Verizon Wireless 2014 Annual Report Download - page 8

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Verizon’s investment in on-site green energy lowers our CO2 emissions while reducing the strain on commercial power grids. In the past two years, we’ve
invested $137 million in solar and fuel-cell technologies for cleaner power for our networks and data centers. In addition, Verizon’s products and services are
helping our customers be more energy-ecient and reduce their environmental impact.
EBITDA margin at the corporate level was 34 percent, down
year over year mainly due to extraordinary wireless
volumes in the fourth quarter. Adjusted earnings per share
for the year were $3.35, up 18 percent over 2013, and we
returned $7.8 billion in dividends to shareowners, including
our 8th consecutive dividend increase. Cash flows from
operations totaled $30.6 billion.
There is no question, however, that investor concerns about
the direction of our industry took their toll on our stock
price. Total shareowner return for 2014 declined by 0.6
percent year over year, our first negative return in several
years. We have taken steps early in 2015 to return
additional value to shareowners. In February, we
announced an agreement to sell our wireline properties in
California, Florida and Texas to Frontier Communications
and struck a deal with American Tower Corporation to lease
the rights to a majority of our company-owned wireless
towers. The value of these two deals is $15.5 billion. At the
same time, we announced that we are returning $5 billion
to shareholders through an accelerated share
repurchase program.
These transactions will sharpen our strategic focus on our
core wireless and wireline markets and strengthen our
balance sheet. More important, however, is our rock-solid
conviction that the long-term game will be won by the
company with the best quality networks, the most robust
slate of video and data services, and the cash flows to
invest and participate in the growth markets of the future.
For these reasons, we remain confident in our
long-term financial position and ability to create value
for shareholders.
Culture as competitive advantage
In a challenging year, Verizon proved itself to be an
essential company in the lives of our customers and the
global digital economy. This is thanks in no small part
to our strong, high-performance culture and values based
on the Verizon Credo that give us ballast in this rapidly
transforming industry. We invested more than $380 million
in training, development and tuition assistance in 2014
to hone our employees’ skills and equip them to deliver
Visit verizon.com/about/responsibility/sustainability/ to learn more.
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