The town of Hanover voted last week to approve a deal that would shift all of Adelphia's local cable services to Comcast, making Comcast the new major cable provider in Hanover. Comcast hopes to achieve the transfer by the first quarter of 2006.
The deal, which was announced on April 21 in the aftermath of Adelphia's 2002 bankruptcy, is still in its preliminary stages, but the Board of Selectmen's franchise transfer approval is an important step toward its finalization.
"Comcast, a nationally known TV operator, obviously has the financial and technical capability to seamlessly take over the cable franchise here in Hanover," said Town Manager Julia Griffin, who went on to explain that the company met the Board's legal, technical and financial criteria for the exchange.
Although plans are far from final, initial service and cost will most likely remain the same as under Adelphia. Comcast also hopes to expand upon Adelphia's features to include digital voice service, digital video recorders and on-demand television.
"Comcast has a proven track record of introducing new products rapidly following cable acquisitions, often exceeding customer expectations," Comcast cable spokesperson Marc Goodman said.
Goodman cited Comcast's quick upgrade of service following the company's merger with AT&T Broadband as an example of their successes.
Goodman also noted that since Comcast moved into New England in 2003, the company has put emphasis on hiring locally and working with the community.
Because of Adelphia's bankruptcy, the sale is subject to review by local and federal government officials through the Federal Communications Commission public interest approval process, the Hart-Scott-Rodino antitrust approval process and a bankruptcy court review.
The deal is further complicated by the fact that Comcast will acquire the Hanover business, along with various New England cable services previously held by Adelphia, through Time Warner Cable. Time Warner will purchase Adelphia cable shares throughout the country.
During the public meeting, where the transfer was approved, Griffin voiced her concern that because Comcast will use Time Warner as an intermediary, there is a possibility that the transfer will be denied to Comcast at some other level in the future, leaving Time Warner responsible for cable service in Hanover.
While Gerald Buckley, a representative from Adelphia, said such a situation was possible, he described Time Warner as "an equally good company" and noted that the transition would most likely be gradual.
Agreements between Comcast and Adelphia similar to Hanover's have already been approved all over New Hampshire.
