Cinci Bell collects profit, freezes management pay

Independent telco Cincinnati Bell last week reported a $34.9 million profit for the fourth quarter of 2008, and a $92.9 million profit for the full year, but still decided it will freeze management salaries and pension benefits for current management employees.

The telco reported a 1 percent drop in fourth quarter revenue to about $356.8 million, but was helped to the strong profit by a tax settlment and the absence of restructuring charges that caused a net loss in the fourth quarter of 2007. Cincinnati Bell also showed a 5 precent increase in DSL subscribers to 233,000.

The earnings report came a few days after the company announced that its Cincinnati Bell Technology Solutions unit had acquired Virtual Blocks, the Toronto-based software firm that Cincinnati Bell had partnered with on a data center virtualization project. The deal follows a handful of other intriguing acquisitions made by Cincinnati Bell in the last couple of years, and gives the company a horse in a very hot market.

For more:
Forbes has this Associated Press story
The Cincinnati Enquirer covers the freeze 
The Cincinnati Business Courier has the aquisition story

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