Deal sends shock waves through industry

Article Abstract:

AT&T has conformed to purchase cable television company Tele-Communications Inc. (TCI) for $32 billion in stock. The acquisition agreement will give AT&T access to TCI's 10.5 million subscribers and 17 million homes in TCI's franchises. The deal will give AT&T access to additional 16 million homes in cable systems in which TCI is a big investor. The announcement of the deal has agitated the cable television services industry, as the deal could serve as precedent to buyouts in the industry. With the deregulated telecommunications industry, the deal also stresses the theory that cable is a viable provider of local telephone connections, high-speed Internet access, and TV programming as well.

Comment:

Conforms to purchase cable television company Tele-Communications for $32 billion in stock

Wired Telecommunications Carriers, Telephone Communications, AT&T Corp., Telephone services, AT&T Broadband and Internet Services Inc.

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Murdoch sells 'TV Guide.'

Article Abstract:

News Corp. CEO Rupert Murdoch has consented to the sale of the TV Guide magazine to the United Video Satellite Group for $2 billion in cash and stock. Murdoch will receive a payment of $800 million in cash and 30 million United Video shares worth $1.2 billion. Tele-Communications Inc. (TCI) and News Corp. will each have a 48% stake in United Video after the sale of the magazine. Both companies will also appoint five directors each to United Video's board of directors. The magazine is expected to post revenues of $590 million and a cash flow of $175 million for the current fiscal year.

Comment:

Purchases the TV Guide magazine from News Corp CEO Rupert Murdoch for $2 bil in cash and stock

Periodical Publishers, Periodicals NEC, Periodicals, The News Corporation Ltd., United Video Satellite Group Inc., TV Guide Magazine

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