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AT&T, TCI To Merge, Create New

AT&T, TCI to Merge, Create New
AT&T Consumer Services Unit

Summary

This article discusses the merger agreement that was signed between AT&T and Tele-Communications, Inc. (TCI) with a stock transaction valued at $48 billion. This will help AT&T to combine its current consumer long-distance, wireless and Internet services units with TCI's cable, telecommunications, and high-speed Internet businesses to create a new subsidiary – AT&T Consumer Services. This merger is going to make the company be traded as a "letter" or "tracking stock" on the New York Stock Exchange and have a significant public ownership. The company also expects earnings from $ 3.35 to $3.45 per share because of the pending merger.
AT&T plans to offer the broadest set of consumer communications services – including local, long distance, wireless and international communications, cable television, dial-up and high-speed Internet access services – all using AT&T as the brand name.
“This merger also offers a great TCI's shareowners and employ

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