AT&T buys Convergys minority stakes

Staff writer
21 Jul 2011
00:00

Convergys has sold its interests in the cellular partnerships in the Cincinnati metropolitan area to AT&T for $320 million.

Convergys expects to announce second-quarter results in early August and will update full-year guidance to reflect cellular partnership-related impacts on EBITDA, EPS, and free cash flow.

Under terms of the purchase agreement, Convergys will receive its share of the cash distribution for the second quarter performance, if any.

Convergys expects net after-tax cash proceeds from the sale to reach $250 million, or $2 per diluted share.

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