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-------------------------------------------------- Telecommunications Reports presents.... TR DAILY Nov. 21, 2001 -------------------------------------------------- For a Web version of today's TR Daily, go to=20 http://www.tr.com/online/trd/2001/td112101/index.htm -------------------------------------------------- ***TRDaily will not publish again until Nov. 26 in observance of the Thanksgiving holiday. ***See Monday's TR for an On-the-Record interview with European Commissioner Erkki Liikanen. He discusses the direction of telecom policy in Europe. Table Of Contents TELECOM REGULATION Bells Battle For 271 Approval Nextel Proposes Public Safety Spectrum Swap FCC Clarifies Pay Phone Rules Pay Phone Billing Dispute Cost Allocation Manual Comments Sought Black Crow Closer To Winning Licenses International Bureau Forum LEGISLATION Lawmakers Ask Verizon About `Rational Regulation' Plan TELECOM BUSINESS=20 KPN Dodges "Junk" Designation AT&T-TeleCorp Deal Gets Antitrust OK Orius Corp Posts $120.5M In Quarterly Sales Portal Software Revenues Dip To $31.7M C&D Technologies Revenues Drop Arguss OKs Takeover Defenses Leap To Cut Options Prices QUALCOMM-Eutelsat Partnership Alcatel Gets $44M Costa Rica Contract CAPITAL MARKETS=20 TRDaily Stock Index Gains 0.4% Telecom Weekly Funding Roundup France Telecom Convertible Bond Sale AT&T Closes On $10B Bond Sale Shaw Files $800M Debt Shelf Anadigics Seals $75M Note Sale PEOPLE ON THE MOVE=20 Winstar Execs Resign, Eye Buying Company Metromedia Fiber CEO Resigns New President For Space Systems/Loral Acterna General Manager New Manager At Telia ************************************************************ TELECOM REGULATION ************************************************************ BELLS CONTINUE SEEKING InterLATA APPROVALS; A REVIEW OF WHERE THEY STAND IN VARIOUS STATES The FCC can expect a handful of applications by year-end from Bell companies eager to provide in-region interLATA (local access and transport area) services. Under section 271 of the Telecom- munications Act of 1996, before a Bell company can offer in- region interLATA services, it must show that it has complied with a 14-point competitive checklist of local market?opening man- dates. Section 271 stipulates that the FCC has the final say on whether a Bell company is allowed to offer in-region interLATA services.=20 The FCC, however, must consult with the U.S. Department of Justice and the relevant state commissions before reaching a decision. Without state commission backing, receiving FCC approval is thought to be virtually impossible. With the Nov. 15 nod of approval from the Rhode Island Public Utilities Commission, Verizon Rhode Island, Inc.'s interLATA application filing with the FCC is imminent, a Verizon spokesper- son said. Verizon Rhode Island's sister telcos in New Hampshire, Maine, Vermont, and New Jersey are waiting for their respective state regulator to complete reviews of the telcos' compliance with section 271. A Verizon spokesperson said the company expected the New Jersey Board of Public Utilities to reach a decision sometime next month; Verizon will file with the FCC soon thereafter. The spokesperson cited competitors' and regulators' concerns about the pricing of interconnection and unbundled network elements (UNEs) as a frequent obstacle in getting state endorsement of Verizon's interLATA bids. "In New Jersey, for example, the consumer advocate has talked about the [low] number of lines [served] by competitors. . .and she blames pricing for this," the spokesperson said. "But local rates are so low [in New Jersey] that it's difficult for competi- tors" to enter the market. Verizon already has received FCC approval to provide interLATA services in New York, Connecticut, Massachusetts, and Pennsylvania. BellSouth Telecommunications, Inc., is awaiting the FCC's deci- sion on whether or not it should be allowed to offer interLATA services in Georgia and Louisiana. The Commission's decision is expected Dec. 31. BellSouth received state commission support for its interLATA service bid in Mississippi Oct. 4 and the South Carolina commission's backing Nov. 6. A company spokesperson said BellSouth might submit the two states' applications together when it files at the FCC. State commission hearings on BellSouth's interLATA service applications have ended in North Carolina, Florida, and Kentucky, but the commissions have yet to issue decisions. The Alabama Public Service Commission has scheduled hearings Nov. 27 and 28 on BellSouth's third-party OSS (operation support system) test- ing. The Tennessee Regulatory Authority has yet to formally schedule hearings, but BellSouth's spokesperson said OSS testing was expected to