AT&T, Deutsche Telekom withdraw FCC application for T-Mobile merger, look toward DoJ

Now that FCC Chairman Julius Genachowski has called for an administrative hearing at the proposed AT&T’s proposed buyout of T-Mobile, both parties have decided to formally withdraw their application to the Commission. The confirmation came today, with a press release from AT&T and Deutsche Telekom , which owns T-Mobile USA. In an announcement, both companies reiterated their commitment to the deal, adding that they are trying to receive final approval from the DoJ: “This formal step today is being undertaken by both companies to consolidate their strength and to focus their continuing efforts on obtaining antitrust clearance for the transaction from the dep. of Justice.” AT&T also reaffirmed that it could incur a $4 billion hit should the deal fall through, and that it expects to take out a pretax charge for that quantity throughout the fourth quarter of this year. After all, Genachowski’s decision must still obtain approval from the whole Commission, nonetheless it certainly seems like both parties are gearing up for a courtroom battle.