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Cash flow improvement demonstrated by AT&T's management.
Cash flow will often improve before earnings because turnaround managements often make more conservative accounting choices, leading to larger depreciation and less capitalization.
Declining capital expenditures lead to a significant increase in free cash flow. This more than offsets the distribution decline from DirecTV.
Oftentimes, the cash flow statement proves to be a more important and reliable indicator of financial health than the income statement.
Earnings is usually the last measure to show improvement in a turnaround situation.