Verizon Earnings Down 34 Percent

Verizon Communications Inc. said Monday third-quarter net-income fell 34 percent compared to a year ago in large part because of a tax charge, but the teleco did post higher sales.

Verizon earned $1.27 billion, or 44 cents a share, compared with $1.92 billion or 66 cents a share for the third quarter in 2006. The company took a charge of 16 cents a share due to an investment in Italys Vodafone Omnitel and 3 cents per share on other charges.

Revenue was $23.8 billion, up 5.8 percent from last year.

Excluding the charge and merger related costs, net-income would have been 63 cents a share, a cent above analysts forecast.

Verizon said it added 1.6 million wireless subscribers, to a total of 63.7 million customers, keeping the second largest carrier close to AT&T Inc., which has benefited from the iPhone. AT&T has 65.7 million customers.

Verizon also added 229,000 FiOS Internet subscribers, up 203,000 in the second quarter, and 202,000 FiOS video subscribers.

Verizons stock was up 24 cents to $45.84 through midday trading.

Verizon Communications Inc. www.verizon.com