Despite a pledge to run this year’s Democratic National Convention in Charlotte, N.C., without a penny of corporate money, a new filing with the Federal Election Commission reveals Democrats raised millions from AT&T, Time Warner Cable, and several big banks and energy companies.

Convention officials originally promised the convention would be self-sustained without corporate money, but that promise was long gone with last week’s quiet report to the FEC. Millions arrived courtesy of a convention civic committee that openly welcomed corporate cash.

The Los Angeles Times reports New American City, which paid for hospitality and administrative costs, raised $19 million — nearly all from corporations.

Digging deeper into the FEC filings, Stop the Cap! reveals where some of the Democrat’s money came from and where some of it went:

• AT&T spent $175,475 on “delegate bags” decked out with AT&T’s logo and $123,087 on “catering for suites.” That was in addition to a straight $1 million cash contribution;
• Time Warner Cable handed over $600,000 . The cable company was also the premier sponsor of the host committee’s media welcome party;
• CenturyLink handed over $10,500 to the DNC via New American City;
• Google Foundation contributed $100,000;
• National Cable Satellite Corporation (parent company of cable-industry financed C-SPAN): $2,500
• Turner Broadcasting System (now owned by Time Warner (Entertainment)): $25,000
• Verizon Wireless handed over $50,000

While accepting the contributions violates the Democrats’ commitment not to accept corporate money, election observers concerned with the pervasive influence of corporate cash are not giving Republicans a free pass. With no restrictions on fundraising, the GOP raised nearly $56 million from AT&T and other telecommunications entities, big oil and gas companies, hedge fund managers, big banks, and wealthy individuals.

[flv]http://www.phillipdampier.com/video/CNBC Verizon Wants More Consolidation 10-18-12.flv[/flv]

Lowell McAdam, chairman & CEO of Verizon Communications, is back on CNBC in this exclusive interview calling for additional wireless industry consolidation. McAdam also discusses Verizon’s huge earnings after its wireless plan changes, Verizon’s latest union contract, and the current state of the U.S. economy. (8 minutes)

Plateau Wireless customers can expect to be eventually herded to Verizon Wireless’ all or nothing plans as early as 2013.

Verizon Wireless this week announced the acquisition of another regional wireless carrier — Plateau Wireless — formerly owned by the Eastern New Mexico Rural Telephone Cooperative. At risk are the co-op’s innovative and inexpensive calling and unlimited smartphone data plans for customers in communities like Roswell, Carlsbad, Artesia, and Hobbs.

Verizon’s purchase includes the co-op’s cellular, PCS, and AWS wireless spectrum that covers more than 26,000 square miles in eastern New Mexico.

“We are excited to expand our presence and coverage in rural New Mexico and to welcome Plateau Wireless’ customers to the nation’s most reliable network. We believe the strength of our network enables people to live better and stronger lives,” said Andres Irlando, president of Verizon Wireless’ southwest region.

Customers’ bank accounts may not have the strength to withstand the pricing and technology changes Verizon has in store as early as 2013. Plateau’s current GSM network will be dismantled as Verizon converts the network to CDMA for voice service and EV-DO (3G) and LTE (4G) for data services, leaving customers’ current smartphones and handsets useless. Verizon has not said whether it will provide free replacement equipment to Plateau customers at the time of the network conversion.

More importantly, Plateau Wireless’ current service plans, which include numerous options for customers on tight budgets — are destined for the scrap heap as the company unleashes its all-or-nothing contract service plans.

Plateau Wireless was a co-op owned regional wireless provider serving southeastern New Mexico.

The most important service at risk is Plateau’s unlimited data plan. The company charges customers $29.99 a month for unlimited smartphone data when inside Plateau’s home coverage area. Customers on family plans have an even better deal. They can extend unlimited data to every other phone on the account for a flat additional fee of $10/month. For just under $40 a month total, four family members each with their own smartphones or other wireless devices can have unlimited data when bundled with a calling plan starting at $19.99 a month ($9.99 for each additional line).

The same data plan under Verizon Wireless’ Share Everything Plan costs $220 a month for four phones, but it is not unlimited. All four users have to share a collective allowance of just 2GB of data per month.

Remember when your cell phone company offered you calling plans that fit your budget instead of their desired bottom line? Plateau Wireless still does, for the moment:

All Plateau Wireless Plans are eligible for the Family Plan and Data Features. Unlimited text messaging is $4.95 a month. Carryover of unused minutes to future months and free loyal customer minutes available. 

Plateau Wireless’ customers will have to decide for themselves whether Verizon’s acquisition is good or bad news for them.

Earlier this month, the Federal Communications Commission awarded nearly $9.5 million to Plateau to expand 3G and 4G service in central and southeastern New Mexico over the next three years. Verizon Wireless can use the funds to effectively expand their network in the area at taxpayer expense.

Wants $4.95 a month in some states to keep your number out of their phone directories.

In a case of shooting itself in the proverbial foot, Verizon’s argument its $4.95 monthly fee to keep your landline number out of their directory is justified has revealed a way to avoid paying it at all, saving $60 a year in unnecessary fees.

The company acknowledged that customers who drop their landline in favor of a cell phone will have an unlisted number at no additional charge.

A Network World columnist asked Verizon why it costs so much to do so little.

“Why do you charge me $4.95 per month just so that I can keep my phone number unpublished? Please do not merely tell me that you are allowed to charge me this fee because I already know that. What I want to know is WHY do you do it? What cost are you passing along? … I would appreciate as much specificity in your reply as possible.”

