AT&T Mulls Comcast Bid; Malone Quits in Pique

11 July 2001

The unsolicited $41 billion all-stock bid by Comcast Corporation for AT&T’s US cable operations [WAMN: 09-Jul-01] was discussed for two hours yesterday by the latter’s board – minus tycoon John C Malone.

Malone, who is both a director of AT&T and media investment group Liberty Media, was apparently piqued by his omission from the Comcast discussions, and informed the board by letter that his exclusion made it “appropriate” for him to exit ahead of his expected departure date next month.

The cable mogul has been a vocal critic of the way in which AT&T ran its cable business and his investment vehicle Liberty Media is seen as a potential bidder for AT&T’s broadband interests

The AT&T board will almost certainly reject the Comcast bid – at least on its present terms – say insiders.

News source: Wall Street Journal