EXHIBIT 99.2
AMERICAN TOWER CORPORATION ANNOUNCES MERGER WITH TELECOM TOWERS, LLC
Contact: Joseph L. Winn, Chief Financial Officer or
Emily Farina, Director of Investor Relations
Telephone: (617) 375-7500
Boston, Massachusetts - November 16, 1998 - American Tower Corporation (NYSE:
AMT) has entered into an agreement to merge with TeleCom Towers, L.L.C.
The purchase price for TeleCom Towers will be approximately
$155,000,000, subject to adjustment for closing date working capital. American
Tower will also assume approximately $30,000,000 of debt, subject to adjustment
for interim acquisitions and capital expenditures. The purchase price (except
for the working capital adjustment, which is payable in cash) will be paid 60%
in American Tower Class A Common Stock (based on average stock prices ten days
before and ten days after today) and 40% in cash.
TeleCom Towers was formed in 1994 to serve wireless users in the
Washington, DC and Northern Virginia region. The company has grown quickly,
currently owning or co-owning nearly 367 towers and managing another 130
revenue-generating sites in 27 states. In addition, TeleCom has rights to
approximately 1,700 managed sites which are not currently generating revenue.
Its subsidiary RCC Consultants, an RF design and engineering consulting group
serving mostly governmental agencies, will be spun off by TeleCom prior to its
merger with American Tower.
Once the transaction is completed, Dean H. Eisner, Vice President,
Business Development and Planning of Cox Enterprises, Inc., will join the
American Tower Board of Directors.
Steve Dodge, Chairman of American Tower, said of the transaction, "This
is a quality tower company with excellent people and excellent assets. Many of
Telecom's towers are in the Midwest, where we need to establish a stronger
presence as we move toward creating a national footprint. We look forward to
completing this merger."
Clark Madigan, President of TeleCom Towers, remarked, "We are excited
about the merger of our two companies and appreciate the excellent reputation
and leadership position American Tower has in our industry. We look forward to
contributing in every way possible to the expansion and development of our
combined enterprise."
(continued)
American Tower Corporation is a leading independent owner and operator
of broadcast and wireless communications sites in the United States and, giving
effect to this transaction, owns or manages more than 2,600 towers in 44 states
and the District of Columbia. Based in Boston, the company has a national
footprint with regional hubs in Boston, Atlanta, Houston, San Francisco and
Chicago.
This press release contains "forward-looking statements" concerning
future expectations, plans or strategies that involved a number of risks and
uncertainties. The Company wishes to caution readers that certain factors may
have affected the Company's actual results and could cause results for
subsequent periods to differ materially from those expressed in any
forward-looking statement made by or on behalf of the Company. Such factors
include, but are not limited to (i) substantial capital requirements and
leverage principally as a consequence of its ongoing acquisitions and
construction activities (ii) dependence on demand for wireless communications
and implementation of digital television, (iii) the success of the Company's
tower construction program, and (iv) the successful operational integration of
the business of the company being acquired. The Company undertakes no obligation
to update forward-looking statements to reflect subsequently occurring events or
circumstances.
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116 HUNTINGTON AVENUE, BOSTON, MASSACHUSETTS 02116 617/375-7500 FAX 617/375-7575