Source: Frontier Press Release
Seven communities in the state of Washington have voted to approve the transfer of control of local TV franchises from Verizon Northwest to Frontier Communications (NYSE:FTR). The approvals relate to a transaction between Frontier and Verizon Communications (NYSE:VZ), announced May 13, 2009, that includes Verizon’s local exchange businesses in 14 states, including parts of California, and certain customer relationships for long distance services, broadband Internet access and broadband video.
City councils in Mountlake Terrace, Mukilteo and Woodway approved franchise transfers on Monday and Bothell, Edmonds, Redmond and Woodinville approved the transfer of their franchises on Tuesday. The latest votes follow unanimous decisions by Snohomish County (5-0) and Marysville (7-0) to approve Verizon TV franchise transfers to Frontier last week (Nov. 10).
Transfers of local franchise agreements are required for Frontier to offer its own subscription TV service using network facilities that it will acquire from Verizon. Frontier has now received 19 of the required 42 approvals. The transaction is subject to approval by the Washington Utilities and Transportation Commission, utility regulators in five other states and the Federal Communications Commission (FCC).
On October 27, 2009, Frontier’s stockholders voted overwhelmingly to approve the merger agreement and related proposals. Frontier has also received approvals from the California Public Utilities Commission, the Public Utilities Commission of Nevada, and the Public Service Commission of South Carolina. On September 1, 2009, the transaction received early termination of the waiting period required under the Hart-Scott-Rodino Antitrust Improvements Act of 1976.