kim@emory.UUCP (Kim Wallen ) (11/29/83)
In most of the articles about the divestiture I have seen little discussion about AT&T, but an awful lot about the regional companies. Does this reflect the fact that alot of AT&T shareholders are concerned about income from the stock rather than growth so the regionals are of more interest to them? The AT&Twi seems to be a potentially very good investment, is there something I am missing to suggest that it won't be trading substantially above $20 when the stock is issued? Some discussion about AT&T after the divestiture and trading in wi stock would be appreciated. !akgua!emory!kim Kim Wallen Psychology Dept Emory University Atlanta, GA
rowan@parsec.UUCP (11/30/83)
#R:emory:-120300:parsec:36500003:000:1271
parsec!rowan Nov 29 12:03:00 1983
I assume that the reason most of what you have seen about the
divestiture is on the operating companies is because most individuals
(certainly the widows and orphans) bought AT&T because it was a
telephone utility. It offered income and stability. After the
divestiture, AT&T is supposed to be a growth company.
As to the 'new' AT&T, the jury is still out. Many feel that
the transition from regulated monopoly to competitive company will be
difficult for an organization as large as AT&T. I think this will
especially true of Western Electric. They have a great manufacturing
reputation but can they be competitive? I don't know but if you look
to the Armonk Monster you can see how fast a large organization can
move once unshackled from anti-trust litigation.
Another big question mark is what is going to happen with the
access charges. At this point your guess is as good as anyones. I bet
the Congress or the bureaucracy will find some way to muck up the free
enterprise system in the name of the social issue of universal
service. This issue effects the other long distance carriers as well
as AT&T.
I have not made a decision yet.
Steve Rowan
Parsec Scientific Computer Corp.
{allegra,ihnp4,uiucdcs,ctvax}!parsec!rowan
(214)669-3700