Tbaytel’s annual dividend cheque to the city will remain at $17 million.
But a pair of municipal reserve funds won’t be topped up as they’ve been in years past. In 2011 the city-owned utility provided a combined $3.5 million in special and performance dividends to the City of Thunder Bay.
A year ago the amount dropped to $3.28 million.
The money found its way into Renew Thunder Bay fund, though the vast majority was put in a special reserve fund.
Tbaytel board chairman Michael Power, who was not made available for interviews, said the $17-million contribution is a sign of the company’s strength.
“The dividend confirms Tbaytel’s continued positive growth over the last 10 years,” said Power, who was re-elected this week to head the board.
“It reflects the exceptional efforts put forth by Municipal Service Board members, the executive management and management teams, as well as the staff who contribute to Tbaytel’s growth, financial health and stability each and every day.”
Interim president and CEO Dan Topatigh said the utility made significant improvements to its infrastructure in 2012-13, upgrading its 4G HSPA+ wireless network as well as taking over Dryden Municipal Telephone System customers, while expanding its digital television, wireless and broadband services to more markets.
“Tbaytel is a well-managed and financially sound company comparable to any in the industry. We have the ability to provide a dividend of this magnitude to enhance the services and value to our stakeholders and customers,” Topatigh said in the release.
“It is truly rewarding to know that through the loyalty of our customers, we can make significant contributions to the region through direct investments in telecommunication infrastructure while supporting community organizations and projects.”
