CHARLOTTE, NC – April 9, 2013 — FairPoint Communications, Inc. (NasdaqCM: FRP), a leading communications provider in northern New England, today announced it plans to eliminate approximately 90 positions across Maine, New Hampshire and Vermont over the next several months in accordance with the collective bargaining agreement.
These reductions are in addition to the elimination of over 30 management positions across the company last month.
“We are adjusting our workforce to remain competitive in our market and to further position FairPoint for success,” said Greg Castle, executive vice president of human resources.
FairPoint expects the reduction in force to result in annualized operating expense savings of approximately $11 million, with the full benefit realized in 2014.
The company expects to provide severance or incentive payments to eligible affected employees. The total amount of such payments is expected to be $5 to $8 million.
FairPoint currently has approximately 3,300 employees across 17 states.
