FairPoint Communications 2011 Annual Report Download - page 49
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Table of Contents
Voice services $531,623 50% $581,653 52%
Access 381,089 36% 380,502 34%
Data and Internet services 110,223 10% 109,942 10%
Other services 48,051 4% 46,993 4%
Total $1,070,986 100% $1,119,090 100%
The following table summarizes access line equivalents (including voice access lines and HSD lines, which include DSL, wireless broadband, cable
modem and fiber-to-the-premises) as of December 31, 2011, 2010 and 2009:
Residential access lines 645,453 712,591 802,668
Business access lines 311,241 327,812 357,605
Wholesale access lines(1) 76,065 87,142 97,161
Total switched access lines 1,032,759 1,127,545 1,257,434
HSD subscribers 314,135 289,745 288,542
Total access line equivalents 1,346,894 1,417,290 1,545,976
(1) Wholesale access lines include residential and business resale lines and UNEP lines.
Our operating expenses consist of cost of services and sales, selling, general and administrative expenses, and depreciation and amortization.
• . Cost of services and sales includes the following costs directly attributable to a service or product: salaries and
wages, benefits, materials and supplies, contracted services, network access and transport costs, customer provisioning costs, computer systems
support and cost of products sold. Aggregate customer care costs, which include billing and service provisioning, are allocated between cost of
services and sales and selling, general and administrative expenses.
• . Selling, general and administrative expense includes salaries and wages and benefits not directly
attributable to a service or product, bad debt charges, taxes other than income, advertising and sales commission costs, customer billing, call
center and information technology costs, professional service fees and rent for administrative space. Also included in selling, general and
administrative expenses are non-cash expenses related to stock based compensation. Stock based compensation consists of compensation charges
incurred in connection with the employee stock options, stock units and non-vested restricted stock granted to executive officers, other employees
and directors.
• . Depreciation and amortization includes depreciation of our communications network and equipment and
amortization of intangible assets.
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