VERIZON WIRELESS

Verizon Wireless

Verizon Wireless

Introduction

Verizon Communications Inc., based in New York City and incorporated in Delaware, was formed on June 30, 2000, with the merger of Bell Atlantic Corp. and GTE Corp, is a leader in delivering broadband and other wire line and wireless communication innovations to mass market, business, government and wholesale customers. Verizon Wireless operates America's most reliable wireless network, serving more than 80 million customers nationwide. Verizon's Wire line operations include Verizon Business, which delivers innovative and seamless business solutions to customers around the world, and Verizon Telecom, which brings customers the benefits of converged communications, information and entertainment services over the nation's most advanced fiber-optic network. A Dow 30 company, Verizon employs a diverse workforce of nearly 224,000 and last year generated consolidated operating revenues of more than $97 billion.

Third-party auditor Moss Adams examined the centers, closely reviewing and testing the control environment and corresponding internal controls for the monitoring and management services provided by Verizon Business. Specifically, Moss Adams examined control objectives in the areas of organizational structure, governance and administration; physical and environmental controls; logical access controls; and system availability and performance.

Moss Adams LLP is the 11th largest accounting and consulting firm in the United States and the largest firm headquartered in the West. Moss Adams LLP has two affiliated companies, staff of more than 1,900 that includes more than 250 partners, and is focused on providing client service to public, private, and not-for-profit enterprises through specialized industry and service practice teams.

Financial Analysis of Verizon Wireless

A subsidiary with minority shareholders must report its financial results separately from its parent company's in addition to having its report included in the consolidated financial statements. These financial statements are the responsibility of the Company's management. Verizon Wireless is no exception. The four types of financial statements utilized by Verizon are: Consolidated Statements of Income, Consolidated Balance Sheets, Liabilities and Shareowners Investments, Consolidated Statements of Changes in Shareowners Investments, Consolidated Statements of Cash Flows.

Consolidated Statements of Income is an income statement that combines the income statements of two or more organizations. As with other consolidated statements, a consolidated income statement eliminates any funds owed to or due from firms within the same group.

Consolidated Balance Sheets is the balance sheet in which the financial information of parent as well as subsidiary company is merged (consolidated) for the financial reporting purpose. Consolidated Statements of Cash Flows is the financial document detailing the exchange of cash between a business and the outside world. The flow is categorized as: flow "in" from Operations (cash the company made by selling goods and services), flow "in" from Financing (cash the company raised by selling stocks and bonds), flow "out" to Investing (cash the company spent investing in its future growth.

The Income Statement, is the statement that shows the revenues, expenses and net income of a company over a selected period of time, a Balance Sheet shows the values of the company?s assets, liabilities and it?s owners equity in a given time and Cash Flow which reports ...