November 07, 2024
Business

Residents heard on Verizon-FairPoint

BANGOR – Local supporters and opponents of Verizon’s plan to sell its land-based Internet and telephone service to FairPoint Communications Inc. finally had their turn to speak publicly and to the Maine Public Utilities Commission on Thursday night.

About 200 people filled the Bangor High School auditorium for the 6 p.m. hearing and about 60 signed up for two-minute turns at the microphone. A slightly larger number of people spoke in favor of the acquisition than against, but both sides received loud applause from the audience.

Supporters of the deal lauded FairPoint’s current service and treatment of employees and its promises to invest $16.1 million in DSL Internet service upgrades and create 280 jobs in Maine.

Opponents of the acquisition cited concerns about FairPoint’s debt and overall financial stability, the possibility of layoffs, dissatisfaction with DSL Internet service, and Verizon’s tax benefits in the deal.

Representatives from the Mid-Maine and Bangor Region chambers of commerce, the municipal offices of Skowhegan and China, Katahdin Paper Co. and Lincoln Paper & Tissue were among those who spoke in favor of the acquisition, citing the connection between improved Internet service and economic development.

“Given the fact that Verizon wants out [of northern New England], FairPoint represents a real opportunity for us to find a replacement for Verizon,” said state Sen. Doug Smith, R-Dover-Foxcroft.

About 70 current FairPoint employees and other supporters sported green T-shirts and arrived in buses provided by the company.

“FairPoint hired me when I was 55 years old. It has proven to be the best company that I have worked for,” said Cynthia Chase of Winslow.

Verizon employees in attendance were not optimistic about the possibility of working for FairPoint.

“FairPoint in no way can compare with the benefits and pay I get with Verizon,” said Donna Kitchen of Ellsworth. Kitchen noted that in her 25 years as a pole line worker for Verizon, she had been through major acquisitions involving other telephone companies, including Nynex and Bell Atlantic-GTE. “We’ve never had controversy like we’ve had with this sale. Something’s just not right,” Kitchen said.

Those who spoke in opposition were current Verizon employees, concerned residents from various towns, and members of Food AND Medicine, a health care workers’ rights organization in Brewer.

“I know that Verizon and FairPoint will take care of their corporate interests, and I hope you will take care of ours,” Laura Millay, a Bangor resident and Food AND Medicine board member, said to the PUC.

The event was not a popularity contest, according to PUC spokesman Fred Bever, rather the commissioners hoped to hear points and arguments that they had not yet considered.

“The most substantial part of this is when you give sworn testimony it becomes part of the record and we consider it along with the other submitted documents,” said PUC Chairman Kurt Adams. Adams, the two other members of the commission, and a PUC hearing examiner all listened to testimony Thursday.

The hearings come after Verizon’s January announcement that it would keep its wireless operations but sell its land-based Internet and phone service lines in Maine, New Hampshire and Vermont to Charlotte, N.C.-based FairPoint. The proposed sale is worth $2.72 billion.

FairPoint announced late Wednesday that if the acquisition were approved, it would construct an advanced fiber-optic backbone network across northern New England separate from the $16.1 million it promises to invest in the DSL market. Bruce Ballantyne, FairPoint director of operations and engineering, said the company has made the decision in response to concerns from large and small businesses that DSL will not provide the speed and capacity they need to transmit large files quickly. Ballantyne said the investment would cost FairPoint another $17.5 million.


Have feedback? Want to know more? Send us ideas for follow-up stories.

comments for this post are closed

You may also like