begin in that state by Jan. 14. Referring to obstacles BellSouth faces in regulatory reviews of its competitive checklist compliance, the company spokesperson said there was "constant anecdotal complaining by our competi- tors. [It] takes an awful lot of time to go through and figure out what the real problem is." He continued, "The law does not require perfection, but our competitors would like to see perfec- tion." With the FCC's Nov. 16 approval of SBC Communications, Inc.'s Arkansas-Missouri application, the company has received authority to provide interLATA services throughout its five-state South- western Bell service territory. The FCC approved SBC's Texas application in June of 2000 and its joint Kansas-Oklahoma appli- cation last January. Due to its acquisition of Southern New England Telephone Co., SBC also offers interLATA services in Connecticut but did not need approval under section 271 of the Act to do so. SBC submitted an updated interLATA filing for its Pacific Bell subsidiary to the California Public Utilities Commission in May.=20 According to a company spokesperson, SBC thought it would be "helpful" to do so considering a new PUC chairman came on board earlier this year. An administrative law judge is still review- ing the California application, but SBC expects a decision by the end of this month, the spokesperson said. SBC anticipates a decision by the full commission by year-end. A review of section 271 compliance by SBC's Nevada Bell subsid- iary is pending at the Nevada Public Utilities Commission. A company spokesperson said SBC was not aware of any outstanding issues with regard to the application, but the Nevada commission has signaled its interest in the decision of the California commission. Therefore, the state's respective decisions will likely be "closely in tandem," the spokesperson said. In SBC's five-state Ameritech Corp. territory, OSS testing is under way. SBC predicts the various state commissions in that region will reach decisions by the first quarter of next year.=20 At that point, SBC will submit its applications to the FCC. Instead of following a state-by-state approach to OSS testing, Qwest Corp. has taken a multistate approach in its attempt to obtain state backing for its interLATA service aspirations. Of the 14 states in Qwest's service territory, 13 are taking part in a regionwide, collaborative process to conduct OSS testing under the auspices of the Regional Oversight Committee (ROC). Arizona chose not to participate in the multistate proceedings; it is conducting its own review of Qwest's performance. The ROC's OSS testing process is about 80% complete and should be finished by mid- to late December, Qwest said. The company expects decisions from the first batch of state commissions soon, a spokesman said. He noted that Arizona, Colorado, and Iowa were "moving along well" in their proceedings. The Iowa Utilities Board found Nov. 13 that Qwest had satisfied the emerging servic- es portion of the checklist, bringing the total number of ap- proved checklist items to 11. On the other hand, the Washington Utilities and Transportation Commission on Nov. 19 issued an initial order finding that Qwest had failed to comply with checklist item four (unbundled local loops) and with the emerging services requirements and the public interest. The initial order said Qwest was obligated to build new facili- ties when existing facilities were fully utilized, and it must provision facilities for competitive local exchange carriers (CLECs) on the same terms as it would for its retail customers.=20 A WUTC staff member acknowledged that this position was different from that of other state regulators within Qwest's territory. Qwest has not yet filed any section 271 applications with the FCC but expects to do so by year-end or early 2002. "It's just not an easy process," the spokesman said. "It just takes time." -- Margaret Boles, mboles@tr.com --------------- NEXTEL PROPOSES SPECTRUM SWAP WITH PUBLIC SAFETY USERS Nextel Communications, Inc., proposed swapping 16 megahertz of spectrum in the 700 MHz, 800 MHz, and 900 MHz bands with public safety users to "mitigat[e] interference to public safety commu- nications from commercial services" in the 800 MHz band. The proposed swap would give public safety agencies access to a 20 MHz block of contiguous spectrum in the lower 800 MHz band, according to Nextel. "This spectrum would be adjacent to the 700 MHz frequency band already allocated by the FCC for future public safety usage," Nextel said in a statement announcing its plan. The proposed swap was laid out in a white paper filed with the FCC today. The proposed swap would give Nextel 6 MHz of spectrum in the upper 800 MHz band, and 10 MHz in the 2.1 