AOL–Time Warner merger

E119946

The AOL–Time Warner merger was a landmark 2000 corporate deal that combined internet giant AOL with media conglomerate Time Warner, later becoming infamous as one of the most disastrous mergers in business history.

All labels observed (3)

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Statements (52)

Predicate Object
instanceOf M&A deal
business transaction
corporate merger
acquirer AOL
announcedBy Gerald Levin
Steve Case
announcedOn 2000-01-10
AOLCEOAtAnnouncement Steve Case
AOLFounder Steve Case
AOLHeadquartersAtDeal Dulles, Virginia
AOLSpinOffYear 2009
AOLStakeInCombinedCompany 55 percent
approvedBy Federal Communications Commission
surface form: U.S. Federal Communications Commission

Federal Trade Commission
surface form: U.S. Federal Trade Commission
completedOn 2001-01-11
considered one of the most disastrous mergers in business history
symbol of dot-com bubble excess
createdEntity AOL–Time Warner merger self-linksurface differs
surface form: AOL Time Warner
criticizedFor overestimated synergies
overvaluation of AOL stock
poor integration planning
dealType stock-for-stock merger
dealValueCurrency US dollar
surface form: USD
dealValueUSD 164000000000
goodwillImpairment2002USD 54000000000
hasParticipant AOL
Time Warner
headquartersOfCombinedCompany New York City
historicalSignificance largest merger in U.S. corporate history at the time of announcement
industry internet
media
telecommunications
laterNameOfCombinedCompany Time Warner
legalStructure AOL issued shares to Time Warner shareholders
longTermOutcome AOL–Time Warner merger self-linksurface differs
surface form: AOL was later spun off from Time Warner
motivatedBy convergence of media and internet
synergies between content and distribution
postMergerCEO Richard Parsons
postMergerCEOChange Gerald Levin resigned 2002
postMergerCompanyReportedLoss over 99000000000 USD in 2002
regulator Federal Communications Commission
surface form: U.S. Federal Communications Commission

Federal Trade Commission
surface form: U.S. Federal Trade Commission
resultedIn culture clash between AOL and Time Warner
large shareholder value destruction
management turmoil
massive goodwill write-downs
regulatory scrutiny of media consolidation
target Time Warner
TimeWarnerCEOAtAnnouncement Gerald Levin
TimeWarnerHeadquartersAtDeal New York City
TimeWarnerStakeInCombinedCompany 45 percent
tookPlaceDuring dot-com bubble

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Referenced by (5)

Full triples — surface form annotated when it differs from this entity's canonical label.

Steve Case notableWork AOL–Time Warner merger
Gerald Levin notableWork AOL–Time Warner merger
OSCAR usedByCompany AOL–Time Warner merger
this entity surface form: AOL Time Warner
AOL–Time Warner merger createdEntity AOL–Time Warner merger self-linksurface differs
this entity surface form: AOL Time Warner
AOL–Time Warner merger longTermOutcome AOL–Time Warner merger self-linksurface differs
this entity surface form: AOL was later spun off from Time Warner