re: T's cable & wireless tribulations & maneuvers; and a new tracking stock
Here's one for you, Doc. I picked it up over on the LM thread, thanks to Jeff Hayden.
washingtonpost.com
On a related matter, I find it ironic, if not somewhat amusing, that T --after spending over 100Billion [with a B] on their relatively new cable initiatives-- would now find it advantageous to create a tracking stock on their "wireless" offerings.
www2.marketwatch.com
"--10:18 am AT&T has decided on tracking stock, WSJ
AT&T Corp. (T: news, msgs) is adding 2 1/4, or 4.4 percent, to 53 3/16.
The stock is currently the leading percentage gainer among the
components of the Dow Industrials ($INDU: news, msgs). The company
has reportedly decided to issue a tracking stock for its booming wireless
business, including its fixed-wireless assets. According to the Wall Street
Journal, the decision to include the fixed wireless technology is significant,
and reflects AT&T's growing confidence it can use the medium as an
alternative to cable-television lines as it attempts to provide
local-telephone service nationwide. The stock soared 12 percent
Monday when analysts first said the tracking stock was likely. After it
closes its pending acquisition of MediaOne Group (UMG: news, msgs),
AT&T will own access to about one-third of the nation's homes, and
AT&T intends to use fixed wireless to reach many homes that it can't
reach via cable, the Journal reports."
Is this a belated revelation on their part that perhaps they spent a ton going after an old dog in the bush, only to find a much better value in their bird in the hand? Comments?
Regards, Frank Coluccio |
