AT&T WANTS 77,800 MANAGERS TO QUIT.(BUSINESS)

Byline: EVAN RAMSTAD Associated Press -

NEW YORK AT&T Corp. laid the groundwork for a sharp staff reduction Wednesday by offering a severance package to 77,800 managers if they leave by the end of the year.

The move is designed to prepare the company to be split in three next year. AT&T did not estimate how many people would take up the offer.

The company has not said how many of its 302,000 employees will be needed by the three companies that result from the breakup. The Wall Street Journal, citing inside sources anonymously, has reported that 20,000 may be cut.

The managers who received the severance offer represent half of the …