Maine to receive $52M in network upgrades following FairPoint sale

Consolidated Communications has committed to spent $52 million in network upgrades in Maine as a result of settlement with state regulators. Late last year, Consolidated and FairPoint inked a $1.5 billion deal for Consolidated to purchase FairPoint, including its significant operations in Maine, New Hampshire, and Vermont. In addition to the Maine upgrade, Consolidated promised New Hampshire’s Public Utility Commission that it would make capital expenditures on the state’s network at 13 percent of in-state revenue in 2018, 2019, and 2020.

Leaders of unions representing telecom workers in Maine, New Hampshire, and Vermont expressed “cautious optimism,” about the deal and see Consolidated’s investment commitment as “a positive step that will be good for both our members and consumers,” according to a joint  Communications Workers of America and International Brotherhood of Electrical Workers joint Facebook statement. However, the union leaders remain concerned about Consolidated’s plans for “synergies,” which the unions say is a “thinly veiled reference to layoffs.” Workers’ representatives say they will vigorously defend job protections and begin preparing for 2018 contract negotiations with Consolidated management.

Links:

Consolidated to commit $52M to upgrade Maine networks after completing FairPoint deal (FierceTelecom, May 25, 2017)

Consolidated Communications to buy FairPoint for $1.5 billion (Speed Matters, Dec. 8, 2016)

Fairness at FairPoint Facebook page (Fairness at FairPoint, May 26, 2017)