Given the huge debt load ($135B) is there anyway T will be able to remain solvent? Add to the debt the diminishing free cash flow, and very limited, to no new revenue streams. It's fair to ask if T can remain solvent. The future looks exceptionally bleak for at&t, the worst part is that it didn't have to be this way. Stephenson and Stankey could not have performed any worse if they tried. This, as they laugh all the way to the bank!
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The mobility cash cow is dying off. T-Mobiles 5G network runsaps around ours and their bills don't have magical ever-increasing fees. If they say the bill is $80, then it's $80 every month. Not $80 plus a random administrative fee, plus taxes that cant be calculated until your first bill arrives.
https://www.theverge.com/2022/5/12/23069156/att-vianu-lawsuit-class-action-administrative-fee
Now that Pascal and Stankey are searching the sofa cushions for change every night. It depends on how much they find.
John, how did you and Randall bankrupt AT&T?
John responds ‘ gradually then suddenly’
They are trying to raise money in retail. They recently raised the Next Up feature from 5.00 per month to 6.00. They increased the insurance from 15.00 to 17.00 and last week they raised the upgrade fee and activation fee to 35.00 from 30.00. They are trying to squeeze every dime out of the customers
Brand names are precious, the wealthy shareholders do not let those go down the tubes.
They make deals, create new companies that acquire their losing interests, and those are the companies that file for bankruptcy.
Just read the stories of WorldCom, Global Crossing Holdings LLC, XO Communications, Qwest, Frontier, and the list goes on! Each of these companies had one thing in common, their business model was buying failed telecoms and amassing huge debt.
What separates AT&T from those companies?
AT&T has a Mobility cash cow!
So thanks to Ed Whitacre for that!
No only can they raid your 401k and pension, they can touch you bank accounts too.
I don’t know the answer to this last question, but I think we all sure as he!! hope the answer is no.
Serious question. Can they raisld our 401k and pension funds to stay out of bankruptcy? Can they raid the funds if they're in bankruptcy?
Paying the workers. Paying the investors. Yay! Sounds pretty solvent
Cutting the dividend, withdrawing benefits that employees accepted in lieu of years of pay. Stock below 20. Free cash flow adjusted down by BILLIONS. BILLIONS lost on failed acquisitions. Yep, that sound of the circling drain needs no concern...
Paying the workers. Paying the investors. Yay! Sounds pretty solvent.
Wanna be CEO trying to be clever by comparing AT&T to Enron.
“Another ENRON in the making? You wish! Never happen at least not while I'm still on the payroll!”
This poster wins the annual “I’m in denial “ award…..lol
Another ENRON in the making? You wish! Never happen at least not while I'm still on the payroll!
You can’t cut your way to financial solvency. T is an unhealthy corporation with an expiration date that is coming sooner than later.
Zero chance. Those that think T is “OK” are as ignorant as the “C” suite.
Nope, not on your life. T will be lucky to survive another 5 years. Current c-suite and BOD are the worst of all time across all industries. The downfall always starts slow and ramps up quickly.
SBC acquired Legacy T to be able to use the AT&T name, so I’m guessing the company would have to change names if someone else owned Legacy T.
The most valuable thing Toxic-T has is First Net. That keeps the company going. Someone will want that contract.
What will survive? The Rat and the Stink's pensions, limos, corporate jet access and other perks. Same for Whitacre. The rest of us grunts will bear the brunt.
good lord, T isn’t going out of business. Worst case scenario-The Feds bail them out.
Not going to happen. Stupid question.
Nothing to survive when they spin off wireline. Plenty of money to be made just in wireless.
Legacy T almost went under before SBC. Bought it for $16B. The brand has value but it might be owned by someone else.
As they reduce copper services we will have less need for outside techs, service reps, project managers, sales, facs, splicers, and call center employees. It’s an ugly
truth but it is reality.
Now imagine if they only surplused 15% of those titles. It’s still thousand of people.
The process will continue each quarter until we have no more copper services to sell.
Cut all the slackers that aren't producing.
Att has been around since 1885. That is prrof that ATT can weather any storm.
You people that believe T is doomed are completely delusional to say the least! Your wishful thinking will help nobody! Try to step up and help make T successful rather than being doomsday town criers!
The future state of AT&T will be a breakup where the pieces are more valuable than the sum of the whole.
Going out of business sale. Everything must go!
Only way to succeed is to cut its management workforce by 20%.
We will still have buyback a lot of shares to compete with VZ. T needs to spend another $60billion to buyback enough shares to put themselves on equal footing with VZ. Add to that each year they don’t buyback those shares it will cost a few billion in dividends.
It’ll be years before they get back and/or they will be bought.
"Job market is getting very demanding and you can't just sc--w too much good engineers or they'll leave"
China & India have 2.5 billion people without any labor laws, outsource jobs overseas or lobby for more h1b visas. There's really no reason to pay American wages, retirement, and health insurance anymore.
We just need to pay a PR firm to convince the public there is an engineering shortage.
Big beautiful debt to make AT&T great again.
Maybe they too can get their debt "forgiven"........
Some people wet their pants when they hear the word "debt".
Under Stink T is number 3 in wireless and BB It’s never good to be number 3.
In short - i don't think so
Job market is getting very demanding and you can't just sc--w too much good engineers or they'll leave
Cost pressure all over the place, maybe my boss is an extreme cheapskate, but i often fantasize of running away from here
AT&T will be fine due to a lack of competition, Verizon & T-Mobile are also in an enormous amount of debt. If consumers had 50 wireless carriers to choose from that'd be a problem...
Thankfully America is not a capitalist free-market. AT&T can waste billions & make poor decisions and generate $$$$$$$