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Technology Stocks : AUTOHOME, Inc -- Ignore unavailable to you. Want to Upgrade?

To: GraceZ who wrote (27329)	2/27/2001 4:34:58 PM
From: Rob C.	Read Replies (1) \| Respond to of 29970

Grace, Your thoughts... Tuesday February 27 1:43 PM ET Mediacom to Buy AT&T Broadband Systems By Ian Simpson NEW YORK (Reuters) - Cable TV company Mediacom Communications Corp. (NasdaqNM:MCCC - news) said on Tuesday it would buy AT&T Broadband systems in Georgia, Iowa, Illinois and Missouri in a $2.2 billion cash deal that would double its size. The deal with AT&T Broadband, the cable TV and high-speed Internet arm of long-distance phone company AT&T Corp. (NYSE:T - news), would make Mediacom the No. 8 U.S. cable company. The systems' sale is part of AT&T's focus on bigger metropolitan markets and efforts to trim its $46 billion in debt. Just hours before the Mediacom deal was announced, Britain's Vodafone Group Plc (VOD.L)(NYSE:VOD - news) said it would buy AT&T's 10 percent stake in wireless phone company Japan Telecom Co. Ltd. (9434.T) for $1.35 billion. Mediacom, based in Middletown, N.Y., said the deal would add 840,000 basic subscribers to its customer base, bringing its size to about 1.6 million. The agreement comprises systems serving almost two dozen cities. They include Albany and Valdosta, Ga.; Carbondale and Rock Island, Ill.; Cedar Rapids, Iowa; and Columbia, Mo. AT&T Broadband, the biggest U.S. cable TV company, and Mediacom expect the deal to close in the second or third quarter. ``Our long-term goal is to operate cable systems clustered in major metropolitan markets,'' AT&T Broadband President and Chief Executive Dan Somers said in a statement. Mediacom also reported a fourth-quarter pro forma operating profit of $42 million on earnings of $89.7 million. The company posted a pro forma operating cash flow of $36.8 million in the year-ago period on revenues of $81.7 million. SG Cowen analyst Gary Farber said the results were in line with his forecasts. He upgraded his rating on Mediacom to strong buy from buy. Based on the systems it owned on Dec 31, Mediacom forecast pro forma revenue growth this year between 12 and 14 percent and pro forma cash flow growth between 11.5 and 13.5 percent. Shares in Mediacom advanced $2-1/8 to $19-7/8 in afternoon Nasdaq trading. AT&T rose $1.15 to $22.99 on the New York Stock Exchange (news - web sites) as blue-chip stocks traded close to unchanged. The AT&T deal is part of a buying spree by Mediacom, founded in 1995 by industry veteran Rocco Commission. Mediacom has focused on markets outside metropolitan areas and last year alone closed nine deals worth $109 million. The boards of both companies have approved the deal. It is subject to closing conditions and regulatory review. Sajai Krishnan, a partner with the Booz Allen consultancy in San Francisco, said the sale was part of AT&T's effort to bulk up its finances as it developed its broadband cable system. ``I think you will see more of this going forward,'' he said.

To: GraceZ who wrote (27329)	2/27/2001 4:39:32 PM
From: E. Davies	Read Replies (1) \| Respond to of 29970

I can't emphasize enough how bad this is for public perception of the company and it's ability to resolve problems on their network. Open access is right around the corner Just thought this was worth repeating. E-mail is the #1 reason people use the internet. Like it or not it is the "killer app". Without confidence in the reliability of e-mail the entire structure could collapse. People will pick another isp if it gives them reliable e-mail. They'd do that even at the cost of network performance. @home only has a little while longer before they will never be truely forgiven. Very solid buyers in ATHM today in the face of the tech market meltdown. Saw at least once a 50,000 share bid @6- until the end of the day nobody really wanted to even hit the bids near 6. Eric