Credit: Shutterstock photoAccording to a Washington Post report on Thursday, mobile phone giants AT&T Inc. ( T ) and T-Mobile have withdrawn their merger application from the Federal Communications Commission (FCC).
The proposed $39 billion merger , announced back in March, would have created the largest mobile phone company in the U.S. Germany-based Deutsche Telekom is the current owner of T-Mobile.
According to the report, the two companies came to their decision to nix the deal after FCC Chairman Julius Genachowski said recently that he would try to block the merger.
AT&T and T-Mobile noted that they would still pursue a deal in some respect, but are prepared for failure. If the deal does fall through, At&T will owe Deutsche Telekom some $4 billion in break-up fees.
AT&T shares were unchanged in premarket trading Friday.
The Bottom Line
We have been recommending shares of AT&T ( T ) since Mar.12, 2009, when the stock was trading at $23.35. The company has a 6.24% dividend yield, based on Wednesday's closing stock price of $23.35.
AT&T Inc. ( T ) is a "Recommended" dividend stock, holding a Dividend.com DARS™ Rating of 3.6 out of 5 stars.
Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Created by Dividend.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
