There is a growing consensus among telecom industry insiders that Frontier Communication's days may be numbered.
As this article at DSL Reports points out, the company continues to hemorrhage customers and revenues. In fact, the company lost 102,000 customers in the first quarter of 2018 alone. An aging network, slow speeds, and rate increases are all factors in the company's financial woes.
Despite all evidence to the contrary, the company's official line is positive:
“Frontier Communications is committed to improving the customer experience, reducing churn, stabilizing revenue and generating cash flow. Our new capital allocation policy will allow us to pay down debt and lower our leverage ratio, while still paying a meaningful dividend. We are investing in our networks, growing our commercial business segment and reducing costs.” --Christy Reap, Frontier spokesperson, responding to request for comment from the LA Times.
All this negative financial news begs the question...what happens if Frontier can't continue to operate? Is bankruptcy on the horizon? Would another company be interested in acquiring its assets despite the fact that they will require significant upgrades to provide competitive services? Stay tuned.
7/21/2017 04:23:57 pm
I think you have a typo, should be first quarter of 2017, not 2018.
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