14 DAY TRIAL // This merger has been one of the top topics of discussion for some time, and it finally looks like the largest mobile network in the States is ready to get busy and become the giant everyone's expecting to see. Although Verizon had settled with Alltel, as you probably already know, some time ago, the FTC approval was necessary to make it all legal.
So, today the Federal Trade Commission has announced that all problems, down to the last, it has been faced with regarding this purchase have been dealt with. According to the FTC's antitrust regulators, the review of the merger was finished earlier than they first led us to believe. Since no objections have been found, it seems that all is well and the resulting entity is set to become the largest mobile carrier, having the network with the widest span.
On the other hand, should we listen to Verizon, the company's officials first declared that they were certain that the deal was going to be legally signed and approved before this year was out, but afterwards, when things started to move slower, other statements led us to believe that it might just last until next year. In any case, the company doesn't have time to do much until the New Year, but legally sealing the deal is certainly still a moment of pride and joy.
However, some conditions have been already named in order for this corporation to be “born.” Mainly, these conditions concern the sale of some service areas and other less relevant issues. In any case, the focus is now going to be, as always, on the money being spent. Therefore, you should know that Verizon has agreed to assume Alltel's debt of 22.2 billion dollars and also to pay about 5 billion dollars for the actual purchase of the company.
In order to make the public see that it can handle these payments, Verizon has declared that eight companies have agreed to support it and it should receive, combined from all these companies, about $17 billion, which, obviously, would aid it much in the acquisition of Alltel.