DOW JONES NEWSWIRES 
 

American Tower Corp. (AMT) swung to a fourth-quarter profit on increased revenue and strong demand.

Analysts are split about their outlook for the broadcast and wireless tower operator's future. Some have cautioned that the recent merger between Verizon Wireless and Alltel Corp. might reduce the number of towers built. But others have said Sprint Nextel Corp.'s (S) and ClearWire Corp.'s (CLWR) WiMax Internet venture will spur construction of towers.

Chief Executive Jim Taiclet said the popularity of wireless service and the competition for carriers to offer the best networks was driving continued demand for towers.

The company posted net income of $85.8 million, or 22 cents a share, compared with a year-earlier net loss of $5.5 million, or 1 cent a share, a year earlier. The latest results included $18.6 million in write-downs related to the company's previously disclosed change in the estimated useful live of its towers.

Revenue increased 8% to $408.3 million.

Analysts surveyed by Thomson Reuters expected earnings of 14 cents on revenue of $407 million.

The company said it "significantly" cut back its repurchases of its common shares because of the economic downturn and disruptions in the credit markets. During the quarter, the company bought back about 2.8 million shares for $79.4 million.

The company also said Steven Marshall, currently the executive vice president for international business development, will assume the role of executive vice president for the U.S. Tower division effective March 9, replacing Steven Moskowitz, who will become an adviser.

Looking ahead, the company affirmed its outlook for 2009 rental-and-management income of $1.64 billion to $1.67 billion and earnings before interest, taxes, depreciation and amortization of $1.16 billion to $1.19 billion. Analysts were recently looking for Ebitda of $1.16 billion.

American Tower's shares closed Wednesday at $26.82 and haven't traded premarket.

-By Kerry E. Grace, Dow Jones Newswires; 201-938-5089; kerry.grace@dowjones.com