Let me address these flawed point by flawed point: 1. Value in merger? with $37 billion in liabilities, bond rating so, "junky" they can't borrow any more money at a reasonable rate, an aging network in need of expensive upgrades, no viable 4G solution just as soon as Clearwire goes under or refuses to do further business with Sprint, a nasty reputation for customer service that no amount of J.D. Powers awards apparently can't overcome, NO physical assets (last to go were the towers in July, 2007), hasn't made a profit for over four years...etc. Merger value in price per share? ZERO! Why? Because company's one asset, its network, will be available for pennies on the dollar after receivership (which is exactly where it's headed - perhaps intentionally!) 2. Issued as an IPO? Under what conditions? With NO strategic plan and no 4G offering in a market that's FAR ahead already? Again! Value per share: ZERO! Ask yourself when considering the present state of the company pointed out in #1: what is that worth to you? It's worth less than $3/share to the market - and it's trending downward (and there's another disastrous Quarterly Report coming up which'll be presented to the same analysts who called Sprint on the carpet for, "obfuscation" on October 7! They're likely to ask more pressing questions this time around!) 3. Would YOU pay $10 a share for a company with zero prospects, a MINUS 2.65 P/E, debt-to-equity of 1.39, a profit margin of MINUS 9.5, ROA: MINUS 6.4, ROI: MINUS 10 You actually think this company makes an attractive investment? HOW? It doesn't even make an attractive SHORT at this point. But, then again, unlike geniuses like you, the market thinks it's worth less than $3 at this juncture. Guess you know something they don't, right? Good news? You CAN get about 30 cents on the dollar back when you file a loss on your tax return this year. Congratulations.
Never forget, Sprint paid about the same amount, $36 billion, for Nextel back in 2004. With inflation, that equates to about $43 billion now. SO, how's it again Sprint should be worth $12/share simply because of what ATT MAY (!!!!!) pay for T-Mobile? (reminder: the merger has not yet gone through. It WILL, but, not yet...)