Monday, June 21, 2021

Reports: AT&T board considering four-way split

AT&T Corp.’s board is scheduled to discuss plans for a radical restructuring of the company on Monday, including a four-way breakup of the telecommunications giant, according to published reports.

The restructuring plan is being discussed as a way to improve AT&T’s valuation, said reports in the Monday issues of Washington Post and The Wall Street Journal. AT&T’s stock price has halved since the start of the year.

Under the four-way breakup plan, called “Project Grand-Slam” according to the Journal, AT&T would be split into business, consumer, broadband and wireless divisions through a series of spinoffs and tracking stocks.

AT&T in April already created a separate tracking stock for its wireless unit.

Only the company’s business services division would retain the name AT&T, the Journal report said. AT&T’s residential long-distance division would be one of the parts the company would be spinning off, said the Post, citing sources with knowledge of the plans.

If a board decision on the plan is made today, it could be announced as early as Wednesday, when AT&T is due to release its third-quarter financial results.

AT&T, in Basking Ridge, N.J., can be reached at http://www.att.com/.

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