Frontier Communications 2008 Annual Report Download - page 54

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REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
The Board of Directors and Shareholders
Frontier Communications Corporation:
We have audited the accompanying consolidated balance sheets of Frontier Communications Corporation
and subsidiaries as of December 31, 2008 and 2007, and the related consolidated statements of operations,
shareholders’ equity, comprehensive income and cash flows for each of the years in the three-year period ended
December 31, 2008. These consolidated financial statements are the responsibility of the Company’s
management. Our responsibility is to express an opinion on these consolidated financial statements based on
our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight
Board (United States). Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An
audit also includes assessing the accounting principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable
basis for our opinion.
In our opinion, the consolidated financial statements referred to above present fairly, in all material
respects, the financial position of Frontier Communications Corporation and subsidiaries as of December 31,
2008 and 2007 and the results of their operations and their cash flows for each of the years in the three-year
period ended December 31, 2008, in conformity with U.S. generally accepted accounting principles.
As discussed in Note 18 to the accompanying consolidated financial statements, the Company adopted the
recognition and disclosure provisions of FASB Interpretation No. 48, “Accounting for Uncertainty in Income
Taxes” as of January 1, 2007. As discussed in Note 5, effective January 1, 2006, the Company adopted Staff
Accounting Bulletin No. 108, “Considering the Effects of Prior Year Misstatements when Quantifying
Misstatements in Current Year Financial Statements.” Also, as discussed in Note 23, the Company adopted the
recognition and disclosure provisions of Statement of Financial Accounting Standards No. 158, “Employers’
Accounting for Defined Benefit Pension and Other Postretirement Plans” as of December 31, 2006.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight
Board (United States), Frontier Communications Corporation’s internal control over financial reporting as of
December 31, 2008, based on criteria established in Internal Control-Integrated Framework issued by the
Committee of Sponsoring Organizations of the Treadway Commission (COSO), and our report dated February
26, 2009 expressed an unqualified opinion on the effectiveness of the Company’s internal control over financial
reporting.
/s/ KPMG LLP
Stamford, Connecticut
February 26, 2009
F-3