telecom@eecs.nwu.edu (TELECOM Moderator) (02/26/90)
Puerto Rico governor Rafael Hernandez Colon has announced that the Puerto Rico Telephone Company is for sale. He wants a minimum of $2 billion for the company, or best offer above that point. The money will be used to pay for education reforms and development on the Caribbean island. Acccording to the governor, Puerto Rico Telephone is the only company on the island which 'has enough value' to generate the money needed to revamp Puerto Rico's school system and the island's infrastructure. Long ago, the telephone company there had been privately owned; the government bought it for $165 million in 1974 when it had been almost totally abandoned and was in disarray with only 300,000 working telephone lines. By careful nurturing, the company grew, and prospered. PR Telephone made $70 million in net income in 1989, and now accounts for 1 million telephones in this U.S. Commonwealth of 3.3 million people. Thus far, no one has shown an active interest in purchasing Puerto Rico Telephone, but the offer is still open. For more information, or to make an offer, contact the governor's office. Patrick Townson