Verizon
outlines vision of future growth based on network leadership
NEW YORK, Sept. 17, 2015 -- Verizon Communications
Inc. (NYSE, Nasdaq: VZ) sees significant opportunity for future
growth in video and the Internet of Things, enabled by the
company's consistent investment and demonstrated leadership in
wireless and broadband networks.
Speaking at an investor conference here today, Chairman and CEO
Lowell McAdam outlined the broader
vision of the company following recent announcements about its
commitment to 5G wireless deployment, the simplification of
wireless customer pricing, and new wireless video and telematics
products.
Although consumer demand is disrupting Verizon's traditional
business models, McAdam said the company is transforming around the
capabilities of its high-performing networks. He said the goal is
future growth based on delivering what customers want and need in
the new digital world.
While well-positioned for the future, Verizon's full-year 2016
earnings may plateau at 2015 levels as the company manages
near-term impacts. These impacts include the commercial model
change in wireless, year-over-year wireline financial comparisons
following the expected first-half 2016 sale of operations to
Frontier Communications Corp., and the ramp up of new business
models for wireless video and IoT.
With expectations of continued strong cash flow, Verizon
reiterates its capital allocation priorities of network investment,
returning value to shareholders, maintaining a strong balance
sheet, and returning to the company's pre-Vodafone-transaction
credit rating profile in the 2018-2019 timeframe.
A transcript of McAdam's full remarks will be made available
later today at http://www.verizon.com/about/investors/. The company
will issue detailed third-quarter and year-to-date results on
October 20.
Verizon Communications Inc. (NYSE, Nasdaq: VZ), headquartered in
New York, employs a diverse
workforce of 178,500 and generated more than $127 billion in 2014 revenues. Verizon Wireless
operates America's most reliable wireless network, with 109.5
million retail connections nationwide. Verizon also provides
converged communications, information and entertainment services
over America's most advanced fiber-optic network, and delivers
integrated business solutions to customers worldwide. For more
information, visit www.verizon.com/news/.
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Forward-Looking Statements
In this communication we have made forward-looking statements.
These statements are based on our estimates and assumptions and are
subject to risks and uncertainties. Forward-looking statements
include the information concerning our possible or assumed future
results of operations. Forward-looking statements also include
those preceded or followed by the words "anticipates," "believes,"
"estimates," "hopes" or similar expressions. For those statements,
we claim the protection of the safe harbor for forward-looking
statements contained in the Private Securities Litigation Reform
Act of 1995. The following important factors, along with those
discussed in our filings with the Securities and Exchange
Commission (the "SEC"), could affect future results and could cause
those results to differ materially from those expressed in the
forward-looking statements: adverse conditions in the U.S. and
international economies; the effects of competition in the markets
in which we operate; material changes in technology or technology
substitution; disruption of our key suppliers' provisioning of
products or services; changes in the regulatory environment in
which we operate, including any increase in restrictions on our
ability to operate our networks; breaches of network or information
technology security, natural disasters, terrorist attacks or acts
of war or significant litigation and any resulting financial impact
not covered by insurance; our high level of indebtedness; an
adverse change in the ratings afforded our debt securities by
nationally accredited ratings organizations or adverse conditions
in the credit markets affecting the cost, including interest rates,
and/or availability of further financing; material adverse changes
in labor matters, including labor negotiations, and any resulting
financial and/or operational impact; significant increases in
benefit plan costs or lower investment returns on plan assets;
changes in tax laws or treaties, or in their interpretation;
changes in accounting assumptions that regulatory agencies,
including the SEC, may require or that result from changes in the
accounting rules or their application, which could result in an
impact on earnings; and the inability to implement our business
strategies.
SOURCE Verizon Communications Inc.
CONTACT: Bob Varettoni,
908.559.6388, robert.a.varettoni@verizon.com