Friday, May 15, 2009

Why Frontier will escape the curse of the Verizon deal [Voices] - Toolbar - REALHS

May 14, 2009

Should Verizon Communications deals come with a warning label?

In the past few years, the telecommunications company has been shedding slow-growth businesses as it focuses on its wireless and FiOS businesses. While the deals have served Verizon well, they haven’t worked out as well for those acquiring the assets — at least in three cases.

Wednesday, Frontier Communications embarked on this path. The rural telecommunications operator agreed to acquire 4.8 million access lines in 14 states from Verizon in a deal valued at $8.6 billion. Will Frontier face the same fate? Perhaps not...