Adelphia hooks up with East coast cable firm
By Reuters
Special to CNET News.com
April 12, 1999, 3:40 p.m. PT
Cable television operator Adelphia Communications said today it will
buy Harron Communications' cable systems for $1.17 billion, expanding the cable firm's coverage of New England and the Philadelphia area.
The deal is Adelphia's second major acquisition in five weeks. In early March, the company agreed to acquire Century Communications for $5.2 billion in stock and cash.
With recently announced acquisitions, Adelphia said it will become the
fourth-largest cable TV operator in the United States with about 5 million subscribers.
When the deal closes, expected early in 2000, Harron should have about
300,000 basic subscribers in New England, Pennsylvania, and Michigan, the companies said.
Harron's chief executive Paul Harron said, "Given the convergence of video, voice and data technologies and heightened competitive forces, it is becoming increasingly evident that [cable] consolidation…needs to continue in order to offer customers advanced services and the highest levels of customer service and technical support."
Harron, based outside of Philadelphia in Frazer, Pennsylvania, is expected to post revenue of $139 million and $153 million for the years ended Dec. 31, 1999 and Dec. 31, 2000, respectively.
By comparison, Coudersport, Pennsylvania-based Adelphia reported consolidated revenue of $193 million in the three months ended Dec. 31, the company's fiscal third quarter.
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