http://www.dslreports.com/shownews/CWA-Says-Cablevision-Altice-Deal-Means-Fewer-Upgrades-136150
Tuesday Jan 26 2016 08:30 EST
The Communications Workers of America is coming out against Altice's proposed $17.7 billion acquisition of Cablevision, and will testify before regulators this week that the deal will result in a debt-saddled company incapable of investing in serious infrastructure improvements or maintaining customer service. Cablevision used to be on the bleeding edge of broadband speeds, but over the last few years had drifted in neutral as the company's owners looked for a buyer.
In a filing with the FCC, the CWA says the $8.6 billion in debt being taken on to finance the deal will be compounded with the $5.9 billion in existing debt.
"This level of debt will require such deep cost cutting at Cablevision that both staffing and network investments are likely to suffer, to the detriment of both consumers and workers," states the union.
Altice and Cablevision, as you might expect, don't agree with the CWA's assessment of the deal, saying the CWA "relies on selective press accounts, mischaracterization and surmise to impugn the Transaction and advance its own narrow interests."
Tuesday Jan 26 2016 08:30 EST
The Communications Workers of America is coming out against Altice's proposed $17.7 billion acquisition of Cablevision, and will testify before regulators this week that the deal will result in a debt-saddled company incapable of investing in serious infrastructure improvements or maintaining customer service. Cablevision used to be on the bleeding edge of broadband speeds, but over the last few years had drifted in neutral as the company's owners looked for a buyer.
In a filing with the FCC, the CWA says the $8.6 billion in debt being taken on to finance the deal will be compounded with the $5.9 billion in existing debt.
"This level of debt will require such deep cost cutting at Cablevision that both staffing and network investments are likely to suffer, to the detriment of both consumers and workers," states the union.
Altice and Cablevision, as you might expect, don't agree with the CWA's assessment of the deal, saying the CWA "relies on selective press accounts, mischaracterization and surmise to impugn the Transaction and advance its own narrow interests."
