CHARLOTTE, N.C., Aug. 18, 2015 /PRNewswire/ -- FairPoint Communications, Inc. (Nasdaq: FRP) ("FairPoint" or the "Company"), a leading communications provider, today announced it has accepted $4.4 million in annual support from the Federal Communications Commission's (FCC) Phase II of the Connect America Fund (CAF) for the state of New Hampshire. By accepting these funds, the Company is committing to construct and operate network infrastructure and offer broadband service speeds of at least 10 Mbps download and 1 Mbps upload to over 13,000 locations in New Hampshire. The support program and the FairPoint commitment run over six years.
"FairPoint enthusiastically supports the positive intent of CAF Phase II to bring broadband to underserved areas of New Hampshire, and we are excited to participate in this FCC-administered program," said Chief Executive Officer Paul H. Sunu. "We are committing tens-of-millions of additional dollars in capital to build and upgrade infrastructure in New Hampshire to extend affordable broadband services to remote areas which will help New Hampshire businesses and residents alike stay connected to the world." Adds New Hampshire State President Pat McHugh, "If it were not for this funding, we could not make this investment to these high-cost areas. This is truly a beneficial public-private partnership for the betterment of New Hampshire."
"This is encouraging news for underserved broadband areas across our State," said Governor Maggie Hassan. "Broadband access is vital to our innovation economy and serves as a catalyst for educational opportunity, access to healthcare, and workforce development and job creation. I congratulate FairPoint on receiving these funds and committing the additional capital for this expansion, and I look forward to continuing to work with them to further expand broadband access throughout our state."
The FCC developed CAF as a part of its mandate to shift federal support from voice service in high cost service areas to broadband build out and operation in high cost service areas. FairPoint has invested approximately $74 million in its broadband infrastructure in New Hampshire since 2008, successfully upgrading over 100,000 locations in unserved and underserved areas of the state. CAF Phase II will accelerate the FCC's mandate by explicitly supporting the development and operation of broadband in high cost service areas.
Qualifying locations eligible for service as a part of the six-year build are determined by the FCC. While some locations in New Hampshire will prove to be uneconomical to serve, the Company made its acceptance decision based on many factors including the totality of the business and regulatory model.
About FairPoint Communications, Inc.
FairPoint Communications, Inc. (Nasdaq: FRP) provides advanced data, voice and video technologies to single and multi-site businesses, public and private institutions, consumers, wireless companies and wholesale re-sellers in 17 states. Leveraging an owned, fiber-core Ethernet network — with more than 20,000 route miles of fiber, including approximately 17,000 route miles of fiber in northern New England — FairPoint has the network coverage, scalable bandwidth and transport capacity to support enhanced applications, including the next generation of mobile and cloud-based communications, such as small cell wireless backhaul technology, voice over IP, data center colocation services, managed services and disaster recovery. For more information, visit www.FairPoint.com.
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SOURCE FairPoint Communications, Inc.