gigahertz band, the company said. In return, public safety interests would receive from Nextel 4 MHz in the 700 MHz band, 8 MHz of SMR (specialized mobile radio) spectrum in the lower non-contiguous channels of the 800 MHz band, and 4 MHz in the 900 MHz band. Nextel has been at odds with public safety agencies over com- plaints that Nextel's 800 MHz SMR operations cause interference to their communications systems (TR, Sept. 24). Public safety agencies had asked the FCC to impose conditions on Nextel's recent acquisition of licenses from Pacific Wireless Technolo- gies, Inc., to protect their systems from interference. The FCC approved the transfer but without the conditions (TR, Nov. 19, notes). -- Ed Rovetto, erovetto@tr.com --------------- FCC CLARIFIES PAY PHONE COMPENSATION RULES The FCC today issued an order clarifying portions of its rules governing how pay phone service providers are compensated for completed, coinless calls made from the phones, although the Com- mission declined requests to modify the basic compensation scheme for such calls. In an earlier "second order on reconsideration," the FCC had modified its per-call compensation rules to address situations in which the payphone provider must obtain payment when a switch- based reseller is involved in the call. Those rules provided that the first interexchange carrier to which a payphone service provider routes a call must compensate the provider, track or arrange for tracking of all compensable calls, and send call completion data to the payphone provider. The FCC today rejected petitions asking it to modify that regime.=20 It reaffirmed that for the purposes of payphone compensation, only calls that are answered by the called party are considered completed and, therefore, are compensable. The FCC also clarified that it "supports the preservation and establishment of direct relationships and agreements" between payphone service providers and switch-based resellers for track- ing and payment of payphone compensation. It added that the "liability of the first facilities-based IXC is limited to the extent" that switch-based resellers enter into such direct relationships. The FCC added that it did not, by revisiting the payphone rules, "intend to nullify any current or future contrac- tual relationships." -- Brian Hammond, bhammond@tr.com --------------- PAY PHONE BILLING DISPUTE A federal district judge sent a case back to a state small-claims court involving a pay phone operator that claimed it was under- paid by a long distance provider for dial-around phone calls.=20 Dial-around phone calls are made by dialing a toll-free number to avoid depositing coins. Section 276 of the 1934 Communications Act, as amended, requires long distance carriers to compensate pay phone providers for dial-around calls. Precision Pay Phones filed a complaint in the small claims division of the San Francisco superior court alleging that it was owed $4,868 by Global Crossing Telecommunications, Inc. Global Crossing asked that the case be moved to the U.S. District Court for the Northern District of California. It claimed the case would require interpretation of section 276 and that Precision was seeking relief under the Act, which requires damage claims to be brought to federal court. Precision contended that it was only a billing dispute and that the case didn't require a construction of federal law. District Judge William Alsup ruled in "Precision Pay Phones v. Global Crossing Telecommunications, Inc." (case C 01-02901) ruled that the case could be heard in state court. --------------- COST ALLOCATION MANUAL COMMENTS SOUGHT-- The FCC's Common Carrier Bureau is seeking comments on a consoli- dated cost allocation manual (CAM) filed by Verizon Communica- tions East Operating Companies and Verizon Communications West Operating Companies. The CAM becomes effective Jan. 1, 2002.=20 Comments in Accounting and Safeguards Division (ASD) file 01-45 are due Dec. 21. Replies are due Jan. 7, 2002. --------------- BLACK CROW CLOSER TO OBTAINING LICENSES-- The FCC's Wireless Telecommunications Bureau said it was ready to grant five "C" block PCS (personal communications service) licenses to Black Crow Wireless L.P. upon full payment of its winning bids by Dec. 6. Black Crow won two licenses for Salis- bury, Md., and single licenses for Cleveland, Tenn.; Enid, Okla.; and Sedalia, Mo. --------------- INTERNATIONAL BUREAU FORUM-- The FCC's International Bureau will hold a roundtable discussion Dec. 5 from 1 p.m. until 3 p.m. at FCC headquarters in Washington to identify and implement future enhancements to its electronic International Bureau Filing System (IBFS). The bureau will seek preliminary input from interested parties on how to improve electronic filing and other services available through IBFS.