69 Cents of Silence

Verizon just hiked its dividend again — 69 cents a share. On paper, that looks like strength. Shareholders get a little more cash, and the company gets to brag about “rewarding investors.”

But let’s be real. This isn’t strength. It’s a cover-up.

Verizon is carrying one of the biggest debt loads in corporate America. Billions locked into spectrum, billions owed in interest, billions still needed just to keep the network running. Growth? Flat. Competition? Relentless.

So why raise the dividend? Simple: it’s cheaper to keep investors quiet with cash than to deal with the bigger problem.

That’s not strategy. That’s theater. It’s a short-term distraction dressed up as long-term confidence. Debt doesn’t disappear because you slap a bigger payout on top. Real innovation doesn’t come from squeezing another cent into dividends.

This move doesn’t scream strength. It whispers fear. Fear that if the checks ever stop, the whole illusion collapses.

Dividends don’t hide debt — they just rent time.

#Debt #CorporateStrategy

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6 replies (most recent on top)

And it did nothing for the stock price...
Paying down the debt would have been a smarter move, but it's likely their personal compensation is tied to the stock price.

@OP, I assumed that the ”debt” is just the bonds and does not include the other liabilities. You are correct about the ”debt load”. According to ”Companies Market Cap”, Verizon is ranked 37th out of 10,621 global companies, and ranked 9th out of 3,567 U.S. companies; interestingly, the eight above are ”big banks”. The data can be downloaded to an Excel CSV file.[1] The latest Verizon Fixed Income Schedule of Outstanding Debt information can be downloaded from the Investor Relations page.[2]

| Global | U.S. | Company | Total Debt |
| 37 | 9 | Verizon | 169,891,000,000 |
| 50 | 11 | AT&T | 150,073,000,000 |
| 63 | 15 | T-Mobile | 117,860,000,000 |

[1] https://companiesmarketcap.com/companies-with-the-highest-debt/

[2] https://www.verizon.com/about/investors/fixed-income

@a6+1k4n41j4c, getting a little tired of your anti-postal maga agenda.
Worry about the despot you put in charge fool.

@OP, this is one of my favorite quotes regarding debt.

”If you owe the bank $100, that's your problem. If you owe the bank $100 million, that's the bank's problem.”[1]

Imagine the leverage if you owe $150 Billion! How about $37 Trillion![2]

[1] https://www.brainyquote.com/quotes/j_paul_getty_129274

[2] https://www.usdebtclock.org/

The U.S. Postal Service just hiked its price again — a Forever stamp now costs 78 cents, up from 73. On paper, that looks like necessity. More revenue per envelope, more “financial stability,” and a chance to claim progress on fixing the books.

But let’s be real. This isn’t stability. It’s a patch job.

The Postal Service is running chronic losses. Billions tied up in operations, billions more in pension and healthcare obligations, billions still needed just to modernize an aging system. Mail volume? Shrinking. Competition? Everywhere — from email to FedEx to Amazon.

So why raise stamp prices? Simple: it’s the one lever USPS can pull without asking Congress for help. Charge the public more and hope they don’t notice how little it fixes.

That’s not reform. That’s theater. It’s a short-term revenue bump dressed up as a long-term solution. Declining mail doesn’t reverse just because you slap another nickel on a stamp. Real sustainability doesn’t come from making letters more expensive to send.

This move doesn’t shout progress. It whispers desperation. Desperation that if prices stop rising, the fragile finances collapse.

Rate hikes don’t fix decline — they just buy time.

My life is also just renting time, and I will take the higher dividend for now.

Thread regarding Verizon Communications Inc. layoffs

69 Cents of Silence

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