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[Editor’s Note: This is a special report. There was also a post this morning with numerous items so please also see immediately below.]

     Based on conservative extrapolations of rollouts elsewhere, MAW is projecting an initial customer base of 4,000, followed by 2 percent annual growth, Hopkins said [Patrick Hopkins, the city’s Director of Administrative Services].
From today’s LNP article, “Official: It’s not risky for city to put up money for LanCity Connect broadband, and here’s why,” (click here).
     Is that the most contrived sentence you have ever read? Where else has MAW “rolled out?” They created one hot spot downtown in the city of Reading! That’s it! Supposedly they have “institutional clients” and cellular companies using them but we have no idea who they are!
      Also from the article:
     Lancaster also would have liens on MAW’s other assets and LanCity Connect revenues and potentially could recover other MAW revenues in the event the company folded while still owing the city money.
     Isn’t that great! Lancaster city could own their building at 419 Washington Street if they default on the $1.5 million dollar loan! The County of Berks has it assessed at $89,100 (click here and also see the screenshot below). What other assets does this company have? Do they own their own trucks?
     And I don’t know how accurate the site Buzzfile is but according to them (click here and also see the screenshot below):
     Maw Communications is estimated to generate $475,000 in annual revenues, and employs approximately 3 people at this single location.
     How could their revenue be that low if they are working for all these world-wide cellular companies (click here for the description of the company on Lancaster’s website)? And this information may well have changed since Lancaster City has already paid them over $1.5 million! And there is no mention of “cellular” here!
     Who has reviewed their financials? Is this a joke? $475,000 in revenue prior to Lancaster City hiring them? Every city council member and every citizen of Lancaster should demand to see their financial statements for the last 10 years! What would a “real” bank want to see to give this company a $1.5 million dollar loan? Would any bank in this country give this company a $1.5 million dollar loan?
     And instead of telling this company to go to a bank and get a loan the city wants to loan them $1.5 million dollars at 7% interest for 13 years!
     And if they default – we have that building valued at $89,100!  Yippee! MAW is taking Lancaster to the bank!



  1. huh? says:

    It amazes me that they would contract a very important service to an unproven company.

  2. my goodness says:

    This reminds me of the monster snow plow the city bought from the airport at a bargain basement price (held together with duct tape) that was too big for city streets and they couldn’t keep running.

  3. my goodness says:

    Wow, let’s all jump on this bandwagon. It’s scary that Lancaster City is already using this system (I think).

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