[ NNSquad ] NYTimes on AT&T/T-Mobile

[Lauren Weinstein <lauren@vortex.com>]

NYTimes on AT&T/T-Mobile

http://j.mp/tOa7qs  (New York Times)

     Tammy Sun, an F.C.C. spokeswoman, confirmed that the commission
     received AT&T and T-Mobile's request to withdraw the application.
     The commission is not obligated to grant the request, however. It
     could deny it, going ahead with its consideration and judicial
     hearing, or it could grant the request with prejudice, meaning
     that AT&T could not later re-file the application. That would
     essentially kill the deal.  
     ...  
     If the merger falls through, the German company may decide to
     spin off the unit as an independent entity, sell it at a less
     attractive price to a rival like Sprint Nextel or sell it off in
     pieces. The proceeds from the sale had been earmarked to pay down
     debt and buy back stock.  While there has long been talk about a
     possible combination of T-Mobile with Sprint, the Justice
     Department's opposition to the AT&T combination would seem to
     indicate problems for Sprint, the No. 3 cellphone carrier.
     Verizon is currently the largest carrier, but the AT&T purchase
     of T-Mobile would have vaulted the combined entity into first
     place.

 - - -

--Lauren--
NNSquad Moderator