AT&T's EchoStar Pursuit Cools

AT&T's (T Quote) hot pursuit of EchoStar (DISH Quote) cooled suddenly last week as investors took a chilly view of the deal, but the talks continue.

The phone giant's board of directors grew concerned last week over the stock market's reaction to reports that the company was closing in on a bid between $64 and $68 a share for EchoStar, says a source familiar with AT&T's plans.

AT&T shares fell $1.80, or 4%, last Monday after TheStreet.com reported that the company was nearing a $29.5 billion deal for EchoStar. Since the discussions were first reported on Sept. 27, AT&T shares have fallen 12%. ...