Frontier Communications 2005 Annual Report Download - page 12

10
CITIZENS COMMUNICATIONS COMPANY AND SUBSIDIARIES
SEGMENT INFORMATION
Note 22 to Consolidated Financial Statements provides financial information about our industry segments,
Frontier and ELI, for the last three fiscal years.
FINANCIAL INFORMATION ABOUT FOREIGN AND DOMESTIC OPERATIONS AND EXPORT
SALES
We have no foreign operations.
GENERAL
Order backlog is not a significant consideration in our businesses. We have no material contracts or subcontracts
that may be subject to renegotiation of profits or termination at the election of the Federal government. We hold no
patents, licenses or concessions that are material.
EMPLOYEES
As of December 31, 2005, we had 6,103 employees, 5,644 of whom were associated with Frontier operations
and 459 were associated with ELI. At December 31, 2005, the total number of our employees affiliated with a union
was 3,302, of which approximately 1,400 are covered by agreements set to expire during 2006. We consider our
relations with our employees to be good.
AVAILABLE INFORMATION
We make available on our website, free of charge, the periodic reports that we file with or furnish to the
Securities and Exchange Commission, or SEC, as well as all amendments to these reports, as soon as reasonably
practicable after such reports are filed with or furnished to the SEC. We also make available on our website, or in
printed form upon request, free of charge, our Corporate Governance Guidelines, Code of Business Conduct and
Ethics, and the charters for the Audit, Compensation, and Nominating and Corporate Governance committees of the
Board of Directors. Stockholders may request printed copies of these materials by writing to: 3 High Ridge Park,
Stamford, Connecticut 06905 Attention: Corporate Secretary. Our website address is http://www.czn.net.
ITEM 1A. RISK FACTORS
Before you invest in our securities, you should carefully consider all the information we have included or
incorporated by reference in this Form 10-K and our subsequent periodic filings with the SEC. In particular, you
should carefully consider the risk factors described below and read the risks and uncertainties related to “forward-
looking statements” as set forth in the “Management’s Discussion and Analysis of Financial Condition and Results
of Operations” section of this Form 10-K. The risks and uncertainties described below are not the only ones facing
our company. Additional risks and uncertainties that are not presently known to us or that we currently deem
immaterial or that are not specific to us, such as general economic conditions, may also adversely affect our business
and operations.
RISKS RELATED TO COMPETITION AND OUR INDUSTRY
We face intense competition, which could adversely affect us.
The telecommunications industry is extremely competitive and competition is increasing. The traditional
dividing lines between long distance, local, wireless, cable and internet services are becoming increasingly blurred.
Through mergers and various service expansion strategies, services providers are striving to provide integrated
solutions both within and across geographic markets. Our competitors include CLECs and other providers (or
potential providers) of services, such as internet service providers, or ISPs, wireless companies, neighboring
incumbents, VOIP providers such as Vonage and cable companies that may provide services competitive with ours
or services that we intend to introduce. Competition is intense and increasing and we cannot assure you that we will
be able to compete effectively. For example, at December 31, 2005 we had 102,000 fewer access lines than we had
at December 31, 2004 and we believe wireless and cable telephony providers have increased their market share in our
markets. We expect to continue to lose access lines and that competition with respect to all our products and services
will increase.