TELECOM Digest OnLine - Sorted: Re: Verizon/MCI

Re: Verizon/MCI

Steven Lichter (shlichter@diespammers.com)
Tue, 26 Apr 2005 01:31:29 GMT

John P. Dearing wrote:

> The Bell Atlantic/Nynex merger (painful as it was) actually made sense
> and was the right thing to do. Kudos to Ray Smith (former Chairman &
> CEO) for having the vision to see the need and "make it so".

> The Bell Atlantic/GTE merger is a whole 'nuther kettle of fish.

> Ivan wanted to "one up" Ray. It certainly was a bigger merger but as a
> result of the *HUGE* "negative dowry" (over $50 Billion) that GTE
> brought to the altar, the combined company went from one of the best
> debt to equity ratios to one of the worst. At the time of the merger
> the dot com boom hadn't gone bust yet and the cash flow was probably
> assumed to be strong enough to cover the debt service.

> John P. Dearing
> A+, Network+, Server+
> To reply: Just drop "YOURPANTS" in my address! 8-)

I agree the Nxnex/Bell Atlantic merger might have been good. I also
agree that the GTE/Bell Atlantic merger was a big error, in more then
money. They were two different companies.

I don't know about Bell Atlantic, but GTE had bundles of money from
selling it non telecom groups as well as merging it AE unit with AT&T.
Many people said the GTD5 was not as good as other machines of its
kind. It was made to work in many different projects where others
would not and it was a log more forgiving then others also.

GTE's merger with Contel was ok at the best, but after the merger they
dumped a lot of the Contel areas as some GTE areas. After the GTE/Bell
Atlantic areas a lot more were dumped, and the latest was the Hawaiian
Telco sales was a big error, it was one of the best run of the system
and made lots of money since it was located midway between the US and
Japan.

I retired from GTE a few years before the merger and am glad I did. I
have done contract work for Verizon in California were I retired from
as well as Washington State and Oregon, it seems to be running the
same, but the people I talked to would rather have it as before. I
started in 1967 with CWT and when GTE came in we wondered, but that
worked out.

LB@notmine.com wrote:

> No.

> LB

> [TELECOM Digest Editor's Note: And according to news reports today at
> http://telecom-digest.org/td-extra/more-news Verizon is working now
> on a new bid. PAT]

I sure hopt not, much more will sink the whole company.

Tony P. wrote:

> I strongly suspect that Verizon is just trying to elevate the price
> past that which Qwest can reasonably be expected to be able to pay.

> In other words, once the bankruptcy happens to Qwest it would be
> childs play for Verizon to roll in and suck all of it up.

I did contact work for USWest as they were being bought by Qwest; the
whole area was a mess since no one know what was going to happen.

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