Friday, December 4, 2015

CityWest payment to City of Prince Rupert is $400,000 for 2015

CityWest has announced the amount
of cash that will be delivered
to the City of Prince Rupert
this year in a distribution payment
CityWest's annual distribution payment to its sole shareholder has provided the City of Prince Rupert with a $400,000 dollar cash infusion, money that Mayor Lee Brain indicates will be used as part of the City's Re:Build Rupert initiative.

The announcement of the 2015 distribution payment was provided through a CityWest media release on Thursday, in it CityWest CEO Don Holkestad outlined the work across Northwestern British Columbia that has helped to deliver this years payment to the City of Prince Rupert.

"This payment would not be possible without all the hard work from our 80 employees, who provide our customers with the bet Internet, TV, phone and data network in Northwest BC. ... On top of that, the capital investments we've made over the past few years are beginning to pay off" -- CityWest CEO Don Holkestad on the work of CityWest across the Northwest. 

CityWest has expanded to the east in recent years first offering service to the Terrace-Kitimat region and more recently expanding its footprint into the Bulkley Valley.

From that expansion, Holkestad expected revenue generation to allow the company to continue to improve its products and services, as well as to provide its shareholder a return on investment for years to come.

In the media release of Thursday, the Mayor observed that the return of money to the city will be used for such programs as the current revitalization of the city's 3rd Avenue sidewalk project.

The Mayor also made note of the importance that he places with CityWest as a community asset.

"We consider CityWest to be of great value as a service provider and employer in our community ... It's a great asset to have telecommunications services provided locally, enabling the City to keep those profits and jobs within our community." -- Mayor Lee Brain speaking on the nature of this years distribution payment from CityWest to the City of Prince Rupert

The City of Prince Rupert is well represented on the CityWest Board of Directors, with three senior civic officials serving a role with the City owned communications company, put in place in 2014 after a significant shake up of the company operations.

This years distribution amount is the exact same dollar sum as that provided to the City of Prince Rupert at this time last year, though it seems that it took less persuasion this year to reach that amount than it did in 2014.

The nature of the financial return this year from CityWest mirrors those of recent years, however as long time observers of the company will remember, at one point in time those dividend payments were significantly higher, while the company also made frequent presentations to City Council to update the community on its progress.

While the distribution payment levels have declined over the years, those community updates it seems have also become fewer and fewer in recent years.

You can review the full media release here.

For more items related to communications matters in the Northwest see our archive page here.

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