Here’s the reply from a media relations spokesman, who first consulted with “a key member of product management with oversight for (unpublished) numbers”:

“The cost charged to offer unlisted phone numbers is chiefly systems and IT based. Specifically, the costs we incur and factor into the monthly charge involve three things: quality control, data integrity and the interface we have with other carriers and directory publishers. These activities help us protect the feed of customer information we have, and must protect, when customers request that their telephone number remains private when requested.”

Stop the Cap! decided to pose our own follow-up to Verizon’s customer service department:

“If we were to drop our landline and choose a cell phone instead, would our number be listed or unlisted?” we asked.

Verizon’s reply:

“Cell phone numbers are not listed in our directories and are not available from directory assistance unless you pay an additional fee for our listings service. The rates vary by state.”

Customers switching landline providers with the intent of keeping their currently listed phone number may, however, remain in the telephone directory if Verizon forgets to remove the listing after the customer disconnects service. But there should be no charge to remind Verizon you disconnected service and want the listing deleted.

As a consequence of deregulation, many states no longer keep tabs on ancillary fees charged by Verizon for these services, which are largely based on what the market will bear.

Plaintiffs charge that Verizon’s spinoff deals earned millions for top executives and investment bankers, but left nothing but wreckage for employees, retirees, customers, and smaller banks duped into covering the tax-free debts that were left behind.

Verizon Communications is defending itself in a Dallas courtroom against a $9.5 billion lawsuit brought by creditors who allege the phone company fraudulently structured the spinoff of its phone directory business to Idearc in a deal that enriched Verizon while leaving the new publisher crippled with $9 billion in debt and eventual bankruptcy.

Verizon structured the spinoff of its phone book unit much the same way it has sold-off its local phone business operations in several states to Hawaiian Telcom, Frontier Communications, and FairPoint Communications — through controversial, tax free Reverse Morris Trusts. At the end of the deal, the buyers are saddled with enormous debts, eventually forcing HawTel, Idearc, and FairPoint to declare bankruptcy.

Now the creditors that took the hit over Idearc are in court alleging Verizon engineered the deal to unjustly enrich itself while sending the dying phone directory business straight into insolvency.

Werner Powers, an attorney for the creditors, said in opening statements Idearc was purposely loaded down in Verizon debt and “sent into the market to die.”

“They knew in major markets they had been suffering a double-digit decline,” Powers said to the judge in a Dallas courtroom. “They knew that was the canary in the mine shaft.”

The Association of BellTel Retirees is fighting for former Verizon employees who woke up one morning discovering their safe Verizon pension benefits had been transferred to a shaky startup that quickly went bankrupt.

But creditors are not alone suffering from a bankrupt Idearc. During the 11th hour of negotiations, Verizon quietly engineered a transfer of Verizon retirees that formerly worked for the directory unit to Idearc’s startup pension plan — a very risky proposition for the nearly 3,000 retirees who were secure with a fully funded, low risk Verizon pension plan.

Curtis Kennedy, the attorney representing the interests of the retirees, explains how it all happened:

On October 18, 2006, after conducting a very cryptic half hour meeting via telephone and reviewing a packet of Power Point presentations, the Verizon Board of Directors gave full approval for the Spin-Off transaction. A month later, on the last day to do the transaction, the retirees were thrown into the mix. Of course, no retiree had any prior knowledge, no fiduciary advocate, no legal representation, no union representation, and no say in the matter. The designated group of retirees were simply treated like obsolete telephone equipment being disposed of by Verizon.

At the proverbial “11th Hour” before the closing, Verizon EVP John Diercksen, acting as the sole director of Idearc, resigned his director position and he appointed a new set of corporate directors. The new directors hurriedly executed a resolution to ratify and approve the Spin-Off transaction. In reality, the new Idearc board had no choice but to sign off on the Spin-Off.

Wall Street investment banks JPMorgan and now defunct Bears Stearns swooped in to finance the multi-billion dollar transaction that engineered the transfer of $9.5 billion in debt to Idearc while allowing Verizon to keep more than $2 billion in valuable assets for itself, crippling Idearc from day one, as plaintiffs contend. Both investment banks quickly packaged and sold off the now-worthless loans to hundreds of other unsuspecting financial institutions, while keeping deal fees for themselves.

Investors also got blindsided. One Wall Street analyst gave this recommendation on Idearc shares to unwitting investors:

“When a corporate parent casts off a vexing unit with unpromising growth, the natural inclination is to steer clear of this forsaken offspring. But the yellow pages business Verizon Communications is spinning off may merit a second glance.”

Judge Joe Fish

It got one in bankruptcy court, eventually emerging with a new name: Supermedia.

Much of the documentation that surrounds the deal and those responsible for it have been sealed by the court. U.S. District Judge A. Joe Fish has announced he will decide the case himself and turned back efforts for a jury trial.  Judge Fish has also denied repeated attempts by Verizon to have the case dismissed, although he has also ruled against creditors dismissing some of their claims.

Bloomberg News this month filed motions to unseal the record in the public interest, but the judge has yet to rule on the motion.

Verizon retirees are watching the current lawsuit between Verizon and creditors carefully. The group of former employees have brought their own lawsuit against Verizon, with some of their worst fears realized when Supermedia sent word in June they were canceling the retirees’ pension benefits.

Verizon has reportedly hired eight expert witnesses to testify on its behalf, one who will receive more than$4 million in appearance fees. Verizon has leased office space specifically for the trial near the downtown Dallas federal court building.

Many current Supermedia employees report a siege mentality at what is left of the directory publisher, with regular threats of further job cuts.