Adelphia Scandal
The Adelphia Scandal
The Dawn of Adelphia Adelphia was founded in 1952 by John Rigas and his brother Gus Rigas in Coudersport, Pennsylvania with the purchase of their first cable franchise for $300. After 20 years, the Rigas brothers incorporated their company under the name Adelphia which derived its name from a Greek word which means brothers, an apt corporate title for a business that would employ generations of the Rigas family. Adelphia was a cable television company and built its success on a strong commitment to customer care; and because of this commitment, a glorious growth spree would follow. By 1998, Adelphia passed the two million-customer milestone and served approximately 5.6 million cable television customers nationwide. The company made significant strides in product development and the implementation of fiber optic technology and expanded their home and business offerings to include digital cable, local and long distance telephone services, messaging, enhanced data, high-speed Internet and video services . John Rigas managed Adelphia from its corporate headquarters in Coudersport, PA. His brother Gus sold his interest in Adelphia in 1983. And after some time, John's sons Michael, Timothy and James, serve as executive vice presidents, directors and principal stockholders. John built Adelphia on a strong commitment to family, community, quality service and customer care which became the core values and culture of the company.
The Evolution of Adelphia In August of 1986, Adelphia Communications went public. Its first three years were focused on generating revenue by increasing its customer base through mergers and acquisitions. Although the company's profitability had suffered as a result of the ambitious expansion, its revenue-generating capabilities had not. From the $30 million generated in sales during its first year, annual sales shot up to $131 million in 1988. Adelphia continued to make its presence known by making
The Dawn of Adelphia Adelphia was founded in 1952 by John Rigas and his brother Gus Rigas in Coudersport, Pennsylvania with the purchase of their first cable franchise for $300. After 20 years, the Rigas brothers incorporated their company under the name Adelphia which derived its name from a Greek word which means brothers, an apt corporate title for a business that would employ generations of the Rigas family. Adelphia was a cable television company and built its success on a strong commitment to customer care; and because of this commitment, a glorious growth spree would follow. By 1998, Adelphia passed the two million-customer milestone and served approximately 5.6 million cable television customers nationwide. The company made significant strides in product development and the implementation of fiber optic technology and expanded their home and business offerings to include digital cable, local and long distance telephone services, messaging, enhanced data, high-speed Internet and video services . John Rigas managed Adelphia from its corporate headquarters in Coudersport, PA. His brother Gus sold his interest in Adelphia in 1983. And after some time, John's sons Michael, Timothy and James, serve as executive vice presidents, directors and principal stockholders. John built Adelphia on a strong commitment to family, community, quality service and customer care which became the core values and culture of the company.
The Evolution of Adelphia In August of 1986, Adelphia Communications went public. Its first three years were focused on generating revenue by increasing its customer base through mergers and acquisitions. Although the company's profitability had suffered as a result of the ambitious expansion, its revenue-generating capabilities had not. From the $30 million generated in sales during its first year, annual sales shot up to $131 million in 1988. Adelphia continued to make its presence known by making
References: Adelphia Communications Corporation History. (2003). Retrieved September 25, 2013, from Funding Universe Web site: http://www.fundinguniverse.com/company-histories/adelphia-communications-corporation-history/ Albercht, W CNN Money. (2002, August 12). Retrieved September 26, 2013, from CNN Web site: http://money.cnn.com/magazines/fortune/fortune_archive/2002/08/12/327011/ Federal Courts: Bankruptcy Fierce Telecom. (2011, November 22). Retrieved September 25, 2013, from Fierce Telecom Web site: http://www.fiercetelecom.com/special-reports/who-were-worst-wireline-ceos-all-time/john-rigas-adelphia-communications Grant, P., & Nuzum, C Jerome, R., Birkbeck, M., & Leger, D. (2002). Fallen Hero. People, 58(7). Masters, B. A., & White, B. (2004, July 9). Business: The Washington Post. Retrieved September 25, 2013, from The Washington Post: http://www.washingtonpost.com/wp-dyn/articles/A39143-2004Jul9.html News and Information: Comcast Schilit, H. M., & Perler, J. (2010). Financial Shenanigans. New York: McGraw-Hill. Securities and Exchange Commission. (2002, July 24). Retrieved September 25, 2013, from Securities and Exchange Commission Web site: http://www.sec.gov/litigation/litreleases/lr17627.htm The Adelphia Story Van Peursem, K., Zhou, M., Flood, T., & Buttimore, J. (2007, June). Three cases of corporate fraud: An audit perspective. Working Paper Series(94), 6-7. Retrieved from http://researchcommons.waikato.ac.nz/bitstream/handle/10289/1671/?sequence=1