This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Frontier Communications Granted $29.1 Million In Escrowed Funds

The West Virginia Public Service Commission (West Virginia PSC) has granted release of $29.1 million to Frontier Communications (NASDAQ: FTR) from two separate escrow accounts.

Frontier asked for the release from the West Virginia PSC for $23.7 million from a service quality escrow account and another $5.4 million from a broadband escrow account, said Dana Waldo, senior vice president and general manager. The PSC granted Frontier’s requests in full.

The West Virginia PSC established the two escrow accounts in 2010 as part of Frontier’s acquisition of Verizon markets in West Virginia. Verizon funded a service quality account at $72.4 million. Frontier pledged $48 million toward broadband deployment in a separate account. The Commission has discretion on whether to reimburse Frontier from those accounts.

“Frontier has worked diligently to strengthen our networks and provide our customers with the best possible communications services,” Waldo said. “At the same time, we have extended our broadband network in the West Virginia markets we acquired from Verizon in 2010 from 62 percent of the households to more than 83 percent.

“We appreciate that the Commission, following its ongoing review of our performance, granted us the full amount of the escrowed funds we requested,” said Waldo, who noted the money reimburses Frontier for investments it already has made in its network.

Waldo said Frontier’s investments in the networks have paid dividends.

“As a result of Frontier’s continued investments, the telecommunications network in West Virginia is in much better condition to withstand the effects of natural disasters, such as this summer’s storms and last week’s snowstorm,” Waldo said. “Including the unprecedented impact of these storms, total network troubles for the past 12 months are 22 percent lower than during the year before Frontier acquired the West Virginia service area.”

In its filing, the PSC noted that it is satisfied with the current pace of service quality improvement and that its staff had reported improvements in Frontier’s service quality measurements.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,265.99 +109.14 0.64%
S&P 500 2,011.36 +9.79 0.49%
NASDAQ 4,593.4250 +31.2360 0.68%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs