AT&T Changes Spurred By Activist Investor Push

The company is looking for assets it can sell off to pay down its Time Warner acquisition, while CEO Randall Stephenson will stay on through 2020.

NEW YORK (AP) — AT&T will review its portfolio for assets it can sell off, pay down debt related to its Time Warner acquisition and add two board members as part of a plan to boost results.

The moves come after criticism from hedge fund manager Elliott Management. In September the activist disclosed a $3.2 billion investment in AT&T, roughly a 1% stake, and called for changes at the company such as selling assets and paying down debt.

AT&T Inc. also said Monday CEO Randall Stephenson will stay on through 2020. Stephenson called conversations with Elliott Management “constructive.”

AT&T is readying a streaming service set to launch in 2020 following its $81 billion purchase of Time Warner as more customers abandon traditional pay TV.

Shares of the Dallas company jumped 5% in morning trading.


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