Dear Source:
Teléfonos de México (TELMEX) and its sister company América Móvil are waiting clearance from the U.S. regulator the FCC to purchase a 52% interest in Puerto Rico Telephone for $939 million. This purchase is expected by the end of March of 2007. Puerto Rico Telephone has over 1,112,000 telephone lines. They have 5800 employees and their annual average compensation including benefits is over $52,000.
Hmmm, let's see–if we take the local Virgin Islands telephone company's roughly 71,000 telephone lines and apply the same value being paid per phone line to Puerto Rico Telephone I get about a little over $115 million.
Would someone, anyone, please enlighten me, more so the GERS, as to why our local telephone company is worth some $600 million dollars.
Robert Schuster
St. Croix
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