Eircom in credit event - the end or a new beginnning?

On March 14 Eircom rejected a cash offer of $2.2Bn for the company.

Today they default on a small part of their very large debt.

So where next for the company that owns the telecoms infrastructure or our smart economy?
How long before they go into examinership, will they make it to the end of the month?

I am not so worried about the company itself, it has become almost irrelevant as its products and services are poor and very few people rely on fixed line services anymore.

However, as far as i know, it still owns the infrastructure on which the other operators provide their services. So this could be a big problem.

Surprised this hasnt had more traction.

Do they still have a lot of employees?

According to wikipedia it has 6,073 employes.

also from Wikipedia

siteassets.eircom.net/assets/sta … 2_2012.pdf
siteassets.eircom.net/assets/sta … _02_12.pdf

Do/Did Eircom own both eMobile and Meteor?
If so, where does that leave both of these companies

For sale

Not really surprised by Eircom’s current situation. As a former employee (from around 5 years ago) the problems within the company were obvious and it was only a matter of time before this day arrived.

I’m a meteor customer and there’s not much wrong with the service. I’m interested to see who buys it. I have about 6 months left on my contract.

Other than the customer service right?
And the iPhone (incompatible SIM issued as standard) service
And the the over-billing (even after pointing out every month that I’m not on that plan) service
And the roaming (isn’t enabled for new customers but you won’t find out until stranded abroad) service
And the we can’t unlock your phone (even though it’s paid for) service

I’m getting 200 mins , 200 texts, and a gig of data from them for €15 a month, so I couldn’t give a rats about the deficiencies :wink:

Thought I was the only one! Exactly the same for me.

Often the only way to get your discount applied by eircom is if you send off a Formal Complaint with a bill for your time attached as well as the demand they fix the problem.

Formal Complaints are different to normal complaints and are supposed to be resolved within 5 working days. When you email a Formal Complaint make sure you cc Comreg by email on info@comreg.ie

See Page 3

secure.emobile.ie/assets/static … onduct.pdf

Good deal. Was that SIM only by any chance?

Hard to see them subsidising a decent handset on that amount of money. I’ve got a Galaxy Ace on a similar deal but it’s €20 per month and the handset cost €79 up front

Eircom CEO to step down


I predict Sale Ageed on at least Meteor, if not the whole carcass, by next week.

what ever happened to the Singaporeans?

The Singaporeans legged it at Christmas. The senior bondholders have been shadow directors ever since.


We’re number 1!

The O’Reillys, awntrupinners par extraordinarie…

Eircom experts…

How much did we get for it? What was it returning by way of dividend to the exchequer before the floatation? How big was the pension deficit?

Can anyone net that off against the opportunity cost of having more control of the telecoms infrastructure over the last number of years?

Listen, they propose to write the debt down to around €2.1bn which will not leave them with enough cash to invest + service the debt.

Anyway the €2.1bn debt is supposed to be paid in full in one go 2017 ( that was supposed to be 2014 before therefore a 3 year pushback on maturity is arranged) and that by refinancing and inevitably at a much higher interest rate in 2017.

As they will not have enough cash to hand to invest meaningfully and cover the debt there is no doubt to my mind that eircom will be back in examinership again and looking to halve the remaining debt…probably around 2014 or 2015.

Watch them CDOs on the new debt soar back into the stratosphere starting in 100 days. :frowning:

The only good news is the unions are out of the boardroom, for ever. :slight_smile:

This is coming back on to the taxpayer, isn’t it?