The productive assets of WorldCom and most of the employees associated with them will survive, but probably not the company itself.
The fate of Worldcom will be decided by the bankruptcy courts and Worldcom's bond-holders. The current stock will be even more worthless when it is wiped out and new shares are issued to it's debtors. MCI will survive as an intact unit and will be sold off to one of the baby bells. It's remaining assests will be sold off to the highest bidder.
Telecom is a scary place to be right now, and it is going to get worse before it gets any better. This isn't the first industry to have a big build up and a big bust. Railroads, automobiles, pocket calculators....they all rode the same trail...the same one that the surviving telecoms are traveling now.
posted on 07/16/2002 12:10:00 PM PDT
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