CenturyLink 2009 Annual Report Download - page 7

peers. Additionally, we are one of the few companies in
our industry with an investment-grade credit rating. Over
the past 15 years, CenturyLink’s total shareholder return
was 197 percent – according to Bloomberg the highest
of all telecommunications companies, nearly four times
the performance of the S&P Telecom Index and higher
than the S&P 500.
Our strong cash flows give us the flexibility to invest in
opportunities that support our value-creating strategies.
We were able to undertake the Embarq acquisition in
the midst of the most turbulent financial markets seen
in a generation. In 2009, we gained additional financial
flexibility by extending our overall debt maturity schedule
through a debt tender offer and the issuance, at very
attractive rates, of 10-year and 30-year unsecured
senior notes. We remain disciplined about our policy
of returning cash to our shareholders without sacrificing
our strong credit profile. Given our strong cash flows,
our Board of Directors approved a 3.6 percent dividend
increase in February 2010, raising our dividend to
$2.90 per share. Going forward, we expect to continue
to have the flexibility to invest in our business or, in
the absence of attractive opportunities, return cash
to our shareholders.
Stronger Connected
While 2009 was an outstanding year for our organization,
we remain well aware of the challenges that lie ahead.
We expect a slow economic recovery to limit growth
opportunities in the near term. We also anticipate
continued regulatory uncertainty as policymakers pursue
regulatory reform and a national broadband plan. For
CenturyLink in particular, we face the challenge of
executing our merger integration plan while maintaining
a clear focus on serving our customers and extending
our broadband leadership in the markets we serve.
These challenges are significant, but I believe that
CenturyLink has many advantages that will drive our
future success. We have a unique national network,
a strong financial position, a proven leadership team
and dedicated employees with a tremendous capacity
for change. I believe we are well-positioned to be the
broadband leader in the markets we serve – connecting
our customers to the people, information and entertain-
ment they want and need. Our vision for CenturyLink is
to improve lives, strengthen businesses and connect
communities by delivering advanced technologies and
solutions with honest and personal service.
In the year ahead, we will continue to work through our
integration plan to achieve the operating savings and
revenue opportunities we have identified. We will keep
our customers at the center of everything we do and
remain focused on delivering long-term value to our
shareholders. We are excited by the growth potential
we see for CenturyLink, and we will work hard to
realize that potential for the benefit of our shareholders,
customers and employees. Thank you for your continued
confidence and support.
Glen F. Post, III
Chief Executive Officer and President
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“Over the past 15 years, CenturyLink’s total shareholder return
was 197 percent – according to Bloomberg the highest of all
telecommunications companies, nearly four times the performance
of the S&P Telecom Index and higher than the S&P 500.”