AT&T demands payment on $500 million DISH note
We sort of figured the flames in the AT&T / EchoStar relationship were all but extinguished, but this pretty much puts the lid on things. According to a recent 8-K filing with the SEC, AT&T is demanding that DISH Network pay back a $500 million note which is due July 2010. Reportedly, the note would have eventually converted to DISH shares at $60.25, but given the current $33 stock price, it seems AT&T isn't really interested in twiddling its thumbs. Bernstein Analyst Craig Moffett mentions that the note was "first acquired in 2003 as part of AT&T's strategic resale agreement with DISH (formerly EchoStar)," and while neither party has outrightly denied a potential buyout, this kind of action seems to signify that the love connection has been terminated.
[Thanks, VANBROTHERS]
