AT&T Denies Acquisition Plans for America Online, Gray Communications Acquires Indiana Newspaper

AT&T Chairman C. Michael Armstrong has publicly stated that the company is not interested in acquiring America Online, contrary to recent reports suggesting otherwise. This announcement comes as a surprise, given America Online's previous position that federal regulators should mandate access to high-speed lines for other companies. The FCC's refusal to do so has significant implications for AT&T's financial interests, as the company aims to expand its high-speed networks to as many companies as possible. Meanwhile, Gray Communications Systems Inc. has acquired The Goshen News, a 17,000-circulation afternoon newspaper in northern Indiana, expanding its media portfolio.

Key Takeaways:

• AT&T Chairman C. Michael Armstrong has denied reports of the company's interest in acquiring America Online, stating that the company is "absolutely not interested" in pursuing the acquisition.
• America Online had sought to have federal regulators mandate access to high-speed lines for other companies, but the FCC refused, which could have financial implications for AT&T.
• Gray Communications Systems Inc. has acquired The Goshen News, a 17,000-circulation afternoon newspaper in northern Indiana, expanding its media portfolio.
• AT&T opposes government-mandated access to cable companies' high-speed lines, preferring to expand its high-speed networks to as many companies as possible.
• The acquisition of The Goshen News marks Gray Communications' third purchase of a newspaper in as many years.
• Gray Communications operates three NBC-affiliated television stations, seven CBS-affiliated television stations, and several other media outlets.

Statistics:

• 17,000: The circulation of The Goshen News, an afternoon newspaper in northern Indiana acquired by Gray Communications Systems Inc.
• 3: The number of NBC-affiliated television stations operated by Gray Communications.
• 7: The number of CBS-affiliated television stations operated by Gray Communications.
• $7: The cost for non-subscribers to obtain a copy of Investment Quarterly.
• 404-222-2727: The phone number for Journal-Constitution subscribers to obtain a free copy of Investment Quarterly.
• 404-614-2610: The phone number for non-subscribers to obtain a copy of Investment Quarterly for $7.

Sources:

• Associated Press, "AT&T Denies Acquisition Plans for America Online"
• Journal-Constitution, "Gray Communications buys Indiana newspaper"
• Investment Quarterly, "Get free copy of Investment Quarterly"