5. Lowell McAdam President & CEO Ivan G. Seidenberg Chairman and Chief Executive Officer Organizational Chart (Current) Richard J. Lynch Executive Vice President & Chief Technology Officer Dennis F. Strigl President and Chief Operating Officer William P. Barr Executive Vice President & General Counsel John W. Diercksen Executive Vice President – Strategy, Development & Planning Shaygan Kheradpir Executive Vice President & Chief Information Officer Marc C. Reed Executive Vice President - Human Resources John G. Stratton Executive Vice President & Chief Marketing Officer Thomas J. Tauke Executive Vice President – Public Affairs, Policy & Communications Doreen A. Toben Executive Vice President and Chief Financial Officer John F. Killian President – Verizon Business Daniel S. Mead President – Verizon Services Operations Virginia P. Ruesterholz President – Verizon Telecom Thomas A. Bartlett Senior Vice President and Controller Marianne Drost Senior Vice President - Deputy General Counsel & Corporate Secretary Ronald H. Lataille Senior Vice President - Investor Relations Kathleen H. Leidheiser Senior Vice President - Internal Auditing Catherine T. Webster Senior Vice President and Treasurer
6.
7.
8.
9. Vision Statement (Actual) “ For our Core Goals, we decided on just one: To create the most respected brand in communications.”
10. Vision Statement (Proposed) “ For our Core Goals, we decided on just one: To create the most respected brand in communications through latest technological innovations in products paired with excellent customer service.”
12. Financial Analysis Metric Verizon AT&T Qwest Industry Earnings per Share (TTM - Diluted) 1.96 2.06 1.49 1.67* Price / Earnings Ratio (TTM - as of 6/30/2008) 17.48 15.93 2.52 17.25 EBITDA (TTM in billions) 31.51 42.58 4.61 9.09* Share Price Performance (Prior 12 Months) -14.9% -18.6% -60.2% -31.1%** ROE 11.44 11.11 n/a 10.24 Leaders are in bold * Average of ten largest companies (by market cap) in industry ** iShares Dow Jones US Telecom Sector ETF
2000 – Bell Atlantic and Vodafone combine U.S. wireless operations to form Verizon Wireless Jun 2000 – Verizon Communications Inc. formed with merger of Bell Atlantic Corp. and GTE Corp to become the number one communications provider. 2004 – Verizon embarks on next generation broadband services (EV-DO, FiOS) Dec 2005 – Acquired competitor MCI Inc. 4 2005 – Verizon becomes first wireless provider to offer a nationwide broadband service 2005 – Wins Frost & Sullivan’s Product Innovation Award 5 2006 – 2007 – Invested $34.6 billion to maintain, upgrade, and expand its technology infrastructure
Headquartered in New York, New York Major Operations Hub at former headquarters in Basking Ridge, New Jersey 2007 Total Operating Revenue of $93.5 billion Employs nearly 235,000 employees Serving customers in over 140 countries Largest wireless and fixed-line service provider Serving 66 million customers in U.S. and Europe Operates three business units Verizon Wireless Wireline Verizon Telecom: Deployment of broadband and video network FiOS Network Verizon Business Former MCI operations; serves businesses and government customers
Services Voice and Data VoIP “VoiceWing” FiOS / Broadband FiOS TV Info./Dir. Publishing Yellow Pages Products Handsets Discontinued do to manufacturing pricing issues; bargaining power of manufactures. Accessories Caller ID Answering Machines Headsets Battery Packs Cases Chargers Etc. Calling Cards Phone-In-Cards Able to call anyone in world from own home
WHY: (REGUARDING NEXT SLIDE) Should… be Narrowed/More focused Explain their positioning Be proud of their success Create excitement
WHY: (REGUARDING NEXT SLIDE) Should stress innovation… Creates barriers to entry Not easily replicated Creates value/utility Neglects to mention any attempt at customer service.
Verizon Communications Bring Fiber into the Home FiOS - Create competitive advantage - Pushing advanced services - FiOS TV - VoIP “VoiceWing” Customer Service for the Digital Age CEO Ivan Seidenberg quoted recently in their 2007 Annual Report: “ No one in our industry has cracked the code on customer service for the digital age. Verizon can be the company that does that, and we are attacking this mission with the same kind of consistency, clarity and accountability that we have exhibited in achieving our other performance objectives.” Verizon Wireless Create an Open Network - Any cellular phone will be able to use the Verizon network - Expands market share - Creates huge value/utility Expand Coverage Area Alltel Merger
Reference by personal interview to Verizon employee
![Presentation panel ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]](data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///yH5BAEAAAAALAAAAAABAAEAAAIBRAA7)