posted
This Might happen sooner than later Dont see this going lower than what it is.
Time Warner's cable TV subscription services have long been considered to be a drag on the company. Its plans to jointly acquire Adelphia Communications (ADELQ) with Comcast Corp. (CMCSK) would offer it the chance to do a "reverse merger" in which it puts its cable entities under the Adelphia name and stock symbol.
That would allow the company to keep it separate from its other entities, including its valuable cable channels such as TBS, TNT, HBO and CNN, Martin said.
A potential Viacom spinoff along with Liberty Media's (L) reported plans to break out its Ascent Media and Discovery cable channel operations ratchets up the pressure for Time Warner to consider a similar move, Martin said.
The move by Time Warner shares actually exceeded that of Viacom on a percentage basis. Viacom preferred shares were up 33 cents to $37.33. Meanwhile, Viacom Class B shares jumped 72 cents, or 2 percent, to $36.72.
Should Time Warner also considering unloading America Online? James Goss of Barrington Research says not yet.
"It could be premature, I think, to do something with AOL," Goss said.
Now that Internet advertising is on the rebound, AOL gives the company an additional outlet.
"Now that you've effectively solved a lot of the problems, you might as well take advantage of some of the benefits," Goss added.
Also on the rise Thursday was News Corp. (NWS), up 27 cents, or 1.5 percent, to $18; and its Fox entertainment unit (FOX), up 74 cents, or 2.1 percent, to $35.96.
Martin said News Corp.'s cable assets, including the Fox sports channels, FX and the Fox News Channel, might make an attractive spinoff.
Viacom said that it still is considering the proposal, and will have a final decision in the second quarter.
At the very least, Viacom is unearthing the assets at both its own company as well as others', Goss said.
"Maybe Viacom's just drawing attention to the fact that value still exists," he said.
posted
i don't think the current bid for adelphia is going to have any effect on the pink sheet stock. they are buying the company, not the worthless shares that are still trading. the bid for alelphia is around 17 billion. the market value for the ADELQ is 29 million according to yahoo. i think adelq is essentially worthless. i don't know how the pink sheet stock would be taken into account if at all.
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NEW YORK, March 16 (Reuters) - Cable company Adelphia Communications Corp. (ADELQ.PK: Quote, Profile, Research) on Wednesday said it will use Level 3 Communications Inc. (LVLT.O: Quote, Profile, Research) as its exclusive wholesale Internet phone service provider as it works to roll out digital telephone service to customers in certain markets this year. Level 3 said it will offer Adelphia a connection to the public telephone network so Adelphia can bundle digital phone services with its cable and Internet products without having to build its own voice over Internet Protocol (VoIP) network.
posted
Is anyone on this boat? I I told you guys about it when it was at .13. Know that there going to settle for 750million. This is going to be a great chance that time warner is going to buy them out. It's currently at .24 I see this one at .35 to .50 in a week.
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Dont see this going lower than what it is.
