Consolidated vs consolidating financial statements

30-Oct-2017 06:16

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In return, it proposed to give up ownership of the local operating companies.

This last concession, it argued, would achieve the Government's goal of creating competition in supplying telephone equipment and supplies to the operative companies.

The settlement was finalized on January 8, 1982, with some changes ordered by the decree court: the regional holding companies got the Bell trademark, Yellow Pages, and about half of Bell Labs.

Effective January 1, 1984, the Bell System’s many member-companies were variously merged into seven independent "Regional Holding Companies", also known as Regional Bell Operating Companies (RBOCs), or "Baby Bells".

This vertical integration led AT&T to have almost total control over communication technology in the country, which led to the antitrust case, United States v. The plaintiff in the court complaint asked the court to order AT&T to divest ownership of Western Electric.

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In 2002 the FCC declared that Internet service providers would be treated as if they were local and would not have to pay these access charges.AT&T would continue to be a provider of long distance service, while the now independent Regional Bell Operating Companies (RBOCs) would provide local service, and would no longer be directly supplied with equipment from AT&T subsidiary Western Electric.This divestiture was initiated by the filing in 1974 by the United States Department of Justice of an antitrust lawsuit against AT&T.However, an FCC order issued in December 2011 declared that all Vo IP services would have to pay the charges for nine years, at which point all access charges would then be phased out.

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Another consequence of the divestiture was in how both national broadcast television (i.e., ABC, NBC, CBS, PBS) and radio networks (NPR, Mutual, ABC Radio) distributed their programming to their local affiliated stations.The FCC established a system of access charges where long distance networks paid the more expensive local networks both to originate and terminate a call.

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