Our client Dave Novosel, senior analyst, Gimme Credit, quoted on Barron's:
“The A rating is in danger as the company prepares to digest the acquisitions of DirecTV and Iusacell in the first half of 2015. In addition, AT&T may pursue additional deals in Mexico, especially since America Movil will be shedding assets. The much-needed spectrum comes at a steep cost too. The substantial spending commitments are likely to boost leverage considerably. Hefty dividend payouts will increase with the issuance of new shares to fund the DTV transaction. Meanwhile, price wars continue in the industry.”