Dallas-based telecommunication giant AT&T recently reported that its lead-clad cables constitute less than 10% of its national telecom network, dispelling fears of potential environmental contamination.
Investors recently lost faith in the company due to the uncertainty surrounding a potentially costly lead contamination cleanup, as covered by The Dallas Express.
AT&T stocks dropped in value to a three-decade-low of $13.53 after a report from The Wall Street Journal claimed the company had lead-sheathed cables in the network.
Its stock value has since rebounded to $14.75 as of July 21, but this is still lower than the price hovering near $20 seen at the start of the year.
As covered by The Dallas Express, WSJ claimed that the successors of the Bell System, including AT&T, inherited a massive network of lead-clad cables, which may have contaminated nearby soil and drinking water sources.
WSJ suggested that there were more than 2,000 lead-clad cables underground, underwater, and in the air across the country.
AT&T stated in a recent filing to the U.S. District Court for the Eastern District of California that it “strongly disagrees with [WSJ’s] reporting” and claimed that its own commissioned tests yielded different results.
The company also revealed that lead-clad cables apparently form a minor component — less than 10% — of its approximately 2 million miles of cable network.
“More than two thirds of its lead-clad cabling is either buried or in conduit, followed by aerial cable, and with a very small portion running underwater,” the filing read.
The documents were submitted on July 19 as part of a 2021 lawsuit by the California Sportfishing Protection Alliance, which seeks the removal of lead-sheathed cables from Lake Tahoe. AT&T voiced its preference for pausing cable removal work until an expert assessment of the situation, which was also recommended by the Environmental Defense Fund (EDF).
“[The Environmental Protection Agency] should assess the condition of the underwater cables to determine their condition, their current and anticipated releases to the environment, and the risks posed by their removal or leaving them in place,” the EDF advised the EPA, according to AT&T’s filing.
More broadly, AT&T and other telecom companies have made moves to publicly disclose the presence of lead-clad cables in their networks and pledge investigations into their effects.
For instance, according to Bloomberg, TDS Telecommunications LLC informed the public that roughly 10 miles of its network contained lead-sheathed cables.
BT&T and Verizon, similarly struck by an investor selloff, have announced that they had initiated testing in areas where WSJ reported its lead cables were leaching into the environment.
AT&T has also pledged to provide free lead testing for union employees who have worked with lead-covered cables, according to Bloomberg.
The company is slated to announce its second-quarter financial results on July 26.