Yesterday was, of course, the day before Thanksgiving, which is notorious for being a day when companies release things they’d actually rather not talk about much. It was no different this year in telecom and data, let’s look at the news and try not to cringe.
Qwest may have finally settled its shareholder lawsuit from the bubble days. Late Wednesday they announced that a $445M deal was approved by a federal judge in Denver. They thought they settled this a few times already, but appeals from former CEO Joseph Nacchio kept it up in the air. Everyone seems to be happy now, but I don’t blame Qwest for hoping this one generates little press. They must be really tired of the whole thing by now.
In an SEC filing, Limelight (LLNW) and its CEO have renegotiated his compensation package, a phenomenon that often seems magnetically attracted to holiday weekends. It appears that he agreed to let some out of the money options be canceled, and was rewarded with about 500k restricted shares worth about $1.3M at today’s price that vest over the next few years depending on financial performance of the company. Quite a payday, even if it is tied to performance. I wonder what the metrics are…
And last but not least, Level 3 Communications’ (LVLT) Business Markets division has a new leader. Jeff Tench has taken over leadership of the group. I’ve watched him on a few LightReading video interviews and I liked what I saw, he seems to be an up and coming executive at the company. But of course, this move comes because the former head of the division, Raouf Abdel, has left. And I don’t think it’s any surprise why, the division has struggled for a long time. Integration or no integration, it just wasn’t working. Good luck to Jeff, it’s a tough time to take the reins anywhere these days.
If you haven't already, please take our Reader Survey! Just 3 questions to help us better understand who is reading Telecom Ramblings so we can serve you better!Categories: Content Distribution · Financials · Internet Backbones