Telecom providers AT&T and Deutsche Telekom are
continuing to pursue the sale of Deutsche Telekom’s U.S. wireless assets to
AT&T.
They are taking this step to facilitate the consideration
of all options at the FCC and to focus their continuing efforts on obtaining
antitrust clearance for the transaction from the Department of Justice, either
through the litigation pending before the United States District Court for the
District of Columbia, Case No. 1:11-cv-01560 (ESH) or alternate means.
As soon as practical, AT&T and Deutsche Telekom AG
intend to seek the necessary FCC approval.
On November 22, 2011, the Federal Communications
Commission indicated a proposed order was circulating that would designate for
hearing the applications of AT&T and Deutsche Telekom for consent to assign
or transfer control of licenses and authorizations, WT docket No. 11-65.
On November 23, 2011, AT&T and Deutsche Telekom
electronically withdrew without prejudice, as of that date, the pending
applications listed in the Public Notice released by the Federal Communications
Commission on April 28, 2011 in that proceeding. Associated manual notification
of withdrawal filings also are being made.
As a result of the FCC’s action, AT&T expects to
recognize a pretax accounting charge of $4 billion ($3 billion cash and $1 billion
book value of spectrum) in the 4th quarter of 2011 to reflect the
potential break up fees due Deutsche Telekom in the event the transaction does
not receive regulatory approval.
By Telecomlead.com Team
[email protected]
