AT&T, Centennial deal gets Justice Department okay

October 13, 2009

(AP) -- AT&T Inc. has reached an agreement with the Justice Department and the Louisiana Attorney General to sell off assets in eight markets in Louisiana and Mississippi in order to proceed with its proposed $944 million acquisition of Centennial Communications Corp.

The Federal Communications Commission is continuing to review the wireless merger, which was announced late last year. Under the terms of the deal, Centennial stockholders will receive $8.50 per share in cash.

The Justice Department said it is requiring AT&T to divest Centennial assets in southwestern and central Louisiana and southwestern Mississippi in order to preserve competition in those markets.

Dallas-based AT&T expects the deal to close early in the fourth quarter.

AT&T is the second largest wireless carrier in the U.S., with nearly 80 million subscribers nationwide.

Centennial Communications has about 1.1 million wireless subscribers in six states, Puerto Rico and the Virgin Islands. Late Tuesday, the Wall, N.J.-based company reported income of $19.5 million, or 17 cents per share, on $258.9 million in revenue for its fiscal 2010 first quarter, which ended in August.

Centennial's shares rose 41 cents, or 5.1 percent, to close at $8.39 on Tuesday. AT&T's shares rose 30 cents to $25.90.

©2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Explore further: Verizon 1st-qtr profit, revenue beat expectations

Related Stories

Verizon 1st-qtr profit, revenue beat expectations

April 27, 2009

(AP) -- Verizon Communications Inc. said Monday its earnings grew 5 percent in the first quarter, boosted by its acquisition of Alltel Corp. and strong demand for its wireless, Internet and TV services.

AT&T to buy territories from Verizon for $2.35B

May 9, 2009

(AP) -- AT&T Inc. said Friday it will buy the assets of Verizon Wireless in 79 mainly rural areas for $2.35 billion, a deal that will affect more than 1 million subscribers.

Texas Instruments 2Q profit falls 56 percent

July 20, 2009

(AP) -- Chip maker Texas Instruments says its second-quarter earnings fell 56 percent from a year ago, clipped by a weak economy that the company expects will "take some time" to strengthen.

Economy and iPhone subsidies trim AT&T's 2Q profit

July 23, 2009

(AP) -- AT&T Inc.'s earnings fell 15 percent in the second quarter as it subsidized a record-setting launch of the newest iPhone. The weak economy also continued to sap its landline business.

Sprint Nextel to buy Virgin Mobile USA

July 28, 2009

(AP) -- Sprint Nextel Corp. is intensifying its focus on the fast-growing market for prepaid cell phone service with a $483 million deal to buy Virgin Mobile USA Inc.

Cisco expands again, buying Starent for $2.9B

October 13, 2009

(AP) -- Betting on the growing popularity of data-hungry phones like the iPhone, Cisco Systems Inc. said Tuesday it had agreed to pay $2.9 billion for Starent Networks Corp., a maker of equipment for wireless carriers.

Recommended for you

The ethics of robot love

November 25, 2015

There was to have been a conference in Malaysia last week called Love and Sex with Robots but it was cancelled. Malaysian police branded it "illegal" and "ridiculous". "There is nothing scientific about sex with robots," ...


Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.