Mpower Cuts Two Executives from Payroll

Facilities-based provider Mpower Communications Corp. has shaken up and consolidated its senior management team, indicating only in a press release that it needed to streamline operations to reduce costs, increase productivity and enhance shareholder value, said Rolla P. Huff, chairman and CEO of Mpower Communications, in a prepared statement.

Mpower did not immediately return calls requesting further comment on why it implemented the changes.

Roger Pachuta, senior vice president of network services, and Steve Reimer, senior vice president of customer operations, both will leave Mpower on Friday, Jan. 20. Pachuta is retiring. He has worked for Mpower since February 2000.

Russell Shipley, president of wholesale services for Mpower, will take over Pachutas responsibilities and remain in his current position. Shipley joined Mpower in June 2003.

“We are confident that we can leverage Russ’ substantial IP network background as we begin an extensive rollout of our new facilities-based VoIP product across all our markets this quarter,” Huff said.

Reimers last day at Mpower also will be Jan. 20. He will be replaced by Tom Hesterman, vice president of provisioning, and Carol Mittwede, vice president of customer service.

“The depth and tenure of our management team allows us to achieve greater organizational and cost efficiencies,” Huff said.

The Rochester, N.Y.-based subsidiary of Mpower Holdings Corp. last year bought ICG Communications Inc.s California operations, which gave Mpower a statewide self-healing SONET fiber network, metropolitan fiber rings in six major metropolitan markets and 128 on-net, fiber-lit commercial buildings. The provider also purchased a metro fiber network in Las Vegas from IDACOMM, the communications subsidiary of IDACORP.

Mpower Communications Corp.


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