Faruqi and Faruqui, LLP Logo
Share this page

Frontier Communications Corporation (FTR)

NASDAQ:FTR

Summary

Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses Exceeding $100,000 In Frontier Communications Corporation To Contact The Firm

Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Frontier Communications Corporation (“Frontier Communications” or the “Company”) (NASDAQ:FTR) of the November 27, 2017 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

If you invested in Frontier Communications stock or options between April 1, 2016, and May 2, 2017 and would like to discuss your legal rights, please fill out the form below.  There is no cost or obligation to you.

You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to rgonnello@faruqilaw.com. 

The lawsuit has been filed in the U.S. District Court for the District of Connecticut on behalf of all those who purchased Frontier Communications securities between April 1, 2016, and May 2, 2017 (the “Class Period”).  The case, Bray v. Frontier Communications Corporation et al, No. 17-cv-01617 was filed on September 26, 2017, and has been assigned to Judge Victor A. Bolden

The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to appropriately disclose the underperformance of the assets obtained through the acquisition of the wireline operations of Verizon Communications, Inc. in California, Florida, and Texas completed on April 1, 2016 (“Verizon Acquisition”).

Specifically, on February 27, 2017, the Company announced disclosed a net loss of $80 million for the fourth quarter of 2016, and stated that its results were impacted by the “resolution of nonpaying acquired CTF accounts,” referring to accounts acquired in the Verizon Acquisition.  CEO Daniel McCarthy elaborated, stating, “Results for the fourth quarter were impacted by our intensified efforts to resolve acquired accounts in California, Texas and Florida that we have determined to be non-paying.”

After the announcement, Frontier Communication’s share price fell from $3.29 per share on February 27, 2017 to a closing price of $2.93 on February 28, 2017—a $0.36 or a 10.94% drop.

Then, on May 2, 2017, the Company reported a first quarter 2017 net loss of $75 million and a year-over-year first quarter revenue decline of $53 million.  CFO Ralph McBride stated that approximately $16 million of the sequential revenue decline was a result of cleanup of CTF non-paying accounts and the automation of legacy non-pay disconnects.  He added that “[t]he CTF account cleanup reduced Q1 revenue by $11 million, and the one-time impact related to automating the non-pay disconnect process for the legacy properties, reduced Q1 revenue by $5 million.”

On this news, Frontier Communication’s share price fell from $1.93 per share on May 2, 2017 to a closing price of $1.62 on May 3, 2017—a $0.32 or a 19.88% drop.

Request Information

Please tell us about yourself by completing the form and we will provide you with additional
information on how to join the Class Action at no cost to you.

  • Case:
    Frontier Communications Corporation (FTR)
  •    

* The submission of this form does not create an attorney-client relationship.

Contact Counsel

Richard W. Gonnello
Faruqi & Faruqi, LLP
685 Third Avenue 26th Floor
New York, NY 10017
Tel: (212) 983-9330

Email:

Case Details

Date:

  • 09/28/2017

Send Information

If you have information regarding this case that you would like to make available, please click here to contact us about our investigation.