Parties opposing Verizon’s $2.7 billion sale of northern New Engl...

than all of FairPoint’s other current assets put together, they said. Representatives of Verizon employee unions, other local providers and electric utilities contested FairPoint’s capacity to deliver on its promises of network investment, expanded broadband and expanded employment. At a prehearing issues conference (Case DT-07-011), lawyers for CWA and IBEW union locals said FairPoint may have more debt than it can bear and so may not be able to carry the Verizon worker benefits it vowed to sustain. They claimed FairPoint lacks experience at serving large territories. CLEC representatives said they depend on the Verizon facilities and want service quality assurances because any significant deterioration in wholesale service quality under FairPoint would hurt them badly. They want guarantees that the transfer won’t drive up wholesale rates, though FairPoint promises no wholesale or retail rate increases. Electric utilities expressed concern about pole maintenance under FairPoint. Opponents said that, unlike with the Verizon operations, most FairPoint operating companies are covered by rural competition exemptions, relying heavily on federal universal service and rural infrastructure subsidies. Walter Leach, FairPoint exec. vp, said FairPoint’s experience with rural phone service and bringing broadband to rural markets make it a good fit for N.H. He said northern New England would be FairPoint’s biggest market and, unlike Verizon, FairPoint has every incentive to invest there. Other FairPoint officials defended the company’s financial base as strong. They said they understand opponents’ concerns but stressed that FairPoint has the will and ability to deliver jobs, broadband and service quality, and will showing the PUC and other interested parties exactly how they will do it in the course of this case.