Cable & Wireless Panama Makes $21 Million Dividend Payment to the Goverment of Panama
Tuesday, January 30 2007 @ 03:21 PM UTC
Contributed by: Don Winner
Editor's Comment: Yen years ago under the administration of Panamanian President Ernesto Balladares Panama's national telephone system, formerly known as INTEL, was privatized and Cable & Wireless took over. The funds from the sale went into what amounts to a national bank account which is still there and earning interest. The government of Panama retained 49% of the shares of the company and employees were given 2%. Since then, and no matter what you think of the service level of Cable & Wireless, as someone who was here during the INTEL years, let me tell you that service has improved significantly. Cable & Wireless was given a seven year period of time to consolidate the market, and now other companies can offer residential telephone service. There are several lawsuits in the system with the various players fighting amongst themselves to determine exactly who can do what with which wire or switching system, and all of that will be worked out over time. But in the big picture more choices and greater competition always works out to be a benefit for consumers.