The following
letter to the editor appeared in the Charleston Gazette on April 21,
2010.
April 21,
2010
Mike
Swatts: Telephone scare tactics
Comments about
Frontier Communications and the Frontier-Verizon transaction in two recent
opinion pieces simply do not square with the facts (“Verizon sale is too risky,”
April 7, and “Verizon-Frontier deal bad for W.Va.,” April 18).
Frontier’s plan to
acquire the local landline properties of Verizon in West Virginia and 13 other
states will benefit consumers and businesses, our company and our
employees.
Frontier is a
Fortune 1000 company in the S&P 500 Index that wants to increase its
presence in West Virginia, protecting and adding jobs, investing in the
telecommunications infrastructure, and widely deploying broadband
service.
Gary Zuckett, with
the Citizens Action Group, compares Frontier to Verizon’s prior deals with
FairPoint and Hawaiian Telcom, but his comparison falls short. Baseless
assertions that Frontier is “a FairPoint,” or that the transaction will hurt 911
and other vital services, are irresponsible scare tactics that completely ignore
the facts.
Frontier has
committed to spending $279 million through 2013 on the Verizon infrastructure in
West Virginia plus $48 million specifically targeted to broadband deployment if
the Public Service Commission approves the transaction. Frontier has already
made high speed Internet access available to 92 percent of its West Virginia
customer base and continues to deploy the service.
Shannon Fink of the
Communications Workers of America tries to cast doubt on Frontier’s financial
strength and our ability to serve the customers we would acquire from Verizon.
However, Mr. Fink’s criticisms are factually incorrect and do not reflect the
true nature of the transaction.
For example, his
claim that Verizon obtained the financing for the transaction on the basis of
Verizon’s credit profile is simply wrong. As the CWA knows, just the opposite is
true: The bonds were issued on the basis of Frontier’s credit
profile.
Further, the
proposed transaction will improve Frontier’s balance sheet, leaving us better
prepared to serve our customers if the transaction is approved.
Similarly, Mr.
Fink’s claim that the transaction “is opposed by the Public Service Commission”
is incorrect. The PSC currently is reviewing the transaction, and we’re
confident that -- when it reviews the comprehensive record in the case -- the
commission will join seven other state commissions in approving it.
At Frontier, we
take our values and our reputation to heart. We provide high-quality service and
specialize in serving rural markets, small cities and suburban areas. We have
been in business since 1935 and serve more than 2 million customers in 24
states. Once the transaction is completed, Frontier will be the fifth largest
service provider in the country.
We
are already the second largest provider in West Virginia, serving approximately
142,000 access lines and 48,000 high-speed Internet customers in 38 counties. We
will serve the Verizon West Virginia customers with the same reliable systems
currently available in the state, and many of the Verizon employees currently
serving customers will continue to do so once the transaction is
completed.
Frontier has the
experience, financial strength and commitment that West Virginia deserves and
needs. Let’s move ahead with a transaction that protects jobs and truly benefits
West Virginians.
Swatts,
of Bluefield, is general manager of Frontier Communications in West
Virginia.