=20 Interested parties should register by Nov. 28. For more informa- tion, call 202/418-1631 or e-mail IBFSPT25@fcc.gov.=20 ************************************************************ LEGISLATION ************************************************************ LAWMAKERS SEEK MORE INFORMATION ON VERIZON's `RATIONAL REGULATION' PLAN Two members of the House telecommunications and the Internet subcommittee who voted against the Internet Freedom and Broadband Deployment Act, HR 1542, are asking a top Verizon Communications, Inc., policy advocate for more specifics about the "rational regulation" broadband policy model that he began floating back in August (TR, Aug. 27). Writing Nov. 20 to Thomas J. Tauke, senior vice president-public policy and external affairs for Verizon, Reps. Bill Luther (D., Minn.) and Heather Wilson (R., N.M.) suggested that Mr. Tauke's proposal could serve as a starting point for negotiations between the main parties involved in the fight over HR 1542, the broad- band deregulation bill championed by Reps. W.J. (Billy) Tauzin (R., La.) and John Dingell (D., Mich). But first, they said, more details are needed about key provisions of the plan. "As members. . .with an acute interest in the `Tauzin-Dingell' broadband bill and its impact on CLEC [competitive local exchange carrier] access to unbundled network elements, we were encouraged by your proposals to maintain network access for competitors," they wrote. "Because we remain hopeful that compromise between all interested parties is possible, we hope you can assist us in understanding what kind of access Verizon is contemplating." Their letter comes in advance of a possible floor vote next month on HR 1542, which would relieve ILECs of certain unbundling requirements for advanced services. During the House Energy and Commerce Committee's vote on the bill, Reps. Luther and Wilson came within one vote of adding language to the measure that would have preserved the FCC's mandates on "line sharing," which allows CLECs to offer high-speed Internet services over the high-frequency portion of a loop while the incumbent continues offering voice services over the low-frequency portion. The current version of the bill allows for line sharing -- but only over all-copper lines. Where fiber is installed between a central office and an end user, the bill gives CLECs access to the incumbents' networks only as far as the remote terminal. Mr. Tauke's rational regulation proposal would give CLECs some access at the remote terminal, but it's still not clear how much, say Reps. Luther and Wilson. They also want to know more about Mr. Tauke's proposal to allow CLECs to purchase fiber bandwidth from the Bells at "commercially reasonable rates." "How would such rates be calculated?" the lawmakers asked in their letter to Verizon. "When you say that a competitor would be allowed to interconnect at the remote terminal, does this mean a CLEC should be allowed to install a dedicated line card or extend its own line into the remote terminal?" Reps. Luther and Wilson also asked for a "clarification on what `buying bandwidth' and `commercially reasonable rates' entails," and whether the plan would permit a CLEC to "lease Verizon's facilities in order to provide customers with high-speed data services. If so, would a competitor be allowed to do so on an unbundled basis?" they asked. -- Ryan Oremland, roremland@tr.com ************************************************************ TELECOM BUSINESS=20 ************************************************************ STOCK SALE WILL BOLSTER KPN's CREDIT RATING, LEAVING IT ONE NOTCH ABOVE `JUNK' STATUS KPN NV has prevented its bond ratings from falling to "junk" status by arranging to raise 5 billion euros ($4.4 billion) through a stock sale. The Dutch carrier will use the proceeds to pay down debt, reducing its financial obligations enough to satisfy two credit rating agencies, Moody's Investors Service and Standard & Poor's. Both agencies concluded their reviews of KPN and declared that the company's long-term ratings would stick at the lowest possible "investment-grade" rating. KPN's planned stock sale "has materially reduced KPN's financial risk, and this has enabled the company to maintain its invest- ment-grade ratings," S&P said. Both agencies, however, said their ratings depended on KPN continuing its effort to sell "noncore" assets to raise funds for debt reduction (TRDaily, Sept. 7 and 10). The stock sale will be conducted as a rights issue that will give existing shareholders the right to buy more KPN shares. Any shares not purchased by current shareholders will be offered to new investors. The Dutch government has agreed to buy 34.7% of the shares, while investment banks will sell the remainder. KPN today posted operating revenues of 3.2 billion euros ($2.8 million) for the third quarter ending Sept. 30. That's a 37.1% decrease from the year-ago figure. EBITDA (earnings before interest, taxes, depreciation, and amortization) decreased to 987 million euros ($865.5 million) from 3.1 billion euros ($2.7 million) in the third quarter of 2000. While the year-over-year comparisons look dismal, KPN is expected to benefit as the telecom shakeout eliminates some of its compet- itors. "KPN has effectively halted market-share erosion in its fixed-line operations for the time being and tariff pressure has eased due to a weakening of the competitive environment," Moody's said. On the wireless side, however, KPN is likely to see increased competition, particularly in Germany where it offers service through E-Plus Mobilfunk GmbH. Germany has four facilities-based wireless service providers and is due to get two more, S&P noted.=20 "A six-player German mobile market will not be sustainable," the agency said. But before consolidation occurs and the market reaches equilibri- um, the two new entrants "are likely to destabilize the market by targeting customers of the existing operators" with cheaper rates and handsets, S&P said. The smallest players, E-Plus and mmO2 plc, will be the most vulnerable, the agency added. -- Tom Leithauser, tleithauser@tr.com --------------- AT&T WIRELESS/TeleCorp DEAL GETS ANTITRUST OK-- TeleCorp PCS announced that its proposed acquisition by AT&T Wireless received clearance from federal antitrust regulators under the Hart-Scott-Rodino Antitrust Improvements Act. AT&T Wireless, owner of a 23% equity stake in TeleCorp PCS, agreed last month to acquire the remainder for about $2.2 billion.=20 --------------- ORIUS CORP. 3rd QTR REVENUES DOWN, TO $120.5M-- Orius Corp., which provides technical and network services to the telecom and broadband sectors, said third quarter revenues fell to $120.5 million from $197.2 million in the comparable period last year. "These declines were primarily due to a continued slowdown in project-related work in external plant construction and reduced demand for central office services," Orius said. The company's bottom line swung to a $15.3 million net loss in the most recent period from a profit of $3.6 million last year. "The third quarter of 2001 continued a trend that we have seen all year of reduced capital investment by our principal customers," commented Ronald Blake, chief executive officer.=20 --------------- PORTAL SOFTWARE 3rd QTR REVS DOWN, TO $31.7M-- Portal Software, Inc., a provider of billing and other software to communications providers, posted third quarter revenues of $31.7 million, down substantially from the $72.0 million of revenues booked in the year-ago quarter. After restructuring and other costs, Portal reported a net loss of $50.0 million for the most recent quarter versus a profit of $6.9 million for the comparable quarter last year. For the fourth quarter, the company expects revenues to be flat with third quarter totals and a loss of about $0.10 per share. "Although capital expenditures for communication and content providers remained weak worldwide, Portal continued to expand its global customer base and extend its product platform," said John Little, chief executive officer. --------------- C&D TECHNOLOGIES 3rd QTR REVS DOWN, TO $102.5M-- C&D Technologies, Inc., a supplier of power storage and conver- sion equipment to the telecom and industrial sectors, reported $102.5 million of revenue for the third quarter, down from $161.9 million in the comparable period last year. Net income for the most recent quarter fell to $1.8 million from $14.7 million in the comparable period last year. Particularly hard hit were sales comparisons in C&D's Powercom segment, where revenue dropped to $51.0 million from $68.5 million a year ago "primarily due to lower telecommunications sales for reserve power systems," the company said.=20 --------------- ARGUSS COMM. OKs TAKEOVER DEFENSE-- Arguss Communications, a provider of engineering and construction services to the telecom sector, said its board had approved a "poison pill" shareholder rights plan commonly used by public companies as a defense against unwanted takeover attempts. "We believe that this plan will insure that any bid for the company is fair, noncoercive and appropriately valued," the company said. --------------- LEAP WIRELESS OFFERS TO CUT OPTION PRICES-- Leap Wireless International, Inc., said it would offer employees holding high-priced common stock purchase options an opportunity to trade them in for new options with an exercise price to be determined roughly six months from now. The offer is good for holders of outstanding options to buy about 1.3 million shares at exercise prices exceeding $35 per share. Leap common stock now trades at about $17.50 per share and last traded above $35 in May 2001.