This deal has 900000 access lines with 2700 employees for 2 bil. Which would be about 333 employees per line.
900000 lines / 2700 CT employees = 333 lines per employee
4800000 lines / 16000 VZ employees = 300 lines per employee
8600000000 / 4800000 lines VZ deal = 1791 cost per line VZ
2000000000 / 900000 lines CT deal = 2222 cost per line CT
I left out the money VZ gave to FTR post deal, that was about 72 million. If you would include that the VZ line cost would come down to 1776
Your correct 333 lines per employee on the VZ deal 300 lines per employee on the CT deal. Were the VZ areas more productive, for less money?
So are they over paying on the deal? On that dividend I stand by 3 cuts to the dividend for the VZ deal. From $1,00, to .75 to 40. They said they had to do the first cut to do the VZ deal, So I count that cut.