (0.66)       (0.36)         (0.39)
          Total diluted net
           loss per share    $(0.77)      $(0.29)      $(0.22)        $(0.23)

    Diluted weighted
     average common shares
     outstanding             65,119       49,795       66,317         50,147



                         Consolidated Balance Sheets
                                (In thousands)
                                                          December 31
                                                      2006           2005
                        Assets
    Current assets                                  $339,920       $305,307
    Property and equipment, net                       61,400         48,027
    Goodwill                                         150,702        127,143
    Deferred taxes, net                               49,317         51,468
    Other assets                                      44,704         46,070
    Long-term assets held for sale                        70          6,149
        Total assets                                $646,113       $584,164

          Liabilities and Shareholders' Equity
    Current liabilities                             $175,878       $170,238
    Other liabilities                                 36,521         37,359
    Long-term debt                                   128,407        196,104
    Long-term liabilities related to
     assets held for sale                                596            860
    Shareholders' equity                             304,711        179,603
        Total liabilities and shareholders' equity  $646,113       $584,164



                    Consolidated Statements of Cash Flows
                                (In thousands)

                                                   Years Ended December 31,
                                                      2006           2005
    Net cash provided by (used in)
     operating activities                            $46,207       $(18,434)
    Net cash used in investing activities            (40,781)        (2,314)
    Net cash (used in) provided by
     financing activities                             81,783          3,320
        Net increase (decrease) in cash and
         cash equivalents                             87,209        (17,428)
    Net effect of translation on cash                   (187)           (96)
    Cash and cash equivalents--beginning of period     2,024         19,548
        Cash and cash equivalents--end of period     $89,046         $2,024

MasTec will hold a conference call to discuss these results on Friday, March 9, 2006 at 10:00 a.m. Eastern time. The call-in number for the conference call is (913) 312-1292 and the replay number is (719) 457-0820, with a pass code of 3861324. The replay will run for 30 days. Additionally, the call will be broadcast live over the Internet and can be accessed and replayed through the investor relations section of its website at www.mastec.com. MasTec has filed its Form 10-K annual report with the Securities and Exchange Commission, which is available, free of charge, through the investor relations page of the Company's website, or by request through MasTec's investor relations department.

MasTec is a leading specialty contractor operating throughout North America across a range of industries. The Company's core activities are the building, installation, maintenance and upgrade of communication and utility infrastructure systems.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act. These statements are based on management's current expectations and are subject to a number of risks, uncertainties, and assumptions, including that our revenue and earnings per share may differ from that projected, that we may be impacted by business and economic conditions affecting our customers, material changes in estimates for legal costs or case settlements, the highly competitive nature of our industry, dependence on a limited number of customers, the ability of our customers to terminate or reduce the amount of work, or in some cases prices paid for services under many of our contracts, the adequacy of our insurance and other reserves and allowances for doubtful accounts, restrictions imposed by our credit facility and senior notes, the outcome of our plans for future operations, growth, and services, including backlog and acquisitions , as well as other risks detailed in our filings with the Securities and Exchange Commission. Actual results may differ significantly from results expressed or implied in these statements. We do not undertake any obligation to update forward-looking statements.

SOURCE  MasTec, Inc.
    -0-                             03/08/2007
    /CONTACT:  J. Marc Lewis, Vice President-Investor Relations of MasTec,
Inc., +1-305-406-1815, or fax +1-305-406-1886, or marc.lewis@mastec.com /
    /Web site:  http://www.mastec.com/
    (MTZ)

CO:  MasTec, Inc.
ST:  Florida
IN:  TLS CPR
SU:  ERN CCA

CL-HB
-- CLTH198 --
9036 03/08/2007 18:02 EST http://www.prnewswire.com