WorldCom Presents Revival Plan

WorldCom Inc. is scheduled to submit financial reorganization plans to the Southern District of New York's Bankruptcy Court today, in an effort to begin the process of emerging from Chapter 11 protection.

It's far from clear whether WorldCom, which now prefers to be called MCI, will succeed. It faces strong opposition from shareholders and some types of creditor, who stand to be big losers. It also faces challenges from competitors, which accuse WorldCom of continuing foul play and say allowing the carrier to emerge from bankrupcty would give it a massively unfair competitive advantage.

Under the plan, WorldCom would wipe out about $36 billion in debt and reemerge into the domestic and international markets with less than $5 billion in debt and monthly revenues of about $2 billion.

Get the details on Boardwatch. — Ray Le Maistre, International Editor, Boardwatch

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