NEW YORK (TheStreet) -- AT&T (T - Get Report) dipped Monday, despite unveiling a new bundle of services that incorporates its recent acquisition of DirecTV (DTV - Get Report). Frontier Communications (FTR - Get Report) soared after beating Wall Street's second-quarter earnings estimates.
AT&T fell 0.23% to close at $34.66.
AT&T, which closed its $48.5 billion acquisition of DirecTV on July 25, unveiled a service bundle that includes TV, wireless phone, and Internet, according to an Investor's Business Daily report. The nationwide service will be available beginning Aug. 10 and cost $200 per month.
Specifically, the bundle features a high-definition service that comes with four TV receivers, 10 gigabytes of data that four lines can tap into and an unlimited talking and texting mobile phone service plan, according to a Bloomberg report.
With this bundle, AT&T is aiming to cross-pollinate its wireless customers with enticing them to sign up for satellite-TV service with DirecTV, as well as nudge DirecTV customers to consider switching to AT&T's wireless service, according to Bloomberg.
Frontier Communications surged 9.1% to finish the day at $5.15.
The telecom carrier for small-, medium-sized and rural communities posted second-quarter earnings of 3 cents a share on revenue of $1.37 billion, beating Wall Street's estimates of earnings of 2 cents a share on revenue of $1.37 billion.
"On the operational front, we achieved a sequential increase in customer revenue, reflecting improved trends in the legacy Frontier business, and a stable performance in Connecticut," CEO Dan McCarthy said in a statement.
Additionally, Frontier Communications gained 29,200 Internet customers during the second quarter, bringing its total to 2.4 million, while its TV subscribers dropped by 5,000 customers lowering its total to 569,500 viewers, according to an Associated Press report.
The carrier's shares, which posted their largest increase since July 2014, also were aided by Frontier increasing its estimates for free cash flow and capital spending, according to a Bloomberg report. Frontier raised its 2015 free cash flow estimate to $825 million to $865 million from its earlier forecast of $785 million to $825 million, the report noted. Capital expenditures got boosted to $700 million to $750 million from previous estimates of $650 million to $700 million.