Agreement Provides Additional Jobs, Restricted Stock in Frontier,
and Funding for Supplemental Job Training
NORWALK, Conn.--(BUSINESS WIRE)--
Frontier Communications Corporation (NASDAQ:FTR) and the International
Brotherhood of Electrical Workers (IBEW) Local 543 are pleased to
announce the signing of an agreement that will benefit IBEW-represented
employees in California and Frontier’s future customers in the state.
The agreement is an important step forward in the process to complete
Frontier’s planned $10.54 Billion acquisition of Verizon’s wireline
business and assets in California, Florida and Texas. The IBEW supports
the proposed acquisition and believes it is in the public interest and
the interest of its members. The acquisition is expected to close at the
end of the first quarter 2016.
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IBEW Local 543 represents approximately 200 Verizon workers in
California; approximately 80,000workers at private employers and
public utilities in the state are represented by various IBEW locals.
This agreement provides the IBEW Local 543-represented workforce at
Verizon assurances for the acquisition and how it will affect them. It
also includes operational benefits to allow Frontier to implement its
local engagement model in the new California markets. Reaching this
agreement early allows these dedicated men and women to focus on
continuing to deliver state-of-the-art broadband, voice and video
services to Frontier’s future residential and business customers.
Frontier has agreed to honor and extend current collective bargaining
agreements. Highlights of the latest agreement include:
-
The addition of 25 new union jobs in California;
-
Employee job security and guaranteed workforce size;
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A grant of 100 shares of restricted stock of Frontier Communications
Corporation to all transferring employees;
-
Competitive wage increases;
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Additional investments in employee training by Frontier;
-
Frontier continues its commitment to a 100% U.S.-based workforce.
Dan McCarthy, President & Chief Executive Officer of Frontier stated,
"Frontier has a longstanding positive relationship with the IBEW
International and with IBEW locals in many of the states where we
provide service. The IBEW and Frontier worked together to reach this
important agreement in a challenging economic and increasingly
competitive business environment. Leaders from the IBEW International
and IBEW Local 543 partnered with Frontier's team to ensure mutual
success for our employees and our customers, securing a positive
agreement in support of the acquisition."
Jerry Koger, Business Manager of San Bernardino IBEW Local 543 said:
“Our members are dedicated to providing excellent customer service every
day for the people of California. The agreement shows that by working
together with Frontier, we can achieve mutual goals that benefit
customers and employees alike.”
Both Frontier and the IBEW leaders collaborated on important operational
and economic issues, noted McCarthy but the most important shared goal
was putting the customer first. “I am proud we are putting our future
customers at the center of all we do and delivering the highest-quality,
most reliable communications services in our expanded areas,” McCarthy
said.
The agreement between Frontier and IBEW is contingent upon applicable
state and local approvals and the consummation of the proposed
transaction.
“We believe that labor and management can achieve more by working
together, not against each other,” said IBEW International President
Lonnie R. Stephenson. “This agreement is a win for workers, a win for
management and, most of all, a win for the consumer.”
About Frontier Communications
Frontier Communications Corporation (NASDAQ: FTR) offers broadband,
voice, video, wireless Internet data access, data security solutions,
bundled offerings, specialized bundles for residential customers, small
businesses and home offices and advanced communications for medium and
large businesses in 28 states. Frontier's approximately 18,200 employees
are based entirely in the United States. More information is available
at www.frontier.com.
About International Brotherhood of Electrical
Workers
The IBEW represents approximately 750,000 active members and
retirees who work in a wide variety of fields, including
utilities, construction, telecommunications, broadcasting,
manufacturing, railroads and government. The IBEW has members in both
the United States and Canada and stands out among the American unions in
the AFL-CIO because it is among the largest and has members in so many
skilled occupations.
Forward-Looking Statements
This document contains "forward-looking statements," related to future,
not past, events. Forward-looking statements address our expected future
business and financial performance and financial condition, and contain
words such as "expect," "anticipate," "intend," "plan," "believe,"
"seek," "see," "will," "would," or "target." Forward-looking statements
by their nature address matters that are, to different degrees,
uncertain. These risks and uncertainties include, but are not limited
to: Frontier’s ability to complete the acquisition of Verizon’s
California, Florida and Texas wireline operations, including the ability
to complete the financing of the acquisition; the ability to
successfully integrate the acquired operations into Frontier’s existing
operations; the sufficiency of the assets to be acquired from Verizon to
enable the combined company to operate the acquired business; the
ability to enter into or obtain, or delays in entering into or
obtaining, certain agreements and consents necessary to operate the
acquired business as planned; the ability to obtain, delays in obtaining
or adverse conditions contained in any required regulatory approvals for
the Verizon transaction; and the other factors that are described in our
filings with the U.S. Securities and Exchange Commission, including our
reports on Forms 10-K and 10-Q. These risks and uncertainties may cause
our actual future results to be materially different than those
expressed in our forward-looking statements. We do not undertake to
update or revise these forward-looking statements.
View source version on businesswire.com: http://www.businesswire.com/news/home/20151002005636/en/
Frontier Communications:
Steve
Crosby, 916-686-3333
steven.crosby@ftr.com
or
Brigid
M. Smith, 203-614-5042
brigid.smith@ftr.com
or
IBEW:
Mark
Brueggenjohann, 202-728-6014
Mark_Brueggenjohann@ibew.org
Source: Frontier Communications Corporation