=20 --------------- QUALCOMM-EUTELSAT PARTNERSHIP-- QUALCOMM, Inc.'s European subsidiary, QUALCOMM Wireless Business Solutions Europe, and satellite provider Eutelsat S.A. have signed a five-year agreement to provide the EutelTRACS mobile communications and management system to European fleet managers, QUALCOMM said. EutelTRACS is the European version of QUALCOMM's OmniTRACS, a satellite-based mobile communications and tracking system that provides real-time messaging and position reporting between fleets and their operations centers. --------------- ALCATEL GETS $44M COSTA RICA CONTRACT-- Alcatel S.A. won a contract from ICE, the incumbent telecom operator in Costa Rica, for expansion and upgrade of the carrier's fixed-line telecom network. The value of the contract is $44 million, Alcatel said. ************************************************************ CAPITAL MARKETS=20 ************************************************************ TELECOMS TAKE BACK LOSSES; TRDaily INDEX GAINS 0.4% Big telecom stocks bounced back in thinner preholiday trading on Wednesday, taking back some of their outsized losses sustained in Tuesday's equities sell-off.=20 The TRDaily Telecom Index today gained 4.5 points, or 0.4%, to close at 1,093. The index of 90 larger-cap telecom service provider and equipment supplier stocks had taken a beating on Tuesday, when it lost 3.6% of its value as investors pocketed profits from the sector's strong stock market performance over the past few weeks. =20 Wednesday's modest gains seen by telecom issues did not carry over into broader market averages. The Dow Jones Industrial Average fell 66.8 points, or 0.68%, to finish at 9,834. The S&P 500 average lost 5.6 points, or 0.49%, to close at 1,137. The Nasdaq composite average shed 5.5 points, or about 0.3%, to end the day at 1,874. Broader market sentiment on Wednesday was marked by understaffed trading desks, a mildly encouraging weekly unemployment report from the U.S. Labor Department, and the slumping share price of Microsoft Corp.=20 Several telecom-related tech stocks bounced back nicely after Tuesday's selling pressure. Broadcom Corp. common stock rose $1.88 per share to $45.95, while RF Micro Devices shares added $0.86 per share to finish at $25.91. France Telecom gained back $0.58 per share to close at $40.53 after losing more than $4 per share on Tuesday.=20 Techs and service providers equally populated the losing side of the sector. Amdocs Ltd., despite announcing a new contract with Bell Canada, lost $1.22 per share to close at $32.08. CenturyTel gave up $0.71 per share to finish at $33.69, while U.S. Cellular shed $0.69 per share to end the day at $44.98. -- John Curran, jcurran@tr.com --------------- TELECOM WEEKLY FUNDING ROUNDUP Following are highlights from reported telecom sector corporate financing deals and emerging situations during the period Nov. 16-20, with lead companies listed in alphabetical order: AT&T Corp. plans to sell its 33.9% equity stake in Rainbow Media Holdings through a public offering and other arrangements. The Rainbow shares are valued at about $525 million. Proceeds are slated to repay debt. =20 International FiberCom, Inc., disclosed covenant violations under its bank credit facility and said lenders are demanding full repayment on about $99 million drawn down under the facility.=20 International FiberCom said it was working with the banks to cure the violations and to find an alternative source of funding.=20 Net2000 Communications, Inc., filed for bankruptcy protection on Nov. 16 after violating covenants under its credit facility and receiving notice that lenders wouldn't provide further funding.=20 Optovation, an Ottawa-based developer of advanced fiber-optic modules, completed a $20 million venture financing round with funders including Altamira Investment Services, Inc., and Newbury Ventures.=20 PhoneTel Technologies, Inc., defaulted on its credit facility when it missed monthly interest payments due to the banks from September through November. The company expects to obtain a waiver of the defaults and add the missed interest payments to principal under the credit facility.=20 Pinnacle Holdings, Inc., secured a waiver of default from lenders through Dec. 12 after it violated bank credit facility covenants.