CHARLOTTE, N.C. (April 9, 2013) - FairPoint Communications, Inc. (NasdaqCM: FRP), a leading communications provider in northern New England, today announced it plans to eliminate approximately 90 positions across Maine, New Hampshire and Vermont over the next several months in accordance with the collective bargaining agreement.
These reductions are in addition to the elimination of over 30 management positions across the company last month.
"We are adjusting our workforce to remain competitive in our market and to further position FairPoint for success," said Greg Castle, executive vice president of human resources.
FairPoint expects the reduction in force to result in annualized operating expense savings of approximately $11 million, with the full benefit realized in 2014.
The company expects to provide severance or incentive payments to eligible affected employees. The total amount of such payments is expected to be $5 to $8 million.
FairPoint currently has approximately 3,300 employees across 17 states.
About FairPoint Communications, Inc.
FairPoint Communications, Inc. (NasdaqCM: FRP) is a leading communications provider of broadband Internet access, local and long-distance phone, television and other high-capacity data services to customers in communities across 17 states. Through its fast, reliable fiber network, FairPoint delivers high-quality data and voice networking communications solutions to residential, business and wholesale customers. FairPoint delivers VantagePointSM services through its resilient IP-based network in northern New England. This state-of-the-art fiber network provides carrier Ethernet connections to support the surging bandwidth and performance requirements for cloud-based applications like network storage, disaster recovery, distance learning, medical imaging, video conferencing and CAD/CAM along with traditional voice, VoIP, video and Internet access solutions. Additional information about FairPoint products and services is available at www.FairPoint.com. You can also connect with FairPoint on Twitter (http://www.twitter.com/myfairpoint) and Facebook (http://www.facebook.com/myfairpoint).
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