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Battlelines drawn over AT&T T-Mobile deal

WASHINGTON, Sept. 17 (UPI) -- The U.S. Justice Department said seven states are backing efforts to stop AT&T's purchase of T-Mobile, which would create the nation's largest phone carrier.

In a statement, the department said, "We have an excellent working relationship with a number of state attorneys general and they have provided invaluable assistance throughout our investigation."

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The department said, "We are pleased" that New York, Washington, California, Illinois, Massachusetts, Ohio and Pennsylvania had joined a lawsuit filed by the Justice Department, The Hill newspaper reported Saturday.

An AT&T spokesman Michael Balmoris countered the statement with the company's own count of supporters.

"We appreciate that 11 state attorneys general and hundreds of other local, state and federal officials are publicly supportive of our merger," Balmoris said.

In a similar development, 15 members of Congress, all Democrats, signed a letter to President Barack Obama in support of the merger.

The Justice Department filed a lawsuit to block the $39 billion deal, saying it would harm customers by taking away competition in the marketplace. The two firms together would control 80 percent of the wireless market, the newspaper said.

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