Robert Masciola, deputy director of the AFL-CIO Center for Strategic Research, sends us the latest development in the fight to counter corporate greed that is fueling Verizon’s decision to sell its New England rural landlines. The sale would mean big profits for Verizon but limited access to high-speed Internet for families. 

Members of the U.S. House of Representatives from Maine, New Hampshire and Vermont all want the Federal Communications Commission (FCC) to put the brakes on Verizon’s proposed sale of its landlines in the those states. 

Verizon wants to sell its northern New England landlines to FairPoint Communications for $2.7 billion. The sale must be approved by the FCC and the three states. If the sale gets state and federal approval, Verizon will be allowed to abandon all its so-called low-value residential customers in the three states, while keeping its more profitable customers, including Big Business and wireless users.

In a letter to the FCC, the five Democratic lawmakers—Reps. Paul Hodes and Carol Shea-Porter of New Hampshire, Tom Allen and Mike Michaud of Maine and Peter Welch of Vermont—called for “a thorough and extensive review” to ensure the sale “is in the best interest of consumers, employees and state and local economies.” 

They also urged the FCC not to make any decision regarding the sale until the states have reached a decision. 

Under the deal, Verizon would qualify for a $600 million tax break and would control 60 percent of FairPoint. FairPoint is a small, highly leveraged North Carolina-based firm that primarily provides dial-up for Internet access or, at best, DSL service, a technology widely regarded as already outdated and inadequate for rural economic development. 

A coalition of unions, community groups, first responders, seniors, health care providers and others have mobilized to fight the sale and last week delivered more than 5,000 postcards protesting Verizon’s profit grab to Maine Gov. John Baldacci (D). 

For more information, check out www.no-deal.org/ from the Electrical Workers (IBEW) and www.stop-the-sale.org from the Communications Workers of America (CWA).

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