AT&T Broadband-CSG Spat Continues


The CSG Systems International Inc.-AT&T Broadband dispute continues to

The billing supplier said AT&T Broadband notified it that the MSO might
consider arbitration in an attempt to terminate an existing vendor

Last September, AT&T Broadband agreed to dismiss an arbitration claim
against CSG by amending their master subscriber-management-system agreement.

The amendments included CSG waiving its exclusive rights to do telephony
billing, since AT&T Broadband was pursing a telephony-billing deal with
Convergys Corp.

The MSO was also required to purchase an expanded software license and to
convert more subscribers to the CSG billing platform.

CSG said Thursday that AT&T Broadband claimed that the billing company
hasn't provided bundled services and that it isn't cooperating with Convergys on
an integrated billing platform. CSG added that the MSO's claims 'are entirely
without merit.'

CSG stock, which had closed Wednesday at $35.45 per share, dropped to as low
as $28.87 Thursday before recovering to close at $30.14.