EarthLink is evaluating strategic alternatives for its municipal wireless business, including the possible sale or shut down of the operations. The company said the net book value of the assets attributable to its municipal wireless business is approximately $40 million.
“After thorough review and analysis of our municipal wireless business we have decided that making significant further investments in this business could be inconsistent with our objective of maximizing shareholder value,” said Rolla P. Huff, EarthLink president and CEO.
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- In August 2007, Earthlink announced a corporate restructuring that included the elimination of approximately 900 jobs and the closure of its offices in Orlando, Knoxville, Harrisburg (PA) and San Francisco. The company cited weakness in its subscription based model.