US urges judge to reject AT&T/Time Warner court date proposal

US urges judge to reject AT&T/Time Warner court date proposal

The U.S. government on Tuesday urged a federal judge to reject the February court date sought by AT&T and Time Warner in a dispute over the firms' proposed merger, arguing the companies are rushing to meet an April 22 closing deadline for their US$85.4 billion deal.

FILE PHOTO: An AT&T logo and communication equipment is shown on a building in downtown Los Angeles, California, U.S. on October 29, 2014. REUTERS/Mike Blake/File Photo

WASHINGTON: The U.S. government on Tuesday urged a federal judge to reject the February court date sought by AT&T and Time Warner in a dispute over the firms' proposed merger, arguing the companies are rushing to meet an April 22 closing deadline for their US$85.4 billion deal.

The U.S. Justice Department last month sued to block AT&T's planned acquisition of Time Warner, saying the combination could raise prices for rivals and pay-TV subscribers while hampering the development of online video.

AT&T CEO Randall Stephenson had called the companies' requested court date of Feb. 20 a "reasonable ask." The government had requested that proceedings start on May 7.

AT&T will have to pay Time Warner US$500 million if the merger is not consummated by April 22.

(Reporting by Eric Beech; Editing by Tim Ahmann and Christopher Cushing)

Source: Reuters

Bookmark