Magazine

Table: Back to Basics?


CEO Sidgmore wants to refocus Worldcom (WCOM) around his original company, UUNET, which provides corporations with Internet access and data services

PROS

-- UUNET remains the leading Internet pipeline, handling over 50% of U.S. online traffic.

-- The company retains a blue-chip roster of customers, including AOL Time Warner (AOL), FedEx (FDX), and Nasdaq.

-- By selling WorldCom's paging, wireless, and long-distance businesses, Sidgmore could raise up to $4 billion.

CONS

-- Internet access and data prices have collapsed, falling 92% from February to May.

-- WorldCom faces a cash crunch. If it doesn't get fresh financing by September, Sidgmore may run out of time.

-- WorldCom's businesses could fare better as part of a regional telephone operator.


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