As most of you are aware, Frontier Communications has been experiencing financial difficulty and the company's stock is in severe decline. There are many rumors flying around about the possibility of bankruptcy, the future of CEO Dan McCarthy and what it means for CWA members and retirees.
Rest assured that we are closely monitoring the situation at Frontier. Unfortunately, we have been down this road before with other companies. We are prepared, and if Frontier files for bankruptcy and protection from its creditors, we will act quickly and use every resource at our disposal to protect our members and retirees.
After taking on massive debt to finance acquisitions of units from Verizon and AT&T, Frontier has mismanaged its business, leading to a steady decline in subscribers, revenues, profits, and network investment. The company's debt has made it more beholden to Wall Street profiteers than to its employees and customers.
We believe that Frontier cannot solve its problems by cutting employment and contracting out work. Instead, the company must increase its investment in its network to provide the reliable service that customers deserve. While we stand ready to work with the company to advance this goal, we are also holding them accountable with regulators and at the bargaining table.
The situation at Frontier is fluid, and we will keep you updated as developments warrant.
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