AT&T Uses Job Creation Rhetoric to Help Push Through Merger
The Communications Workers of America said the merger between AT&T (NYSE:T) and T-Mobile USA will create more than 100,000 jobs in the U.S. The merger would combine the second- and fourth-largest U.S. wireless carriers. An additional 96,000 jobs — alongside the 5,000 outsourced jobs — were pledged by AT&T (NYSE:T) to be brought back.
The CWA also said the merger would save or create more jobs than a deal between Sprint (NYSE:S) and T-Mobile. The deal, however, is still in jeopardy with the Justice Department, Sprint, and regional carrier C Spire suing to block it. AT&T (NYSE:T) last week disclosed in a filing it had pushed back its target to close the deal until the end of the first half of next year, rather than the first quarter.
“It’s unclear, however, how much of an impact the CWA’s comments will have on the proceedings, particularly the Justice Department lawsuit, which is seen as the critical hurdle for AT&T (NYSE:T) to pass to get the deal approved. The telecommunications giant has said it is working both on a legal defense as well as a possible out-of-court settlement,” according to CNET.
Here’s how the top three phone carriers are trading on the news:
- AT&T, Inc. (NYSE:T): The shares recently traded at $29.46, up $0.02, or 0.07%. Its market capitalization is $174.58 billion. They have traded in a 52-week range of $27.20 to $31.94. Volume today was 20,806,491 shares versus a 3-month average volume of 34,099,600 shares. The company’s trailing P/E is 14.95, while trailing earnings are $1.97 per share. The company pays a dividend of $1.72 per share for a dividend yield of 5.90%. About the company: AT&T Inc. is a communications holding company. The Company, through its subsidiaries and affiliates, provides local and long-distance phone service, wireless and data communications, Internet access and messaging, IP-based and satellite television, security services, telecommunications equipment, and directory advertising and publishing. Get the most recent company news and stock data here >>
- Sprint Nextel Corp. (NYSE:S): The shares recently traded at $2.89, down $0.02, or 0.69%. Its market capitalization is $8.66 billion. They have traded in a 52-week range of $2.10 to $6.45. Volume today was 35,866,277 shares versus a 3-month average volume of 75,588,500 shares. The company’s trailing earnings are $-0.84 per share. About the company: Sprint Nextel Corporation offers a range of wireless and wireline communications services to consumer, business, and government customers. The Company develops, engineers, and deploys various technologies, including two wireless networks offering mobile data services, instant national and international push-to-talk capabilities, and a global Tier 1 Internet backbone. Get the most recent company news and stock data here >>
- Verizon Communications Inc. (NYSE:VZ): The shares recently traded at $37.52, up $0.18, or 0.48%. Its market capitalization is $106.22 billion. They have traded in a 52-week range of $31.60 to $38.95. Volume today was 9,897,020 shares versus a 3-month average volume of 18,601,600 shares. The company’s trailing P/E is 15.09, while trailing earnings are $2.49 per share. The company pays a dividend of $2.00 per share for a dividend yield of 5.40%. About the company: Verizon Communications Inc. is an integrated telecommunications company that provides wire line voice and data services, wireless services, Internet services, and published directory information. The Company also provides network services for the federal government including business phone lines, data services, telecommunications equipment and payphones. Get the most recent company news and stock data here >>