Consolidated Promises Vermont Investment After FairPoint Merger
Consolidated Communications pledged a minimum level of capital investment in Vermont if the Public Service Board OKs its acquisition of FairPoint Communications. In a filing posted Monday in docket 8881, Consolidated Vice President-Regulatory Michael Shultz agreed to several commitments sought…
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by the state Department of Public Service. For three years, Consolidated will invest at least 10 percent of projected Vermont regulated ILEC revenue in Vermont network improvement annually, and it will share a three-year investment plan after the transaction completes, Shultz said. He also agreed that for three years, Consolidated won't act to reduce the level of USF in Vermont or relinquish ETC designation for Vermont entities. Schultz said the company agreed to maintain all Vermont-related assets and liabilities in a separate subsidiary. The company commits to keeping the experience of wholesale customers the same after the merger, he said. It agrees to work closely with Vermont's consumer affairs division, and to notify the Vermont Board and DPS of Vermont-specific synergies and before any layoffs, he said. But the company won’t agree to conditions sought by labor intervenors that restrict how the company manages its business and staffing, Shultz said. Last week in Maine, Consolidated refused to commit to providing broadband speeds of 25/3 Mbps (see 1704180016).