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August 12, 2014

Frontier promises $63M in CT infrastructure investments

Frontier Communications, which plans to acquire AT&T’s Connecticut wireline and U-Verse businesses later this year for $2 billion, has pledged to invest $63 million in infrastructure and freeze basic landline and broadband pricing for three years, officials announced Tuesday.

Frontier’s $63 million investment in broadband availability and speeds is $3 million higher than its executives had pledged earlier this year. The additional money will be used to expand services to underserved areas.

Attorney General George Jepsen and Consumer Counsel Elin Swanson Katz negotiated the agreement, which has been filed with the state regulatory body that has yet to sign off on the acquisition — the Public Utilities Regulatory Commission.

Frontier has also promised to make $500,000 per year in donations to Connecticut charities; donate $512,500 to the UConn men’s and women’s basketball teams; and buy a $75,000 sponsorship to the Connecticut Open tennis tournament in New Haven.

Additionally, Frontier has promised a variety of benefits for military veterans.

Low-income military veterans would receive basic broadband service for $19.99 per month, down from the usual $34.99. The modem and first month’s service would also be free.

Frontier will also donate at least $150,000 to veteran health programs run by the Veteran’s administration, and hold at least one veteran-focused hiring fair per year.

Katz said that Frontier’s acquisition will make it the sole landline provider for nearly all Connecticut residents.

“With such an important responsibility, I’m pleased that Frontier has committed to provide some price protection for those that rely on basic phone service, which includes some of our most vulnerable citizens,” Katz said.

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