June 5 AT&T Inc has sold 7 percent of its
holding in Latin American telecommunications company America
Movil or 540 million shares, according to a filing
with U.S. regulators on Wednesday.
AT&T said the sales reduced its ownership stake in the
Mexican company, which is controlled by billionaire Carlos Slim,
to its historical level of 9 percent.
"From time to time we rebalance our asset levels and raise
cash for general corporate purposes," an AT&T spokesperson
said. "As a result of (America Movil's) recent share repurchases
and our sales, we will again hold an approximate 9 percent
U.S. analyst Walter Piecyk of BTIG said it likely does not
signal any change in AT&T's relationship with America Movil.
"We do not expect AT&T to continue their selling, nor do we
expect AT&T to give up its board seats," Piecyk wrote, adding
"We still think the companies have a positive relationship."
AT&T has two executives on the board of America Movil.
A spokeswoman for America Movil declined to comment on the
America Movil's shares have fallen 3.8 percent since AT&T
first started selling the company's shares on May 7.
In total, the stock has fallen 15.6 percent since the start
of the year, hurt by weak results and concern about the impact
of telecom reform in Mexico.
The company has been aggressively buying back shares this