AT&T makes changes in response to activist investor push

October 28, 2019 - 9:57 am

NEW YORK (AP) — AT&T will review its portfolio for assets it can sell off, pay down debt related to its Time Warner acquisition and add two board members as part of a plan to boost results.

The moves come after criticism from hedge fund manager Elliott Management. In September the activist disclosed a $3.2 billion investment in AT&T, roughly a 1% stake, and called for changes at the company such as selling assets and paying down debt.

AT&T Inc. also said Monday CEO Randall Stephenson will stay on through 2020. Stephenson called conversations with Elliott Management "constructive."

AT&T is readying a streaming service set to launch in 2020 following its $81 billion purchase of Time Warner as more customers abandon traditional pay TV.

Shares of the Dallas company jumped 5% in morning trading.

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