Sprint Wants States to Review AT&T’s Proposed $39 Billion T-Mobile Deal

http://www.advancedmarkettiming.com/

AT&T vs Sprint

As reported by Bloomberg’s Todd Shields and Greg Bensinger:

Sprint Nextel Corp. (S) said it wants state agencies in California and West Virginia to follow Louisiana in scrutinizing AT&T Inc. (T)’s proposed purchase of T- Mobile USA Inc.

Third-largest U.S. wireless carrier Sprint filed a request with the California Public Utilities Commission yesterday requesting an investigation into the $39 billion transaction, the company said in an e-mail.

“This transaction is bad for consumers and bad for the economy, and we look forward to having some regulatory sunshine cast upon it,” John Taylor, a spokesman for Overland Park, Kansas-based Sprint, said in an interview. California and West Virginia should open reviews, as Louisiana has, he said.

On May 17, the Louisiana Public Service Commission voted 4- 1 to open an inquiry, Commissioner Foster Campbell said in a phone interview yesterday.

“It’s too big a deal to let it go through without getting everybody’s questions answered, and making sure this is a good deal for the consumer,” said Campbell, a Democrat.

The deal needs approval from two U.S. agencies, the Justice Department and the Federal Communications Commission.

States can keep companies from transferring assets within their borders, a possibility that can lead to concessions by companies, Rebecca Arbogast, a Washington-based analyst with Stifel Nicolaus & Co., said in an e-mail. States haven’t blocked past deals, she said.

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