Verizon Executive Says Company Is Unsure About Yahoo Deal
January 05 2017 - 12:45PM
Dow Jones News
By Ryan Knutson
Verizon Communications Inc. is unsure whether it will proceed
with its $4.8 billion acquisition of Yahoo Inc., a top Verizon
executive said Thursday.
Speaking at an investor conference in Las Vegas, Verizon
Executive Vice President Marni Walden said the carrier continues to
study the impact of a data breach at Yahoo that affected more than
1 billion accounts, which the internet firm disclosed in December.
The hack occurred in 2013 and is separate from a 2014 breach that
exposed 500 million Yahoo accounts.
When asked whether the telecom giant would proceed with the
deal, Ms. Walden said: "Unfortunately, I can't sit here today and
say with confidence one way or the other because we still don't
know."
There is still logic to acquiring Yahoo, said Ms. Walden, who
oversees Verizon's digital services and has been closely involved
in the transaction. The idea is to expand Verizon's audience so it
has more advertising inventory. "The merits of that transaction
still make sense, " she said.
To walk away, Verizon likely will have to show the overall value
of Yahoo has declined as a result of the two hacking disclosures.
It will take weeks before Verizon makes a decision, Ms. Walden
said.
"I have to have certain facts in order to be able to make a
decision," she said. "There's a lot of stuff we don't know."
Write to Ryan Knutson at ryan.knutson@wsj.com
(END) Dow Jones Newswires
January 05, 2017 12:30 ET (17:30 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.
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