BellSouth plans to take a $100 million charge as a result of damage done to its infrastructure by Hurricane Katrina in Louisiana, Alabama and Mississippi.
In a regulatory filing with the SEC, BellSouth said the “impairment” charge is subject to change. It had originally estimated damage as between $400-$600 million.
“Since that time, full damage assessments have not been completed as access to certain areas remains limited,” the company said. “This estimate is subject to many uncertainties, the most significant of which include completion of physical surveys, the government’s specific plans for reconstruction of the City of New Orleans and the resulting impact on our network design.”
BellSouth added that it has insurance with a deductible of $60 million.
BellSouth: www.bellsouth.com
