* AT&T CORP reported 1Q EPS of $0.81 (including net gains of
$0.04/share) vs 0.67 in the prior year period, on revenues of
$12.6 bln vs $12.5 bln. Analysts' mean estimates were $0.75,
according to First Call. 1998 1Q also included a pre-tax charge of
$601 million, or 23 cents per share, reflecting the company's
decision not to pursue the sale of local service on a Total
Service Resale (TSR) basis. Excluding the gains and charge,
profits from continuing operations were $0.77 per share. (Reuters
07:43 AM ET 04/20/98) For the full text story, see
infobeat.com
* AT&T CORP reported modest 1Q revenue and profit growth as
strength in business, wireless and international operations offset
a decreases in consumer services revenues. "We delivered a solid
quarter with earnings surpassing expectations and reflecting the
benefits of our cost-reduction efforts," said AT&T Chairman C.
Michael Armstrong. "As expected, revenue growth was modest as we
divested nonstrategic businesses, lowered prices to pass through
access charge reductions to customers, and systematically
refocused our consumer marketing." AT&T said it still aims for
revenue growth of 2% to 4% for the year. (Reuters 07:48 AM ET
04/20/98) For the full text story, see
infobeat.com
* AT&T CORP CEO C. Michael Armstrong said the company will invest
more than $300 million this year to improve its Internet backbone
capacity. "We have made a decision to go after more of the
Internet Protocol (IP) backbone. We will invest incrementally in
our IP backbone capacity this year, over $300 million," Armstrong
told analysts in a conference call following the company's 1Q
earnings report. "We do think this is a growth opportunity and
will enhance our position in this fast-growing segment of the
industry," he said. He reiterated that the company sees 1998 and
1999 capital spending totaling about $8.0 to $8.2 billion.
(Reuters 11:00 AM ET 04/20/98) For the full text story, see
infobeat.com
* AT&T CORP CEO C. Michael Armstrong said that he met recently
with the head of TELECOM ITALIA SPA, Gian Mario Rossignolo, who
expressed interest in having further discussions. (Reuters 10:00
AM ET 04/20/98)
* AT&T CORP said its recent frame relay network failure was due to
a software-based problem. Last week AT&T's massive frame relay
network failed, disrupting service for thousands of business
customers nationally for about a day. AT&T previously said the
problem was related to the interaction between two frame relay
switches that affected the rest of the network. AT&T Chairman C.
Michael Armstrong said the company is working closely with CISCO
SYSTEMS INC, which provided the switches, on ways to fix the
problem. The frame relay network is a high-speed packet data
networking technology used by businesses that need to exchange
large amounts of computer information in short and frequent
bursts. (Reuters 09:43 AM ET 04/20/98)
* AT&T CORP CFO Dan Somers told analysts on the company sees
"modest" revenue growth and continued cost reductions in the 2Q,
with improvements continuing throughout the year. 2Q earnings,
excluding one-time items, will be in the range of $0.80 to $0.82 a
share. The company expects to record charges of $800 million to
$1.2 billion for its previously-announced downsizing and a gain
from the sale of its AT&T Universal Card unit, which was sold to
CITICORP. The company did not provide further details. (Reuters
10:27 AM ET 04/20/98) |
