Telecom Italia sends Signal with Deal

TELECOM ITALIA SENDS SIGNAL WITH DEAL
[SOURCE: Financial Times, AUTHOR: Adrian Michaels in Milan and Tony Barber]
Telecom Italia has announced the acquisition from AOL of a broadband business in Germany, a signal that the new management will continue on the path set by Marco Tronchetti Provera, who resigned as chairman on Friday night. Mr Tronchetti quit amid a breakdown in relations between TI, Italy’s dominant telecommunications company, and the centre-left Italian government of Romano Prodi. The prime minister had expressed shock at the abrupt U-turn announced by the company last week to split into three, a move that could lead to the sale of important assets such as its mobile arm and network infrastructure. However, TI stressed that under Guido Rossi, the new chairman, the board had pledged to follow the restructuring plan. Mr Tronchetti wanted the company to focus more on the growth potential of broadband and media services.
http://www.ft.com/cms/s/6e922902-466f-11db-ac52-0000779e2340.html
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