By Report, Associated Press

American Tower Corp. said Thursday it took another step toward becoming a real estate investment trust.

The company, which owns and operates antenna space for broadcasters and wireless communications companies, had previously announced its intent to convert to a REIT.

The company said Thursday that it agreed to merge with an entity called American Tower REIT Inc. and wants REIT status for federal income tax purposes by next Jan. 1.

Shares of American Tower would be converted into the right to get the same number of shares of the trust.

The company plans to hold a shareholder meeting Nov. 29 to vote on the plan.

REITs get favorable tax treatment but must pay out a high percentage of their income in dividends.

American Tower shares fell 99 cents, or 1.9 percent, to close at $50.51.

25 Aug 2011