US West to split into two companies: cable and telecom units, valued at $35 billion, failed to find synergies
Article Abstract:
US West Inc. is expected to announce today that it is dividing into phone and domestic cable systems groups. The process will separate the two main businesses, US West Communications Group and U S West Media Group, into two independent companies, according to insiders. US West Inc. will handle the phone business and MediaOne Group will specialize in cable systems. The move follows U S West's inability to combine the industries under one company umbrella. The companies, which currently hold a stock-market value of approximately $35 billion, will contain separate boards and operations. Insiders say the Baby Bell's tax-free exchange of shares could be completed by mid-1998. Phone service presently serves 25 million customers in 14 Western and Midwestern states with stock-market capitalization of almost $19 billion and about $10 billion in annual revenue. Domestic cable reaches more than five million customers in 20 states, with roughly $16 billion in market value and $8.1 billion in 1996 pro-forma revenue.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1997
User Contributions:
Comment about this article or add new information about this topic:
AT&T plans to split into three tracking stocks
Article Abstract:
AT&T Corp. is planning to split into three derivatives securities called "tracking" stocks. AT&T will end up with three tracking stocks; one for its consumer businesses, one for its wholesale networking assets and one that tracks TCI's Liberty Media Group subsidiary. Tracking stocks are shares whose financial profile reflect a certain business while the business remains attached to a corporate parent. They don't carry full voting rights and typically trade at a discount to what would otherwise be a spun-off company, but they allow investors to buy only a piece of a company they like, rather than the entire company.
Comment:
AT&T to split into three trading stocks
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1998
User Contributions:
Comment about this article or add new information about this topic:
Excel agrees to merge with Teleglobe in accord valued at over $3.5 billion
Article Abstract:
Excel Communications Inc. has agreed to merge with Teleglobe Inc. in a more than $3.5 billion deal. The merger would form the fourth-largest long-distance firm in North America. The deal would combine Teleglobe's network infrastructure with the marketing and retail operations of Excel. Excel is the fifth-largest long-distance phone company in the US. The merged entity will have $3.5 billion in yearly revenue.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1998
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: The business plan; with sophisticated networks, companies can make their operations a lot simpler. Inside story
- Abstracts: Telephone pact to alter rates and services; international calls expected to cost less. MCI enter the market for phone calls in New York City and its suburbs
- Abstracts: Surging volume of E-mail brings blackouts at AOL. GeoCities broke privacy pledge, FTC declares
- Abstracts: As Intel goes, so goes the rise in stocks? bellwether issue hoists red flag on revenues. Latest earnings epitomize shift in chip industry
- Abstracts: Compaq seeks to cut inventories with free monitors for business. Pull up a chair; can the Web replace TV as the electronic hearth? Two new technologies aim to do that