Fairpoint executives in a conference call with investors recently put a brave face on their situation according to newspaper reports;

FairPoint lost fewer customers in the first three months of 2009 than Verizon did while operating the same system in the first three months of 2008.

The attitude that “it is not as bad as we thought” or “it could have been worse” is fast becoming the corporate catch all excuse for poor performance. Fairpoint Communication’s switchover of services from Verizon began in January after some delays. For months FairPoint has been plagued by service, billing and equipment troubles .In late January they reneged on an a union job agreement .The states of Maine, Vermont and New Hampshire have talked of imposing performance related fines on the company.

FairPoint executives also said Wednesday they expect to receive a large chunk of the stimulus money slated for rural broadband deployment. FairPoint has not only pledged to expand broadband to rural areas, but is obligated to do so by regulatory agreements with all three states. Many of the projects are “shovel ready,” the company said. “We are kind of the poster child for the stimulus funds and what they’re intended to do,” CEO Eugene Johnson said. “And we’re ready to go.”

This company lost nine million dollars in three months and gives out more than $100,000 in performance -based [!] bonuses. Poor customer service delays and outages for three months, and they will be getting a big chunk of stimulus money for broadband  .It is an impressive three month premiere of how the company that may  run the backbone of Vermont’s broadband infrastructure operates.

News of  the performance- based bonuses and a 30% raise were not mentioned along with the investor conference call story

The two top executives at troubled FairPoint Communications customers received performance-based bonuses recently at roughly the same time that the company was being lambasted over its poorly-executed system cutover in New England. Fair Point’s poor response to cutover problems related to the operational transition of former Verizon landline properties drew the ire of customers and regulators alike, but two company execs were still given more than $100,000 in bonuses.

FairPoint Chairman and CEO Gene Johnson received an $83,862 bonus and a 30 percent raise in 2008, according to an SEC filing, while FairPoint President Peter Nixon accepted a $50,000 bonus. Other executives also were reported to have received

raises.  

http://www.nashuatelegraph.com…

http://www.fiercetelecom.com/s…

Relax,it concerns proprietary information and hydro fracturing . Last winter I ran up against a puzzle when trying to find out what exactly the oatmeal like slurry spread on roads by the Vermont State Highway Dept as an ice melting agent contained .Recently I came across a press release about a company that has been nominated to win a small business award in Massachusetts .The company’s name was Dirt Glue .Intrigued by that name and concept I checked out the website. I found that this business supplies a product that stabilizes soil, potholes and prevents dust from forming on construction sites and livestock areas. Dirt Glue! Great name, great concept.  But try to find what the stuff might contain.

These products may be perfectly safe; but it is difficult to find out with clarity what they are made with. The common factor here is proprietary information, genuine real life secret formulas. Allegedly competitors would have an unfair advantage if the ingredients were publicly known. (Oddly a similar argument for secrecy is being made against making public the amount of research funding the pharmaceutical industry gives to doctors and public institutions.) This story below is directly related to Dirt Glue and road slurry only by the fact that it involves secrecy and public safety .In a process called hydro fracturing chemicals are pumped into the ground to release “trapped” oil and natural gas .Bush -era changes to the clean water act exempted this process from some federal regulations .Near a drilling operation in Louisiana cows have died and local EPA officials grant industry an awful lot of leeway.

ProPublica reports sixteen cattle dropped dead in a northwestern Louisiana field this week after apparently drinking from a mysterious fluid adjacent to a natural gas drilling rig, according to Louisiana’s Department of Environmental Quality and a report in the Shreveport Times. At least one worker told the newspaper that the fluids, which witnesses described as green and spewing into the air near the drilling derrick, were used for a drilling process called hydraulic fracturing. But the company, Chesepeake Energy, has not identified exactly what chemicals are in those fluids and is insisting to state regulators that no spill occurred.

The problem is that both Chesapeake and its contractor doing the work Schlumberger, say that a lot of these fluids are proprietary, said Otis Randle, regional manager for the DEQ. “It can be an obstacle, but we try to be fair to everybody,” he said. “We try to remember that the products they use are theirs and they need them to make a living.”

http://www.propublica.org/special/hydraulic-fracturing-national

http://www.propublica.org/arti…

http://www.shreveporttimes.com…

Hydraulic fracturing — a process in which water, sand and chemicals are pumped deep underground at high pressure to break rock and release natural gas — is controversial because of the secrecy surrounding the fluids and because the process is exempted from protections of the Safe Drinking Water Act and thus from regulation by the Environmental Protection Agency. Congress is currently considering legislation to address these issues out of concern that fracturing, and the fluids and waste that are part of the process, may be contaminating drinking water in several states.

