The stock of AT&T Inc (NYSE:T) closed at $ 35.42 gaining 2.10% in yesterday’s trading session. This company after an extended period of silence has finally come out to respond to the Justice Department Lawsuit. There was a lot of speculation with quite a significant number of people taking the strong stand that the company would go down without putting up a fight.
The Justice Department has been at the company’s neck with a lawsuit over its expected merger with Time Warner Inc (NYSE:TWX).On Tuesday, this telecommunications giant went ahead to unveil an elaborate rebuttal to the case presented by the government regulators.
Reports indicate that the filing was made to the U.S. District Court for the District of Columbia and one thing that was clear beyond any cloud of doubt was the fact that quite little room had been left for common ground.
In numerous instances, AT&T has repeatedly been seen rejecting the assertion that it had plans underway to buy Time Warner which implies that it would be in violation of the antitrust law.
In case it succeeds, it will gain total control of all entertainment firms. In other words, none of the competitors will be sidelined by this merger and that was clearly stipulated by the company in its filing.
AT&T has given its statement in relation to the matter outlining that it seeks to buy the company regardless of the fact that it has over the years posed fierce competition to it. The company exuded great confidence holding on to the fact that there was no way the government was going to be able to meet its burden of proof for an antitrust argument.
The company has also come out strongly to assert that the government has not been successful in laying out its case and pointing to the markets it will be impacting negatively.
The company’s spokesperson opined, “In seeking to block this merger, then, the Government is not only departing from established antitrust precedent, but is also shielding rivals from new competition that would greatly benefit consumers.”