May 18, 2009
Jeff Allen, Executive Vice President External Relations
FairPoint Communications, Davis Farm Road, Portland, ME 04103
Re: DT 07-011 Verizon New England, et al Transfer of Assets to FairPoint Communications, Inc.
Dear Mr. Allen:
On April 3, 2009, a status conference was held regarding FairPoint’s post-cutover transition and its plan to stabilize operations to acceptable levels. Following the status conference, by secretarial letter dated April 9, 2009, the Commission directed FairPoint to take specific actions aimed at returning to business-as-usual and to mitigate any adverse impact of transitional activities on FairPoint’s retail and wholesale customers. The Commission also directed Staff to review and report on FairPoint’s compliance with the terms of the settlement agreement dated January 23, 2008 and approved in Order No. 24,823 (Settlement Agreement).
FairPoint has provided, in some instances, insufficient information required by the Commission and, according to Staff’s compliance review, has not provided certain information required by the Settlement Agreement. Further, in light of recent events including the release of FairPoint’s 10-Q quarterly report, the payment of executive compensation in the form of bonuses, and the failure by FairPoint to meet some of the established benchmarks for operational issues, the Commission has determined that further information is required. Accordingly, FairPoint is directed to do the following not later than May 26, 2009:
