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AT&T vows to keep jobs in St. Louis

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Gov. Matt Blunt makes the announcement Thursday in front of a Yellow Pages background. (UPI Photo/Bill Greenblatt)

By Matt Sepic, KWMU

St. Louis – AT&T announced Thursday it plans to keep its phone book publishing business headquartered in St. Louis. Company officials say they had considered moving the division to Atlanta following last year's acquisition of BellSouth.

The company plans to keep 655 jobs downtown and hire 100 more people for a new suburban sales office.

Governor Matt Blunt said there was no tax credit deal worked out. But he does say AT&T could be eligible for state incentives.

"The Quality Jobs program allows companies as they create new jobs to keep some of the income tax withholding," Blunt said.

Earlier this year AT&T signed a no-bid contract with the city to provide wireless internet service in St. Louis.

But a spokesman for Mayor Francis Slay said there is no connection between that deal and the company's decision to stay.

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