CSG Systems (Nasdaq: CSGS) was up 51 percent Wednesday after AT&T Broadband has agreed to dismiss its Sept. 27 demand for arbitration with the company.
Shares in CGS, which provides customer care and billing for the converging communications markets, were up 14.31 to 42.25. AT&T (NYSE: T) shares were down 1.19 to 25.56.
In connection with the dismissal, the companies agreed to amend the Master Subscriber Management System Agreement between CSG Systems and AT&T Broadband. The agreement also calls for AT&T Broadband to use its best efforts to convert 90 percent of its MediaOne video and high-speed data customers to the CSG platform by Dec. 31, 2001, and the remaining 10 percent by June 30, 2002.
CSG will also waive its exclusivity rights pertaining to residential wireline telephony, and AT&T Broadband will purchase an expanded software license for CSG's call center and workforce automation applications.