Scientists at the EPA and the U.S. Geological Survey have told ProPublica that it’s difficult for them to assess the environmental risks posed by hydraulic fracturing chemicals because the companies that use them won’t release the exact names and cursory medical advice for workers exposed to the chemical  and the amounts of the chemicals. The energy service companies, including Halliburton and Schlumberger, say that disclosing that information would put them at a competitive disadvantage, and they insist the fluids are safe. Some information about the materials is made available through Material Safety Data Sheets, which can provide  cursory medical advice for workers exposed to the chemicals.

Sixth anniversary

Shall we take a moment to revel in the past glories of the Bush years ?

May 1 2003

“This is the formalization that tells everybody we’re not engaged in combat anymore, we’re prepared for getting out” a senior administration official said.

In a less publicized incident, Rumsfeld also declared an end to major combat operations in Afghanistan  on May 1, a few hours before President Bush’s announcement.

http://www.cnn.com/2003/WORLD/…

http://www.editorandpublisher….

(To paraphrase the song: “Ho-o-ope-less, ho-o-ope-less, Ho-opeless.” Though maybe the original refrain (Helpless) works too. – promoted by NanuqFC)

 Lt.Gov. Brian Dubie comments yesterday on his personal role in flu preparations .

“As an airline captain, I was given guidance that said if I detected flu like symptoms on my passengers I was supposed to make sure they didn’t get on the airplane, which is a little problematic from the reality standpoint.  I said yeah, right, I’m going to interview 150 people…”

The advisory group represents local, state and federal officials and it’s designed to coordinate response to terrorism and other threats.  

He has according to news reports  made a specialty of emergency preparedness because of his role in the Air Force Reserve and his experience lending a hand following the attacks of Sept. 11.

http://www.vpr.net/news_detail…

 Vermont’s pharmaceutical marketing reporting laws have gotten tougher but if the law allows the pharmaceutical industry to keep secret limited information, such as donations to support academic research how complete is it? Making public the amount and methods of donations to support academic research is a very large part of the funding puzzle disclosure. The trade secret provision is said to shield about 80 percent of the information on these relationships. Explaining how much drug industry money flows to medical universities and institutions would show consumers how and why drugs studies are managed the way they are. A British Medical Journal article from 2003 reviewed 30 studies published in journals and found that a  “systematic bias favors products which are made by the company funding the research,”and the pharmaceutical company Wyeth was just exposed for paying ghostwriters to publish journal articles.

Vermont Attorney General Sorrel says of the research reporting loop hole,from the documents he has seen the marketing budgets for the pharmaceutical companies “dwarf” their research and development budgets.” The law is really on the companies’ side right now,”

Governor Douglas commented about his view of opening this area to sunlight.

He expressed support for the bill (with the exclusion of research reporting) during his weekly Statehouse press conference this week – as long as the bill doesn’t interfere with Vermont’s growing biotechnology sector.

Curiously he added “As a general rule, the more disclosure the better,”

Suggested follow-up question for Gov. Jim: “In what way might funding disclosure interfere with Vermont’s new growing biotech sector?

http://www.timesargus.com/arti…

The Red Dwarf TV show featured the ships main computer controller Holly repeating over and over in an emotionless voice “Emergency,we’re having an emergency ,we’re having an emergency ! It’s still going on ,emergency!”

The constant news of Vermont Yankee problems in the face of the NRC’s high marks given to the plant have that unanswered alarm quality.No end appears in sight,it’s still going on .Think also of last week’s proposal by Governor Douglas to abolish state nuclear safety planners jobs. Entergy’s aging power plant with “human performance”  issues and equipment problems (two radioactive leaks in six months was it ?) is an accident in waiting. A false reading or alarm could lead to an inappropriate or unnecessary response. Per usual, no problem at all according the NRC official .

“This does not rise to the level of safety,” said NRC spokesman Neil Sheehan, but said the “false alarm” triggered an emergency response closing valves to contain the increased levels of radiation.

“They got a signal that there was a spike in radiation, and it shut the valves. What’s important is they had all these valves close,”

In actuality, Sheehan said, there was no increase in radiation.

The radiation alarm problem was not mentioned last week when the NRC officials were in the state to go over Vermont Yankee’s annual assessment, which gave the Vernon reactor high marks.

Sheehan said he was not sure the problem was not discussed.

http://www.rutlandherald.com/a…

My own feeling about the Bush White House is that the fish rotted from the head down,but what about those just following orders ?

