AT&T CFO breaks down economic benefits of DirecTV spinoff [telecom]

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by Ben Munson

AT&T CFO John Stephens broke down some of the long-term financial benefits his company could see from its recent deal to spinoff its linear video businesses.

Last month, AT&T announced a deal TPG Capital to establish a new company named DirecTV that will own and operate DirecTV, AT&T TV, and U-verse. The deal implies an enterprise value of $16.25 billion for the new company, of which AT&T will own 70% of the common equity.