That's why all the cuts in pay, overtime and jobs. The more the interest rates rise the worse it will get. I look for them to sell a part of the buisness this year. Good luck everyone
36 replies (most recent on top)
"Verizon is putting most of its eggs in the 5g/One Fiber basket. What's left are crumbs and will be sold off."
Don’t forget “content”.. they will continue to spend and build debt trying to figure out content. They’ve done 90’s internet companies to death,wonder what the next big thing will be.
Yup, the cash equivalent of 50 shares to all employees is just crumbs. Bunch of Bernie Bois in here. DERP
Good Lord people. 5g isn't getting nationalized. This isn't Venezuela.
"Verizon is putting most of its eggs in the 5g/One Fiber basket. What's left are crumbs and will be sold off."
How does it affect Verizon if 5G gets nationalized?
Verizon is putting most of its eggs in the 5g/One Fiber basket. What's left are crumbs and will be sold off.
"Not everyone needs or wants to go to a store to get a phone and service."
I actually like going to the store. But I was at Best Buy a couple months ago and even though the Verizon section was the biggest one, they barely had any phones. Literally, about one phone displayed for every four feet of space. Only a couple years ago, they'd have phones lined up, practically right next to each other. So it does look like they want to get people used to going online.
I worked for a company that Verizon bought and was laid off at the end of last year. For about a year they kept telling me how fabulous the Verizon wireless deal was at half price. The only problem is 50% off was still twice as much as I was paying for service at a Sprint MVNO. I thought I should be "loyal" and switch, but never got around to it. If I had, I'd be under contract at Verizon's full price, right now.
For $19 a month (plus tax and fees), I get 1000 minutes, unlimited texts, and 1/2 GB of data. I don't use anywhere near that much and could drop the price down to $14 a month with 500 minutes and less data. And since the company I'm using provides service for Verizon in some rural areas, they have some kind of cooperative agreement, so when I'm out of Sprint coverage I roam on Verizon for no extra charge. (For talk, data doesn't roam.)
I know I'm not a typical wireless customer, but there's a lot of people who don't live on their cell phones. My sons and their wives went together on a Cricket deal (AT&T has very good coverage in the Dallas / Fort Worth area.) They're locked into a deal of $100 a month, total (no extra taxes or fees) for five phones, all with unlimited everything. And they're happy with the service.
Verizon charges more and once provided better service. They keep laying off more and more of their "better service" and the competition is catching up with their coverage. (Recently I read that Verizon was going to co-lease towers with AT&T -- isn't that essentially admitting that you'll have the same coverage as your arch enemy?)
Verizon can't seem to get out of Wireline fast enough, even the profitable parts of it. Wireless is only getting tougher and I don't how Verizon will be able to continue charging premium prices with dwindling service. What does that leave them with besides a mountain of debt? The owner of two merged companies, AOL and Yahoo, who were essentially going bankrupt before Verizon bought them?
And I might not be real fond of Verizon right now but that doesn't mean John Legere isn't an extreme douche bag. I won't even consider touching T-mobile as long as he's there. I'd be afraid of being slimed.
Tax rate changes will free up cash which can be used to pare down debt. Decisions to reduce workforce are separate. Any area that has positive return, or is essential to operations, will be maintained.
I know there are a lot of store reps on this board. Your enemy is online ordering. As that grows, the business needs fewer reps. That's by design and also a reaction to what some consumers want. Not everyone needs or wants to go to a store to get a phone and service.
What are we offering? Numb nuts McAdumb isn’t expanding FOIS. Wireless has more competition from Sprint, TMobike, etc.. Several of my friends went to Sprint and claim its just as good and cheaper than Verizon.
Maybe its time to replace McAdumbs for the great job he hasn’t done.
2hkc
Likes to take the side of large corporations against the little guy.
Thinks he’s cool because he uses the expression “derp”.
Ajit Pai is that you?
