SBC-AT&T CLOSE MERGER AFTER GETTING FINAL OKAY FROM CAL.

摘要

SBC and AT&T cleared the last regulatory obstacle to their merger Fri. as the Cal. regulators voted 4-1 to approve the transaction. Cal. was the last to act of the 36 states whose merger approval was required by SBC-AT&T. With all necessary federal and state approvals in hand, the companies immediately closed on their merger. The PUC subjected SBC-AT&T to 4 conditions: (1) Begin offering standalone, or "naked," DSL to retail customers by March 2006, similar to an FCC merger condition. (2) Increase to 27% from 23% the percentage of goods and services purchased for Cal. operations from minority-owned businesses. (3) Contribute an additional $57 million over 5 years to state and local programs aimed at reducing the "digital divide" and contribute $45 million over 5 years to a new Cal. Emerging Technology Fund aimed at bringing broadband service to all populations in the state. (4) Freeze for one year rates for DS-1 and DS-3 private network services for current AT&T customers, similar to an FCC merger condition. nn“Today marks the birth of AT&T Inc.,” the company said, referring to its plan to rename itself. SBC said it will begin trading under AT&T’s “T” symbol on the N.Y. Stock Exchange on Dec. 1. A new logo will be revealed today (Nov. 21), which will be the company’s first full day of operation as the “new AT&T.” Immediately following the SBC-AT&T vote, the Cal. PUC voted 3-2 to approve the Verizon-MCI merger, subject to 2 conditions: (1) Begin offering retail standalone DSL by Feb. 2006, similar to an FCC merger condition. (2) Contribute an additional $20 million over 5 years to state and local digital divide projects, to the same sorts of groups as SBC-AT&T, and contribute $15 million over 5 years to the same Cal. Emerging Technology Fund cited in the SBC-AT&T merger. Unlike SBC-AT&T, several other states including N.Y. still have to act on the Verizon-MCI merger.