AT&T confirmed that it will reorganize in preparation for its planned acquisition of Time Warner. As expected, the carrier appointed John Stankey as head of a its media operations, a role Stankey has prepared for as CEO of AT&T Entertainment Group. Stankey will head up AT&T’s merger integration team as well.
In addition, AT&T has promoted Lori Lee and John Donovan to new positions. Lee, who has been overseeing the merger integration team, will head up AT&T International starting August 1, while Donovan will become CEO of AT&T Communications, which includes AT&T’s business solutions, entertainment group, and technology and operations group. Donovan was previously chief strategy officer and group president of the technology and operations group.
AT&T has not said whether any of its executives or employees will be relocating as part of this reorganization. The carrier is expected to operate Time Warner out of Los Angeles and New York if the merger is completed.
The executive changes are the latest in a series of signs that AT&T is highly optimistic that the U.S. Justice Department will approve its $85 billion Time Warner purchase. During its earnings call this week, the company said it expects the deal to close this year.
Late last week, AT&T raised $22 billion in a bond offering, saying some or all of the money would be used to help finance the Time Warner purchase. AT&T said that if the merger is not consummated by next April, it will be required to redeem all the of the notes at 101% of the principal amount plus accrued interest.
