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Yellow Pages Fading Into History

Yellow Pages (Getty Images)

When’s the last time you used the Yellow Pages to look for a business, a store, a restaurant or a doctor?  For some young people these days they’d say never.  The Yellow Pages may soon become a thing of the past with AT&T’s announcement yesterday they’re selling their Yellow Pages business.

Cerberus Capital Management will give AT&T $750 million in cash, a $200 million loan and a 47% interest in a new company called YP Holdings LLC.

AT&T delivers their Yellow Pages directories to about 150 million homes and businesses in 22 states each year. But especially in the past decade the question is how many of them actually get used?  The city of San Francisco actually banned them last year unless a customer requests them.

AT&T attempted to take the Yellow Pages digital on their own, but had limited success.  Actually it was a miserable failure, but Cerberus is taking a fresh look at it and has a plan it thinks will work.

If Cerberus has any success, AT&T will see some profit.  That’s why they still have partial ownership.

In the meantime, you might want to save those Yellow Pages directories to show your grandchildren some day.


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