Date Posted

September 28, 2018 marks the end of the 2018 SSP Award Year.

The calculation of the award is as follows:


The Award includes a dividend rate component and a component based on stock price appreciation as well as an adjustment factor.   

Part 1: The dividend rate component is based on the dividends paid from the fourth quarter of 2017 through the third quarter 2018. As reported in Frontier Communications financial results for fourth quarter 2017, the Board of Directors suspended the quarterly cash dividend on the Company's common stock, beginning with the first quarter of 2018. In the below calculation, dividends are shown on a post-split basis (Frontier reverse stock split of 1-for-15 was effective 7/10/17). This result is then multiplied by the Dividend Multiplier of 4.5. 

Part 2: Then we calculate the change in stock price component (also adjusted for the reverse stock split). Based on the October 2, 2017 to September 28, 2018 performance period. Again, in the calculation below we have shown the determination based on a post-split basis.   

Part 3: We then add the results from Parts 1 and 2. The sum is then multiplied by the Success Units multiplier. The Success Units multiplier has been adjusted for the reverse stock split.


Part 1:   Determination (Dividend Rate)

2017 4th Quarter


2018 1st Quarter


2018 2nd Quarter


2018 3rd Quarter


(a)    Total Dividend


(b) Dividend Multiplier


(a)    * (b) = (c)



Part 2:   Determination (Share Price Appreciation)

Share Price 10/2/2017


Share Price 9/28/2018


(d) = If share price is down then $0; if price is up then = $ increase in price



Part 3:   Success Unit Adjustment & Total Payout

(e) = (c) + (d)


Success Shares Multiplier = (f)


Total Payout = (e) * (f)



The total payment for the 2018 SSP Award Year is $27.00 per eligible employee(1).


Payment will be made on November 30th.


(1) Employees eligible for payments as described above are those regular, temporary and term employees who are on the payroll on both the beginning and ending dates of the award year and who work for a minimum of three (3) months within the award year in a position covered by this Collective Bargaining Agreement. Eligible employees who are on approved leaves of absence, short term disability absence or partial disability absence and meet the other eligibility requirements on the ending date of the award year shall receive a payment, provided they return to duty on or before December 31 of the year in which the payment is made.