Verizon CFO Says Storms, Strike Cost as Much as $250 Million

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Verizon said storms including Hurricane Irene that followed a strike by some employees have cost it as much as $250 million this quarter.

“The catastrophic event has really taken an impact,” said Verizon Chief Financial Officer Fran Shammo, referring to the storm that followed an August strike by workers. “Putting that all together, where we stand today we are two to three weeks from getting the repair and maintenance flows back to normal.” About 45,000 of Verizon’s employees went on strike between Aug. 7 and Aug. 22. Days after they returned, a backlog in cable installations and repairs was magnified by Hurricane Irene and Tropical Storm Lee. The employees were working overtime with three times the normal repair load, Shammo said. The company is still managing a backlog of about 90 days for installations.


Verizon CFO Says Storms, Strike Cost as Much as $250 Million