A newly unclassified Senate report on the US government’s treatment of terrorism suspects vindicates enlisted soldiers prosecuted for the abuse of inmates Abu Ghraib prison in Iraq , a lawyer for one of the soldiers and a US senator said today.

Texas-based lawyer Guy Womack, who defended specialist Charles Graner, said he plans to seek a presidential pardon for his client. Graner was in 2005 sentenced to 10 years in a military prison on charges of conspiracy, dereliction of duty, maltreatment of detainees and other counts.

http://www.guardian.co.uk/worl…

( – promoted by odum)

Sorry for this overworked quote but here it fits.“My goal is to cut government in half in twenty-five years, to get it down to the size where we can drown it in the bathtub.” (Grover Norquist).

Governor Jim Douglas has now targeted positions for elimination which cost the state no money. Its part of a “merger and consolidation” plan of some kind.The Public Safety Commissioner claims the latest elimination of nuclear safety personnel will not harm public safety but provides no prove other than his assurance of  trust me. With Entergy’s aging Vermont Yankee plant sitting in the Southern part of state leaking and rusting this seems the height of foolishness.

No explanation is offered about how a no-cost-to-the-state job’s elimination will save the state money. The positions are funded by the owners of Vermont Yankee. Once again a zig, a zag, an artful smoke and mirrors flourish followed by the elimination of some state jobs and a favor to Entergy in the mix. Douglas is in the tub.

Gov. James Douglas says the layoffs are needed to save $17 million in General Fund expenses. However, the radiological-preparedness position held by Jaclyn Harman – one of two state workers identified for potential elimination at the Department of Public Safety’s 21-person Vermont Emergency Management division – is paid for entirely from a special reserve funded by the owners of the nuclear plant.

Public Safety Commissioner Thomas Tremblay confirmed that no General Fund dollars are used for Harman’s job. However, he said the elimination of Harman’s position would be part of a larger “merger and consolidation” plan that might save General Fund money

http://www.timesargus.com/arti…

Too big too fail, but not too small to notice a little blog. Investment giant Goldman Sachs has filed a cease and desist order against a blog website  for using the Goldman Sachs name on its site. Goldman Sachs received billions in troubled asset bailout money months ago and  now hopes it may be in a position to return the funds if the conditions are right. They also received money through the AIG bailout program.Intellectual property rights also must figure high in their priorities.After all we did for them .

The bank has instructed a Wall Street law firm  to pursue  blogger Mike Morgan, warning him in a recent cease-and-desist letter that he may face legal action if he does not close down his website.

Florida-based Mr. Morgan began a blog entitled “Facts about Goldman Sachs” – the web address for which is  goldmansachs666  just a few weeks ago. According to Chadbourne & Parke’s letter, dated April 8, the bank is rattled because the site “violates several of Goldman Sachs’ intellectual property rights” and also “implies a relationship” with the bank itself.

Check out the website to judge for yourself if it might be confused with a Goldman  Sachs endeavor. Here from the blog itself http://www.goldmansachs666.com… “I have started the website to reveal the extent of Goldman Sachs’ part in the current financial crisis gripping the world.”

“We always act to protect our firm,” a Goldman spokesperson said in a statement sent to The Am Law Daily later in the day Tuesday. “This is not about Mr. Morgan’s rights to express his views; it is about his infringement on our trademark.”

http://www.telegraph.co.uk/fin…

http://amlawdaily.typepad.com/…

(Oh, yuck. These guys are shameless. – promoted by odum)

A zig, a zag, a job title change,some federal stimulus and poof, a raise for one of Governor Jim’s team.Agency of Transportation John Zicconi’s old title of communication director has been “eliminated.” Artfully done and the only loss is a job title. The old job title was unavailable for comment. Douglas said he was proud of the sacrifice that the old title was making for the state in these difficult times.

Spokesman gets new title, $14,000 raise

John Zicconi, the spokesman for the Agency of Transportation, will now be the Director of Planning, Outreach and Community Affairs.”We decided to have me head that division and eliminate the communication director position,” Zicconi said.

The position is gone but the function remains.

Zicconi said Friday he will keep some of his duties as agency spokesman, but also take over many of the functions of Mel Adams, who was the director of policy and planning. Adams is now working on administering federal stimulus money flowing into the state.

Mel Adams, at an earlier Federal Stimulus seminar in March said “. . . that the goal of the federal funds was to create jobs as quickly as possible.”

http://www.timesargus.com/arti…

http://www.rutlandherald.com/a…