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AT&T sets NCR spinoff
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November 21, 1996: 9:22 a.m. ET
Shareholders to get a piece of NCR when it starts trading on NYSE
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NEW YORK (CNNfn) - AT&T Corp. has finalized plans to spin off its NCR Corp. subsidiary into a publicly-traded company and distribute common stock to AT&T shareholders.
AT&T announced the decision of its board of directors late Wednesday, saying it will give shareholders of record on Dec. 13 a special dividend of 0.0625 shares of NCR for each AT&T share. Investors owning less than 16 shares will be paid cash.
Spinning off NCR completes AT&T's plan to break off three divisions, allowing it to focus entirely on communication services. The company completed the spinoff of telephone-equipment maker Lucent Technologies Inc. on Sept. 30 and sold AT&T Capital Corp. to an investor group on Oct. 1.
NCR, an $8.1 billion company with 57,000 employees, manufactures and markets computer systems.
AT&T acquired NCR in a $7.5 billion hostile takeover five years ago. While expectations for the unit were high, it performed poorly and only recently began turning a profit. AT&T lost billions of dollars on the deal.
NCR will begin trading on the New York Stock Exchange on Dec. 31 under the stock symbol "NCR." 
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