AT&T; Sets Spinoff Rate for Wireless Unit

AT&T; Corp. on Monday said its shareholders will receive 0.3218 share of AT&T; Wireless for each share of AT&T; they own, as the phone giant prepares to complete a move to make its mobile-phone unit an independent company.

AT&T; (ticker symbol: T) said it will issue 1.14 billion shares of AT&T; Wireless (AWE) on July 9. The proration rate announced Monday was about as expected.

After the separation AT&T; will retain 7% of the wireless company’s equity. But it plans to sell those shares to cut debt.

The share distribution will be tax-free to AT&T; holders.

AT&T; eased 1 cent to $21 on the New York Stock Exchange on Monday. AT&T; Wireless fell 27 cents to $15.93, also on the NYSE.