Jobs are going past due and yet no overtime at all to finish jobs. Some Fios Techs are forced to work Overtime with no work. Makes a lot of sense
Haven’t really hired new people in 20years.
You mean the 50 shares of crumbs off Lowells table? DERP...
Isnt there something wrong if they were/are paying 60k in overtime?
Cut 60k in overtime per person and give them 50 shares
You can bet we won't see any of that tax cut money trickle down to the worker bee's.
You mean like the bonuses recently announced? DERP
Summer 2019 say goodbye to your jerbs
They must be in bad shape cause they are not buying new line trucks,they have linemen riding in repair vans,there not buying any tools,sending lineman and splicers out with lack of tools,lol,this place is a joke....you got bosses that dont know field work thats the funny part ,cause they rif the old time foreman that know the job and hire off the street pencil pushers,,funny doesnt make sense,but it is what it is
You can bet we won't see any of that tax cut money trickle down to the worker bee's.
90 days for landline repair? Of course, they want copper gone. As for debt....they just got a $3.4 billion tax cut, let's see them make smart use of that.
Pansy or not he's going to leave Grandpa and the ship of fools in his dust! Watch and see!
Verizon pours so much money into piss-poor marketing that they’ve outsourced. It’s unbelievable. T-Mobile may not have the network, but at least their marketing department is in tune with the pulse of modern consumers.
90 days for landline repair. Just shut down the outside plant
Regardless how you feel about T Mobile CEO, at least they’re giving customers what they want and not playing this “our network is better’ BS card that hasn’t held any ground since the mid 2000s
They should be paying close attention to TMobile! Their CEO gets it!
About the only cellular assets they have are spectrum and maybe a few switch buildings they haven't sold yet and some fiber facilities.
They sold off the majority of their towers and pay rent for those facilities now. 99% of the stores and offices are leased,
Its fine. Lowell and Hans will keep distracting shareholders while the debt piles up. Verlieson thinks its the government and can print more cash but its a fatal mistake.
Leverage debt just to pay the dividend with rock bottom interest rates. Shady accounting like changing the the numbers from avaerge revenue per user to average revenue per account. Front loading device payment plan revenue and selling debt bonds against future payments.
How long can this Enron $hit go on for before it implodes? No forever.
They are constantly refinancing it's debt because they can't pay it off. With higher rates it will be tougher and tougher moving forward. Especially with increase competition and lower margins.
FYI....The majority of debt is fixed rate so an increase in rates would only impact notes that are floating.
from article-
With interest rates at rock-bottom levels over the last 10 years, I've seen some questionable financial decisions made. Many companies have taken the bait and loaded up on debt. Many have also rapidly increased dividend payments (sometimes financed with debt), which has appealed to investors searching for yield. This, of course, can backfire if rates begin to rise. Verizon (VZ) is a good example of a company that is guilty of these sins and is in a precarious position should rates rapidly rise. Here are some key points:
Verizon has $117 billion in debt, which will need to be repaid or refinanced in the future. This adds $1.17 billion in interest expense for every 1% increase in rates.
Liquidity is tight. Verizon has only $2.1 billion in cash reserves, so can't pay off much debt in a pinch.
Verizon currently has a free cash flow shortfall and can't afford its dividend, which has been partially financed with debt over the last two years.
They will absolutely sell off assets in 2018. The question is: What are they?
Robots will be next
Verizon will probably do that next... lol
Uber and Lyft are always available...
Can't afford trucks.... going to a midnight and day schedule for outside techs
https://www.google.com/url?sa=t&source=web&rct=j&url=https://seekingalpha.com/amp/article/4144959-verizon-tough-spot-rates-continue-rise&ved=2ahUKEwjNn6L5oJnZAhVBq1kKHaExBOAQFjABegQIERAB&usg=AOvVaw2gkyuvBSz85fcRLAPMAyT1&cf=1
I call BS on you.
Free cash flow (after debt) is about 14 Billion next year.
I would like them to cut it, but paying it is NO problem.
Nice try troll