This site is part of the Global Exhibitions Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 3099067.


Pension Costs, Sandy Hit Verizon, Prepping for 'Relatively Flat' 2013

By Craig Galbraith
January 08, 2013 - News

Verizon says pension costs and damage from Hurricane Sandy will cause it to take a one-time charge of between $9 billion and $10 billion in the fourth quarter of 2012.

Hurricane Sandy, which blasted the Mid-Atlantic and Northeast last fall, is responsible for about $1 billion of that, Verizon CEO Lowell McAdam told investors on Monday, according to Fox Business. Another $7 billion is connected to changes in pensions and another $1.5 billion in restructuring costs.

McAdam said he expects 2013 to be "relatively flat," but he anticipates 130,000 new FiOS cable and Internet customers during the year. He called Q4 2012 the best quarter ever for Verizon Wireless, which had a net addition of 2.1 million subscribers.

The company in December transferred $7.5 billion worth of pension plans to Prudential Insurance, which converted them into annuities, much to the chagrin of some pensioners who unsuccessfully filed suit to stop it.

Verizon's full fourth-quarter results will be released on Jan. 24.

Follow editor @Craig_Galbraith on Twitter.

comments powered by Disqus
Related News
Apple's iPhone 5s. Samsung's Galaxy S4. The HTC One. Google's Moto X. BlackBerry's Z10. Nokia's
The CX5500 and CX5100 each are 1080p and panoramic.
The company made some additional announcements for VARs and MSPs, too.