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Divestiture
(redirected from Divesture)

   Also found in: Dictionary/thesaurus, Legal, Financial 0.01 sec.
Divestiture
The breakup of AT&T (American Telephone & Telegraph Corporation), the largest company in the U.S. prior to 1984. By federal court order, AT&T divested itself on January 1, 1984 of its 23 operating companies, which became known as the Regional Bell Operating Companies (RBOCs). Bell Labs was renamed AT&T Bell Labs, and its Western Electric manufacturing division became AT&T Technologies.

The demarcation point of the split was the Class 4 switching center. Except for those that handled large metropolitan regions, all Class 4 offices remained with AT&T, and all Class 5 offices went to the RBOCs. It was the switching office class hierarchy within the Bell system that made Divestiture possible, because there were clear borders between long distance and local service. See Class 4 switch, Bellcore and Trivestiture.


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According to a press release issued by GF, the divesture is part of a broad-based restructuring in which the company will attempt to cut its total costs by more than $3.
Keywords: Portfolio restructuring * Divesture * Asset expansion * Corporate governance * Stakeholder influence * Japan ********** Introduction Corporate restructuring is an action that alters the structure, composition or orientation of a firm in response to changing external environments or altered internal organizational conditions (Bowman/Singh 1993, Kang/Shivdasani 1997).
The divesture means Foremost, which is one of the largest co-operatives in the US, will focus on its butter, cheese and dairy ingredients segments.
 
 
 
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