Infomaniacs: May 18, 2012 (8:40am)

Verizon’s Purchase Of Frontier Includes Reacquiring Territory In Bryan/College Station

Customers of Frontier Communications in Bryan/College Station will again be customers of Verizon. Officials of both companies announce Verizon buying Frontier in a $20 billion dollar transaction covering 25 states that is expected to take 18 months to complete. In 2015, Frontier paid $10.5 billion to buy Verizon operations in Bryan/College Station, Texas, California, and Florida. Joint news release from Verizon and Frontier: Verizon Communications Inc. (NYSE, NASDAQ: VZ) and Frontier Communications Parent, Inc. (NASDAQ: FYBR) today announced they have entered into a definitive agreement for Verizon to acquire Frontier in an all-cash transaction valued at $20 billion. This strategic acquisition of the largest pure-play fiber internet provider in the U.S. will significantly expand Verizon’s fiber footprint across the nation, accelerating the company’s delivery of premium mobility and broadband services to current and new customers. It will also expand Verizon’s intelligent edge network for digital innovations like AI and IoT. The combination will integrate Frontier’s cutting-edge fiber network into Verizon’s leading portfolio of fiber and wireless assets, including its best-in-class Fios offering. Over approximately four years, Frontier has invested $4.1 billion upgrading and expanding its fiber network, and now derives more than 50% of its revenue from fiber products. Frontier’s 2.2 million fiber subscribers across 25 states will join Verizon’s approximately 7.4 million Fios connections in 9 states and Washington, D.C. In addition to Frontier’s 7.2 million fiber locations, the company is committed to its plan to build out an additional 2.8 million fiber locations by the end of 2026. “Connectivity is essential in nearly every part of our lives and work, and no one delivers better than Verizon,” said Verizon Chairman and CEO Hans Vestberg. “Verizon offers more choice, flexibility and value, and we continuously look for ways to provide the best product and network experience to our customers as we bolster our position as the provider of choice.” Vestberg added: “The acquisition of Frontier is a strategic fit. It will build on Verizon’s two decades of leadership at the forefront of fiber and is an opportunity to become more competitive in more markets throughout the United States, enhancing our ability to deliver premium offerings to millions more customers across a combined fiber network.” “Less than four years ago, we set out an ambitious plan to Build Gigabit America, the digital infrastructure this country needs to thrive for generations to come,” said Nick Jeffery, President and CEO of Frontier. “Today’s announcement is recognition of our progress building a best-in-class fiber network and delivering reliable, high-speed broadband to millions of customers across the country. It’s also a vote of confidence for the future of fiber. I am confident that this delivers a significant and certain cash premium to Frontier’s shareholders, while creating exciting new opportunities for our employees and expanding access to reliable connectivity for more Americans.” Customer and Strategic Benefits: ● Extends Verizon premium offerings and experience to Frontier’s consumer and small business customers. Frontier customers and those previously outside Verizon’s fiber footprint are expected to gain more choice and access to Verizon’s premium mobility, home internet, streaming and connected home offerings, alongside premium business products like Verizon Business Complete. ● Creates market-leading broadband network with superior scale and distribution. Frontier’s consumer fiber network, one of the largest and fastest-growing nationally, can be immediately and seamlessly integrated upon closing directly into Verizon’s award-winning Fios network, meeting existing Fios standards. Today, Verizon and Frontier have approximately 10 million fiber customers across 31 states and Washington D.C. with fiber networks passing over 25 million premises, and both companies expect to increase their fiber penetration between now and closing. ● Unites Frontier’s premium broadband offering with Verizon’s premium mobile offering. Combined Mobile and Home Internet customers show increased loyalty and have an improved rate of churn by approximately 50% for postpaid mobility, which is expected to improve Verizon’s mobility economics. ● Increases reach across more markets. Verizon will gain access to Frontier’s high-quality customer base in markets highly complementary to Verizon’s core Northeast and Mid-Atlantic markets. Frontier’s footprint offers substantial room for increased penetration in both fiber and mobility services and Verizon is well positioned with stores throughout Frontier’s territory. ● Aligns with Verizon’s long-term strategic plan. The acquisition of Frontier is consistent with Verizon’s core strategy of growing and strengthening customer relationships. This transaction is expected to expand Verizon’s share of the nationwide broadband market, building upon Verizon’s two decades of leadership at the forefront of fiber. Substantial Financial Benefits: ● Accretive to Verizon’s earnings. The transaction is expected to be accretive to Verizon’s revenue and Adjusted EBITDA growth rates upon closing. ● Drives significant cost synergies. Verizon expects to realize at least $500 million in run-rate cost synergies by year three from benefits of increased scale and distribution and network integration. ● Maintains Verizon’s financial strength, flexibility and consistent capital allocation approach. Following the closing of the transaction, Verizon will continue to have a strong balance sheet and liquidity profile. The company will maintain its capital allocation priorities, characterized by prudent investment in the business, a commitment to maintaining an industry-leading dividend and continued debt reduction. Additional Transaction Details: Under the terms of the agreement, Verizon will acquire Frontier for $38.50 per share in cash, representing a premium of 43.7% to Frontier’s 90-Day volume-weighted average share price (VWAP) on September 3, 2024, the last trading day prior to media reports regarding a potential acquisition of Frontier. The transaction is valued at approximately $20 billion of enterprise value. The transaction has been unanimously approved by the Verizon and Frontier Boards of Directors. The transaction is expected to close in approximately 18 months, subject to approval by Frontier shareholders, receipt of certain regulatory approvals and other customary closing conditions. Verizon Reaffirms Full-Year 2024 Guidance: ● Total wireless service revenue growth2 of 2.0 percent to 3.5 percent. ● Adjusted EBITDA growth3 of 1.0 percent to 3.0 percent. ● Adjusted EPS3 of $4.50 to $4.70. ● Capital expenditures between $17.0 billion and $17.5 billion. ● Adjusted effective income tax rate3 in the range […]

A Second Local Candidate Withdraws From The November Election

The filing period ended August 19th for this November’s College Station and Bryan city council and school board elections. After the end of the filing period, it was discovered there are no contested races for two seats on the Bryan ISD school board. During the board’s September 9th meeting, approval was given to cancel participating in the November election. On the last day of filing there was a contested race for the BISD single member district four seat. After the August 19th filing deadline, former Bryan city councilman Buppy Simank withdrew. That left incumbent Ruthie Waller running unopposed for her fourth term. David Stennis will join the BISD board as an at large member. Stennis drew no opponent during the filing period for the seat being vacated by incumbent Mark McCall. Click HERE to be directed to the Bryan ISD elections website. There are three contested races for College Station city council. Seeking the place three seat are David White and Valen Cepak. Linda Harvell is not eligible to run again for the place three seat due to term limits. Seeking the place four seat are Aron Collins and Melissa McIlhaney. Incumbent Elizabeth Cunha chose not to seek re-election. And Craig Regan, who initially filed for the place six seat then on August 16 switched to the place four seat, withdrew his candidacy for the place four seat on August 26. Regan’s name will not be on the ballot. Running for re-election in place five is incumbent Bob Yancy. Seeking the place six seat are Tre Watson and Scott Shafer. Dennis Maloney is not eligible to run again for the place six seat due to term limits. Click HERE to be directed to the city of College Station elections webpage. All four incumbent Bryan city council members have filed for re-election. And all of the incumbents have opposition. Incumbent Jared Salvato, who has filed for single member district three, is opposed by Robert Achgill. Incumbent James Edge, who has filed for single member district four, is opposed by Shane Savage. Incumbent Marca Ewers-Shurtleff, who has filed for single member district five, is opposed by Patrick Giammalva. Incumbent Kevin Boriskie, who has filed for the city-wide at-large position, is opposed by Justin Wager. Click HERE to be directed to the city of Bryan elections webpage. One person has filed for each of the two positions on the College Station ISD school board. Darin Paine is seeking his second term as the at large place one member. Kristin Wilson has filed for the at large place two position. Incumbent Blaine Decker chose not to seek re-election. Click HERE to be directed to the College Station ISD elections website.  

Arrests Of A Bryan Man On More Drug Charges, Another Bryan Man For Online Solicitation, And A Third Man For Evading Instead Of Speeding

An illegally parked car resulted in the driver going to jail for the 20th time in eight years. 26 year old Preston Wiggins IV of Bryan was arrested by Bryan police for manufacturing or delivering crack cocaine and misdemeanor possession of marijuana. Wiggins, who is awaiting five trials for felony evading arrest, two on felony drug and two on misdemeanor drug charges, remains in jail as of September 9th following his arrest last Thursday (September 5th) in lieu of bonds totaling $27,000 dollars. A Bryan man is arrested for online solicitation of someone he thought was a 14 year old girl, but was really an undercover Brazos County sheriff’s deputy. The sheriff’s office arrest report says the contact was set for a Bryan park and not Caldwell because the man’s only mode of transportation was a bicycle. 28 year old Eloy Olivarez was caught following a foot chase near Milam school. He remains in jail as of September 9th following last Thursday’s arrest (September 5th) in lieu of bonds totaling $16,000 dollars. A Bryan man tells a Brazos County sheriff’s deputy he tried to get away from being stopped because he did not want a fourth speeding ticket, which would have resulted in his license being suspended. The deputy’s arrest report says a chase ended at five in the morning with the suspect’s car hitting a commercial trash container, a large tree, and a section of residential fencing. 21 year old Jaedyn Goree was arrested for evading. He is out of jail after posting a $5,000 dollar bond.