{ "docId": "019dd923-622c-750b-8b9c-80e6d77f0276", "docSlug": "14f44cdb0575", "documentTitle": "Crown Castle International Corp. (CCI)", "authorId": "02_Elliott_Management", "authorName": "Elliott", "documentKindSlug": "activist-deck", "documentKindLabel": "Activist deck", "sourceTypeSlug": "activist_investor", "sourceTypeLabel": "Activist investor", "presentationDate": "2020-07-06 00:00:00", "orientation": "landscape", "aspectRatio": 1.4444444, "pageNumber": 46, "pageCount": 67, "prevPage": 45, "nextPage": 47, "slideType": "expose_contradiction", "function": "expose_contradiction", "density": "overcrowded", "nDataPoints": 0, "notes": "Uses direct quotes from competitors to undermine the target company's strategic direction.", "elementsJson": [ "headline_text", "paragraph", "logo_grid", "quote_block" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622c-750b-8b9c-80e6d77f0276/46", "deckHref": "/decks/019dd923-622c-750b-8b9c-80e6d77f0276", "deckJsonHref": "/decks/019dd923-622c-750b-8b9c-80e6d77f0276.json", "deckAnchorHref": "/decks/019dd923-622c-750b-8b9c-80e6d77f0276#slide-46", "components": [ { "bbox": null, "kind": "callout", "text": "It is instructive to recognize that Crown Castle’s tower peers have chosen not to pursue low-return small cell projects and have instead decided to allocate capital to higher-return areas", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd952-ee36-760b-92a7-a812d905dd99", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.12, "x": 0.675, "y": 0.21 }, "kind": "image", "text": "SBA Logo", "attrs": null, "subkind": "logo", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "3e31f66b-36b3-4c65-ba00-dbe1cda95035", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.25, "x": 0.2, "y": 0.21 }, "kind": "image", "text": "American Tower Logo", "attrs": null, "subkind": "logo", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "b267a190-d4e0-403f-a724-bec46c082da6", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.9, "x": 0.05, "y": 0.12 }, "kind": "paragraph", "text": "It is instructive to recognize that Crown Castle’s tower peers have chosen not to pursue low-return small cell projects and have instead decided to allocate capital to higher-return areas", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "6008d0c9-f7c8-4486-88ad-0404c02eb77c", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.45, "x": 0.52, "y": 0.28 }, "kind": "quote", "text": "To be big in fiber, by necessity, you probably have to have an enterprise business, which is a very, very different business. It’s just different. And we tend to stick with the stuff we know.", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "1abc9ef8-02ca-4af0-a59d-f44a3641545b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.2, "w": 0.45, "x": 0.05, "y": 0.28 }, "kind": "quote", "text": "[We] continue to view U.S. fiber assets as inherently less attractive due to the expensive availability of competitive fiber supply in the U.S. and the resulting less attractive growth and return characteristics of domestic U.S. fiber.", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "2fc3656e-93bb-492c-92db-126629252ae5", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.3, "w": 0.45, "x": 0.52, "y": 0.52 }, "kind": "quote", "text": "We continue to be focused on macro sites... And our shareholders want us to be a tower company, so we are very much focused on that... to move into the fiber business is not something that we're pursuing today.", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "43ed401a-b9ea-43d3-bbaa-278c792578f1", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.3, "w": 0.45, "x": 0.05, "y": 0.55 }, "kind": "quote", "text": "With respect to outdoor small cells and fiber in the U.S., we've been a little bit less aggressive than some of our peers, in large part because when we run the numbers and input all of the modeling assumptions into our 10-year DCF... we arrive at overall returns that don't quite hit where we need them to hit.", "attrs": null, "subkind": "testimonial", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "88d5f3ff-882b-4e51-a563-b9fd5f6d117d", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "[We] continue to view U.S. fiber assets as inherently less attractive due to the expensive availability of competitive fiber supply in the U.S. and the resulting less attractive growth and return characteristics of domestic U.S. fiber. — Former CEO James Taiclet, May 2019; With respect to outdoor small cells and fiber in the U.S., we've been a little bit less aggressive than some of our peers, in large part because when we run the numbers and input all of the modeling assumptions into our 10-year DCF, which we use for all of our investment evaluation, we arrive at overall returns that don't quite hit where we need them to hit. And for that reason, we've chosen to deploy our capital elsewhere. — Senior Director of Investor Relations, March 2019; To be big in fiber, by necessity, you probably have to have an enterprise business, which is a very, very different business. It’s just different. And we tend to stick with the stuff we know. — CEO Jeffrey Stoops, August 2019; We continue to be focused on macro sites...I mean, you used the word small cells, but really what small cells is, is fiber. And our shareholders want us to be a tower company, so we are very much focused on that. We will continue to look at exclusive pieces of real property where we might have some advantages that could lead to small cells, but to move into the fiber business is not something that we're pursuing today. — CEO Jeffrey Stoops, May 2017", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd952-ee36-760b-92a7-af3f5aefd7d1", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.2, "x": 0.05, "y": 0.95 }, "kind": "source-note", "text": "Source: Public transcripts.", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "d3f382e4-5133-442f-a2d7-3c6b6dd1c444", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.7, "x": 0.05, "y": 0.05 }, "kind": "title", "text": "What do Crown Castle’s Peers Think of Its Fiber Strategy?", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "29203e4a-5e5e-4c0a-bef8-c81ed0e86c46", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [ { "name": "ceo-quote-contradiction", "slug": null, "matchId": "975a730d-0215-4e2f-8001-f0ebadaaf43e", "evidence": "Uses competitor CEO quotes to contradict the target company's strategy.", "confidence": 0.9 } ], "arcBeats": [], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }