Frontier Chairman & CEO Welcomed by Ohio State University
President
MARION, Ohio--(BUSINESS WIRE)--
Frontier Communications Corporation (NYSE: FTR) today reiterated its
broadband commitment to the state of Ohio, while also announcing
highlights and status of several key initiatives.
During a business community luncheon at The Ohio State University at
Marion, Frontier’s Chairman and CEO Maggie Wilderotter highlighted
Frontier’s commitment to Ohio, focusing on broadband deployment, capital
investment, service improvements and job retention/creation. These
commitments were established when the Public Utilities Commission of
Ohio (PUCO) approved Frontier’s transaction with Verizon earlier this
year. Mrs. Wilderotter was joined by Dr. E. Gordon Gee, President, The
Ohio State University, who welcomed Frontier and the educational and
economic opportunities afforded by future broadband expansion.
The highlights of Frontier’s Ohio plan include:
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By December 31, 2013, Frontier will take household broadband
availability in its service areas to 85%; and
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To accomplish this, Frontier will make capital investments of $50
million per year for each of the next three years. Furthermore, if
broadband isn’t available to 80% of the households within Frontier’s
service area by 2012, the agreement will be extended an additional
year, i.e., Frontier will be required to invest an additional $50
million.
During her remarks, Mrs. Wilderotter announced the first round of
investment. “Our local engineering and operations teams have been
identifying locations for broadband deployment, with the first new areas
scheduled to come on line starting the fourth quarter of this year.
We’ll be sharing the specific areas in the coming weeks. To accomplish
the roll-out, we are already upgrading our physical plant and equipment
and training employees so that we can bring high-speed Internet to the
underserved and unserved in Ohio.”
In addition to broadband expansion, Frontier committed to maintaining
and/or improving service quality metrics throughout Ohio.
Mrs. Wilderotter also commented on job retention and growth. “We know
that jobs matter. We are retaining the more than 1,000 employees here in
Ohio. Recently, we announced the hiring of more than 30 positions
including technical managers, technicians and splicers who will be
supporting our network. These are well paying jobs that provide solid
benefits in addition to a career path.” Mrs. Wilderotter emphasized the
company’s commitment to a 100 percent U.S.-based workforce and stated
that as part of the transaction, Frontier is bringing back to the United
States 500 jobs outsourced to India by Verizon Communications.
“We appreciate that news of broadband expansion is vitally important to
the people and businesses of Ohio who need fast, reliable
communications; to those who dream of accessing the resources of The
Ohio State University from their homes via distance learning; and to
communities whose residents await access to the Internet’s financial,
educational, commercial and health opportunities and information.”
In welcoming Frontier, President Gee stated: “We are grateful for the
long-term investment in Ohio that Frontier Communications is making,”
said President E. Gordon Gee. “In this age of information and
innovation, we must assure that all Ohioans have full access to
essential digital resources. I am grateful for the company’s good
partnership in moving our state forward.”
About Frontier
Frontier Communications Corporation (NYSE: FTR) offers voice, High-Speed
Internet, satellite video, fiber to the home, wireless Internet data
access, data security solutions, bundled offerings, specialized bundles
for small businesses and home offices, and advanced business
communications Access Solutions for medium and large businesses in 27
states and with approximately 14,600 employees. More information is
available at www.frontier.com
and www.frontier.com/ir.
About The Ohio State University
Founded in 1870, The Ohio State University is a world-class public
research university and the leading comprehensive teaching and research
institution in the state of Ohio. With more than 63,000 students
enrolled statewide, 14 colleges and 175 majors, the university offers
its students exceptional breadth and depth of opportunity in the liberal
arts, the sciences and the professions. A national research powerhouse,
the university ranks tenth among all universities in research
expenditures and a remarkable second place when it comes to
industry-sponsored research.
Forward-Looking Language
This presentation contains forward-looking statements that are made
pursuant to the safe harbor provisions of The Private Securities
Litigation Reform Act of 1995. These statements are made on the basis of
management’s views and assumptions regarding future events and business
performance. Words such as “believe,” “anticipate,” “expect” and similar
expressions are intended to identify forward-looking statements.
Forward-looking statements (including oral representations) involve
risks and uncertainties that may cause actual results to differ
materially from any future results, performance or achievements
expressed or implied by such statements. These risks and uncertainties
are based on a number of factors, including but not limited to: For two
years after the merger, we will be limited in the amount of capital
stock that we can issue to make acquisitions or to raise additional
capital; our indemnity obligation to Verizon may discourage, delay or
prevent a third party from acquiring control of us during the two-year
period following the merger in a transaction that stockholders might
consider favorable; our ability to successfully integrate the Verizon
operations into Frontier’s existing operations; the effects of increased
expenses due to activities related to the integration of the Verizon
operations; the risk that the growth opportunities and cost synergies
from the Verizon transaction may not be fully realized or may take
longer to realize than expected; the sufficiency of the assets acquired
from Verizon to enable us to operate the acquired business on an ongoing
basis; our ability to maintain relationships with customers, employees
or suppliers; the effects of greater than anticipated competition
requiring new pricing, marketing strategies or new product or service
offerings and the risk that we will not respond on a timely or
profitable basis; reductions in the number of our access lines that
cannot be offset by increases in high-speed Internet subscribers and
sales of other products; our ability to sell enhanced and data services
in order to offset ongoing declines in revenues from local services,
switched access services and subsidies; the effects of ongoing changes
in the regulation of the communications industry as a result of federal
and state legislation and regulation; the effects of changes in the
availability of federal and state universal funding to us and our
competitors; the effects of competition from cable, wireless and other
wireline carriers (through Voice over Internet Protocol (VOIP), DOCSIS
3.0, 4G or otherwise); our ability to adjust successfully to changes in
the communications industry and to implement strategies for growth;
adverse changes in the credit markets or in the ratings given to our
debt securities by nationally accredited ratings organizations, which
could limit or restrict the availability, or increase the cost, of
financing; continued reductions in switched access revenues as a result
of regulation, competition or technology substitutions; the effects of
changes in both general and local economic conditions on the markets we
serve, which can affect demand for our products and services, customer
purchasing decisions, collectability of revenues and required levels of
capital expenditures related to new construction of residences and
businesses; our ability to effectively manage service quality in our
territories; our ability to successfully introduce new product
offerings, including the ability to offer bundled service packages on
terms that are both profitable to us and attractive to customers;
changes in accounting policies or practices adopted voluntarily or as
required by generally accepted accounting principles or regulations; our
ability to manage effectively our operations, operating expenses and
capital expenditures, and to repay, reduce or refinance our debt; the
effects of bankruptcies and home foreclosures, which could result in
difficulty in collection of revenues and loss of customers; the effects
of technological changes and competition on our capital expenditures and
product and service offerings, including the lack of assurance that our
network improvements will be sufficient to meet or exceed the
capabilities and quality of competing networks; the effects of increased
medical, retiree and pension expenses and related funding requirements;
changes in income tax rates, tax laws, regulations or rulings, or
federal or state tax assessments; the effects of state regulatory cash
management policies on our ability to transfer cash among our
subsidiaries and to the parent company; our ability to successfully
renegotiate union contracts expiring in 2010 and thereafter; declines in
the value of our pension plan assets, which could require us to make
contributions to the pension plans in 2011 and beyond; our ability to
pay dividends on our common shares, which may be affected by our cash
flow from operations, amount of capital expenditures, debt service
requirements, cash paid for income taxes and liquidity; the effects of
any unfavorable outcome with respect to any of our current or future
legal, governmental or regulatory proceedings, audits or disputes; the
possible impact of adverse changes in political or other external
factors over which we have no control; and the effects of hurricanes,
ice storms or other natural disasters.
Source: Frontier Communications Corporation
Contact:
Frontier Communications Corporation
Patricia Amendola, 570-631-6013
PR/Communications,
Frontier
Patricia.Amendola@ftr.com
or
David
Davidson, 216-956-3112
SVP/GM –Ohio, Frontier
Dave.davidson@ftr.com
or
Ohio
State University
Amy Murray, 614-292-8385
Asst. Director,
Media Relations
murray-goedde.1@osu.edu