PAETEC Holding Corp. (NASDAQ GS: PAET) announced today that it has signed a definitive agreement to acquire Allworx Corp., a privately held company, in a $25 million all-cash acquisition. Allworx develops, designs, markets, and sells a complete phone and network system. Upon the closing of this acquisition, PAETEC will add a subsidiary with manufacturing, distribution, and software and digital hardware engineering services that are designed to benefit small and medium-sized businesses. The transaction is subject to customary closing conditions and is expected to be completed in October 2007. Read the rest of this entry »
TelePacific Communications, a leading provider of business telecommunications network solutions, today announced that the company has expanded its service territory to include Reno, Nevada. The expansion means TelePacific now provides service to every major metropolitan area in Nevada and California. Read the rest of this entry »
Verizon Business is offering wholesale customers an additional pricing option that provides a detailed breakdown of the rates that are used to calculate the customers’ monthly bills for Verizon Business’ network services.
The new pricing option, Operating Company Number (OCN)-Based Billing, provides rates based on the underlying local exchange carrier (LEC) and geographic region for delivering voice and IP calls over the Verizon Business global network. This enables wholesale customers to better manage costs. Read the rest of this entry »
TelePacific Communications has been named one of Inc. Magazine’s 2007 “Fastest Growing Private Companies in America.” The rankings are based on TelePacific’s impressive 294.5% revenue growth from 2003 through 2006.TelePacific ranked highly on several category lists, including:
- 39 in the Top 100 Companies nationwide by Dollars of Growth;
- 51 in the Top Companies in Telecommunications by Percent of Growth; and
- 67 in the Top Companies in the Los Angeles area by Percent of Growth.
“Internet has not been designed for viewing videos” according to Mary Turner from Tiscali in the Financial Times. The British public tv station BBC has received a warning from English broadband carriers that the BBC’s new iPlayer is putting too much strain on their network. The carriers treathen to block iPlayer unless the BBC will start paying for the bandwidth used.
Though streaming videos are not the greatest bandwidth-eaters. According to research by CacheLogic (2007) it is peer-to-peer transfers that are responsible for over 60% of all bandwidth consumption.
- Revenue of $274.5 million, which represented an 89% increase over second quarter 2006 revenue of $145.6 million;
- Adjusted EBITDA* of $52.5 million, which represented a 109% increase over second quarter 2006 adjusted EBITDA of $25.1 million;
- Net income of $6.0 million compared to a $<5.8> million net loss in second quarter 2006;
- Free cash flow* of $31.5 million, which represented the 18th consecutive quarter in which PAETEC Holding or its predecessor generated positive free cash flow;
- Ended the quarter with a cash balance of $84.5 million;
- An increase of 141% in the number of access line equivalents in service, from 1.10 million as of June 30, 2006 to 2.65 million as of June 30, 2007; and
- Successful completion on July 10, 2007 of amendments to PAETEC’s existing bank credit facility and a $300 million senior note offering priced at the end of the quarter.
- Consolidated revenue grew 19 percent year over year to $547 million.
- Sales order volume for “invest and grow” hit all time high of $4.8 million in May.
- Adjusted cash EBITDA improved to $8 million in the second quarter.
- Company’s cost-cutting initiatives expected to yield close to $40 million per annum savings.