AT&T Inc. is undergoing a renaissance of sorts buoyed by a recent
acquisition, the assimilation of Cingular Wireless and its connection as the
sole provider of Apple Inc.'s hot iPhone. The New York-based telecom reported
Tuesday that second-quarter profits rose 61% , sparked mainly by the
acquisition of Bell South Corp., which added to the company's total of 1.5
million new net wireless subscribers. The March 2006 addition of BellSouth
helped to raise AT&T's net income to $2.9 billion, or 47 cents a share, up
from $1.8 billion, or 46 cents a share, in the year-ago quarter. AT&T
purchased
BellSouth for close to $90 billion amidst a backdrop of resistance from trade
groups, smaller competitors and some lawmakers, who said the deal would hamper
competition. The deal, so far, looks to have helped to inject new life into a
company that only a couple of years ago was at a crossroads with its stock in
a doldrum and shareholders crying for growth. — Gerald Magpily
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