DOJ clears AT&T's purchase of Dobson

DOJ CLEARS AT&T'S PURCHASE OF DOBSON
[SOURCE: US Department of Justice]
The U.S. Department of Justice has cleared AT&T's acquisition of Dobson Communications Corporation on condition that AT&T divest assets to address competition concerns in seven markets in Kentucky, Oklahoma, Missouri, Pennsylvania and Texas, including rights to the “Cellular One” brand. The Department said that in certain areas the transaction would have resulted in higher prices, lower quality, and diminished investment in network improvements, and would have substantially lessened competition to the detriment of consumers of mobile wireless telecommunications services. In three rural service areas (RSAs) in Kentucky and Oklahoma, AT&T and Dobson each hold one of the two cellular licenses and are the most significant competitors. In two RSAs in Missouri and Texas, AT&T has a minority equity interest in, and important control rights over, the primary wireless competitor to Dobson. The Department’s Antitrust Division filed a civil lawsuit today in U.S. District Court for the District of Columbia to block the proposed transaction. At the same time, the Department filed a proposed consent decree that, if approved by the court, would resolve the Department’s competitive concerns and the lawsuit. AT&T is the largest mobile wireless telecommunications services provider in the United States, measured by subscribers, offering service to more than 63 million subscribers in 50 states. Dobson is the ninth largest mobile wireless telecommunications services provider to approximately 1.7 million subscribers in the United States, offering service in 17 states. The transaction is also subject to review by the Federal Communications Commission.

* Justice Department Requires Divestitures in AT&T’s Acquisition of Dobson Communications
http://www.usdoj.gov/opa/pr/2007/October/07_at_863.html

* Dobson Communications says DOJ clears its buyout by AT&T
http://www.reuters.com/article/governmentFilingsNews/idUSN30287330200710...

* AT&T to sell rural cellular assets to buy Dobson
http://www.reuters.com/article/innovationNews/idUSWNAS923020071030

* AT&T Will Sell Holdings To Clear Dobson Deal
http://online.wsj.com/article/SB119376856890676456.html?mod=todays_us_ma...