AT&T-BT; Venture Expected to Miss Forecasts

AT&T; Corp. and British Telecommunications said profit and revenue from their joint venture to offer voice, data and Internet services to large global companies will be 30% below initial forecasts as fees to complete international calls decline. The biggest U.S. and British phone companies expect the Concert venture to have revenue of about $7 billion and earnings of $700 million before interest expenses and taxes. AT&T; and BT estimate that the market for the services is valued at $100 billion. The combination comes as costs to complete international calls through other phone companies’ networks have dropped as overseas monopolies end and competition increases. Concert’s high-speed data network reaches every major U.S. and British city as well as 170 cities in 47 countries. Its global public network directly reaches 237 countries. AT&T; shares closed off 44 cents at $50.94, while British Telecom’s American depositary receipts fell $6.19 to close at $221.75, both on the Big Board.