Government Poised To File Suit To Block AT&T-Time Warner Deal: Reports

The U.S. Department of Justice plans to file a lawsuit tomorrow to block the AT&T-Time Warner merger, according to multiple media reports this afternoon.
Although the situation has been shrouded in confusion, his department has reportedly communicated to AT&T that it would have to ditch Turner Broadcasting, including CNN, or DirecTV, in order to gain approval. The action would officially draw a line in the sand that the government has been threatening for months. Makan Delrahim, head of the DOJ's antitrust division  has recently articulated a philosophy that calls for added scrutiny of the "behavioral remedies" that allowed comparable deals like Comcast-NBCUniversal to go through under President Obama.
Time Warner shares slipped 1% to $87.69 as the news hit Wall Street, while AT&T actually gained a fraction to finish at $34.65.
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Philosophy isn't the operative word for President Donald Trump's view of the $85 billion deal. He has long assailed CNN as "fake news" and has spoken publicly against the combination and is seen as a potential factor in foiling the deal, even though the news network will continue to report on his administration regardless of its corporate ownership.

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