November 15, 2013

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Article

Frontier Communications to Open Utah County Customer Service Center

Press Release

November 15, 2013

Salt Lake City — The Governor’s Office of Economic Development (GOED) and Frontier Communications Corporation have announced that a customer service center focused on the company’s Frontier Secure suite of products and services will come to Utah County in 2014.

Frontier Communications currently has 13,900 employees. Operating in 27 states, including Utah, the company provides broadband, voice, satellite video, satellite broadband, wireless Internet data access, data security solutions, bundled offerings and specialized bundles for small business and home offices. It also provides advanced business communications for medium and large businesses.

“Our expansion in Utah will offer premium customer support of all things digital for consumers and small businesses. Making digital life easier, safer and more productive is key to improving the economic health of this great state and our nation,” said Kelly Morgan, vice president and general manager of Frontier Secure.

Over the life of its 10-year agreement with the state, Frontier Communications expects to create 550 new jobs and pay more than $245 million in new state wages. Positions at the new operation are expected to pay at least 125 percent of the average Utah County annual wage, including benefits. Managers and associate positions will comprise much of the hiring.

Frontier expects to invest approximately $7 million in capital to build the new facility in Utah and to pay approximately $10.9 million in new state taxes over 10 years.

As part of its agreement with Frontier Communications, the GOED Board of Directors approved a maximum cap tax credit of $2,182,912 in the form of a post-performance Economic Development Tax Increment Finance (EDTIF) incentive, which is 20 percent of the net taxes Frontier Communications will pay over the life of the agreement. As Frontier meets the annual criteria in its contract with the state, each year it will earn a portion of the tax credit incentive.

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