Carlyle names chief for local venture

By Sean Hao
Advertiser Staff Writer

The Carlyle Group yesterday named a new leader for its planned Hawai'i telecommunications operations should the company's $1.65 billion acquisition of Verizon Hawaii be approved as expected.

Michael Ruley, a former president and chief executive for NextiraOne, was named chief executive for Hawaiian Telcom — the proposed entity that would subsume Verizon Hawaii.

Carlyle, a Washington-based investment firm, still needs approval from the U.S. Justice Department and the Hawai'i Public Utilities Commission to proceed with the purchase.

As part of the deal Carlyle plans to move certain back-office operations now conducted on the Mainland to Hawai'i.

Carlyle also has said its business plan doesn't hinge on raising rates, though the company won't guarantee that rate increases won't occur.

Houston-based NextiraOne is a voice and data services consultant with 3,500 employees. Verizon Hawaii is the state's main telephone company and a major employer with 1,700 workers.

The proposed transaction between Verizon Communications and Carlyle includes Verizon Hawaii's local telephone operations and print directory, long-distance and Internet service provider businesses, but excludes Verizon Wireless.