Chairman Had Cancer Surgery, AT&T; Discloses

American Telephone and Telegraph Co. Chairman James Olson underwent colon surgery last month and is recovering at home.

AT&T; spokesman William Mullane said that doctors removed a tumor from Olson’s colon on March 25 and that it was malignant. The company had not previously revealed that Olson, 62, had been diagnosed as having cancer.

Mullane said it was too early to say when Olson could return to work. AT&T; President Robert Allen is running the company while Olson is undergoing outpatient chemotherapy.

If Olson were unable to resume his duties, Allen, 52, would likely be named chairman, analysts said.

Olson, a hard-driving, no-nonsense executive, has been with the company 43 years.