Site Map Icon
RSS Feed icon
 
CWA Local 2336
 
 
April 11, 2021
Member Login
Username:

Password:


Not registered yet?
Click Here to sign-up

Forgot Your Login?
RED on Thursdays

Why Wear RED on Thursdays? 

Click here

Members Rights
"If the discussion I am being asked to enter could in any way lead to my discipline or termination or impact my personal working conditions, I ask that a union steward, representative or officer be present.  Unless I have this union representation, I respectfully choose not to participate in this discussion."
Scholarship

CWA Joe Beirne Foundation Scholarship for 2021 - 2022

Eligible are CWA members, their spouses, children and grandchildren, including the dependents of retired, laid-off or deceased members.

More information is provided on the flier and detailed information is on CWA website

<< April 2021 >>
S M T W T F S
1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28 29 30
Events Calendar image
Events Calendar
Message Board image
Message Board
Classified Ads image
Classified Ads
Downloads image
Downloads
News Feeds image
News Feeds
Photo Gallery image
Photo Gallery
Weather Report
UnionActive Newswire
 
Join the Newswire!
Updated: Apr. 10 (23:09)

Amazon Warehouse Election in Alabama
Teamsters Local 492
This Week's News Wrap-Up: 4/09/2021
Teamsters Local 570
Weekly News Wrap-Up: 4/09/2021
Teamsters Local 355
NOTICE OF ELECTION RULES VIOLATION
Teamsters Local 542
Alabama Amazon Workers Reject Union, But Organizers Say the Fight Isn’t Over
Teamsters Local 992
Teamsters Statement on the Election Results from the Vote at the Amazon Facility in Alabama
Teamsters Local 570
 
     
Verizon Weighs Selling Bonds Backed by Customers’ Phone Payments
Posted On: Mar 09, 2016

Verizon Communications Inc., the largest U.S. wireless provider, may sell bonds backed by the payments its customers owe for financing phones.

While other companies such as Sprint Corp. have used the technique to obtain private loans, Verizon would be one of the first wireless carriers to issue bonds that use expected monthly phone payments from its customers as collateral. The company is looking into the option because U.S. banks have limited capacity to purchase such payments, Chief Financial Officer Fran Shammo said at an investor conference Tuesday.

There’s a “lower cost of capital” in this market, Shammo said. Verizon has talked to credit rating companies about the idea and expects to announce next steps in the first half of the year, he said.

Verizon, the nation’s largest wireless carrier, has been looking to reduce debt and free up cash as the wireless market matures and competition increases. The infusion of cash borrowed against phone payments would help ease the company’s $110 billion debt burden ahead of a federal auction of airwaves this spring, at which Verizon is expected to

bid $6.2 billion, according to a Bloomberg survey of analysts in January.

“There are a few things pulling in different directions at Verizon,” said Mike McCormack, an analyst at Jefferies LLC.

Over the last few years, the industry has moved more customers to plans where they pay for their phones in installments, instead of including the phone as part of the service contract. The carriers have amassed about $40 billion worth of outstanding payments, McCormack said. That’s an

asset they can use to secure funding. AT&T, the No. 2 carrier, sold $4.4 billion worth of phone-payment receivables to bondholders last year. But instead of selling its phone payments, Verizon wants to borrow against them.

No Market Yet

“The other carriers don’t do this yet simply because the asset-backed security market for handsets is not yet established,” said Kevin Roe, of Roe Equity Research LLC. Once there’s a market, more will participate, he said.

In November, Sprint Corp. took $1.2 billion in financing from a phone leasing company

created by majority owner SoftBank Group Corp. to help lower equipment costs and relieve pressure on the unprofitable carrier’s dwindling cash supply.

One potential drawback to these financing plans is the creditworthiness of customers, McCormack said.

“It’s a big sum of money, and the recourse -- if there’s a problem -- goes back to the carrier,” McCormack said.


Organize Today
Learn more about organizing your workplace!

Click Here
CWA Economic Justice and Democracy

Act Now!

Tell Congress to pass Paid Sick and Family Leave for ALL workers NOW!  To complete the form, click here.

We need Protective Equipment Now - Healthcare and other essential workers are on the front line of the COVID-19 crisis.  You can take action by signing the petition, click here.

Contact Elected Officials!
Important Links
CWA
CWA District 2-13
National AFL-CIO
Union Plus
Union Built PC
DotComPrinting.inc
Newsletter Sign-up
Sign-up for newsletter & email updates
Blog Topics
General
 
 
Communications Workers of America Local 2336
Copyright © 2021, All Rights Reserved.
Powered By UnionActive™
Visit Unions-America.com!

Top of Page image