=20 Pinnacle said it continued to work with lenders on permanent amendments to cure the violations. It will be unable to draw funding from the credit facility until some new agreement is reached. =20 Verizon Communications, Inc., filed with the Securities and Ex- change Commission for a proposed offering of up to $5 billion of debt securities. Proceeds are slated to repay short-term debt, among other corporate purposes. --------------- FRANCE TELECOM ISSUES $2.6B OF CONVERTIBLES-- France Telecom SA today took advantage of low interest rates and issued convertible notes that will provide the company with net proceeds of 3 billion euros ($2.6 billion). France Telecom intends to use the funds to refinance existing debt at more favorable rates. The 4% notes due 2005 can be exchanged for France Telecom shares at a price of 72 euros ($63.12) per share, 47% above yesterday's closing price. --------------- AT&T CLOSES ON $10B BOND SALE-- AT&T Corp. announced the official sale of its $10 billion global bond offering, which included $7 billion in U.S.-denominated debt and the remainder in euro-denominated securities. Proceeds were slated to retire short-term debt. --------------- SHAW COMMUNICATIONS FILES $800M DEBT SHELF-- Shaw Communications, Inc., filed a shelf offering with the Securities and Exchange Commission for up to $800 million in debt securities and preferred stock, according to reports. Proceeds would be used to repay debt and provide working capital, among other uses.=20 --------------- ANADIGICS SEALS $75M NOTE SALE-- Anadigics, Inc., said it had arranged to sell $75 million of convertible senior notes through a private sale to institutional buyers. The note offering may be increased to $100 million, the company said.=20 ************************************************************ PEOPLE ON THE MOVE=20 ************************************************************ WINSTAR EXECs WILL TRY TO BUY COMPANY-- William J. Rouhana Jr. has resigned as chairman and chief execu- tive officer of Winstar Communications, Inc., so that he can submit a bid for the company during a planned bankruptcy auction.=20 The company's president and chief operating officer, Nathan Kantor, resigned for the same reason, the company said today.=20 Frank J. Jules, president and COO of Winstar's U.S. operations, was named acting CEO. Board member Steven B. Magyar will become acting chairman. The company intends to ask the U.S. Bankruptcy Court for the District of Delaware to schedule an auction next month. Winstar filed for bankruptcy protection in April (TRDaily, April 18). --------------- METROMEDIA FIBER NETWORK CEO RESIGNS-- Nicholas Tanzi will resign as chief executive officer of Metromedia Fiber Network, Inc., effective Nov. 30, for personal reasons, the company said today. He will be succeeded by Mark Spagnolo, currently the company's president and chief operating officer. --------------- NEW PRESIDENT FOR SPACE SYSTEMS/LORAL-- C. Patrick DeWitt has been named president of Space Systems/Loral (SS/L) and vice president of Loral Space & Communications Ltd.=20 Since 1999 he has been a member of SS/L's office of the presi- dent. He succeeds John M. Klineberg, who is retiring but will remain an SS/L board member. --------------- ACTERNA GENERAL MANAGER-- David Holly has been named general manager of Acterna Corp.'s cable networks division in Bradenton, Fla. He was the company's vice president-strategic marketing and communications and has been with the company since 1991. Acterna is a communications network testing company based in Germantown, Md. --------------- NEW MANAGER AT TELIA-- Telia AB has named Joel Westin a full member of its group manage- ment for a 15-month period. He joined Telia in 1997 and will retain his current duties in Telia's networks business area during his management tenure. He succeeds Emanuela Pedrocco on the management team. ******************************************************** TR DAILY Copyright 2001 Telecommunications Reports International, Inc., (ISSN 1082-9350) is transmitted weekdays, except for holidays. Visit us on the World Wide Web at http://www.tr.com.=20 Published by the Business & Finance Group of CCH INCORPORATED. Editor: John Curran Associate Editor: Tom Leithauser Associate Editor: Ryan Oremland Associate Editor: Ed Rovetto Publisher: Stephen P. Munro 1333 H Street, NW, 1st Floor-East Tower, Washington, DC 20005 Editorial Information: Telephone: (202) 312-6060 Fax: (202) 312-6111 Email: jcurran@tr.com tleithauser@tr.com Customer Service: Telephone: (202) 312-6050 (877) 874-8737 Fax: (202) 312-6116 Email: customerservice@tr.com PLEASE NOTE: This electronic publication is copyrighted by Telecommunications Reports International. Redistribution or retransmission of any part of this electronic publication -- either internally or externally -- is strictly prohibited. Violation will be cause for immediate termination of your sub- scription and liability for damages. You may print out one hard copy for your personal use. If you are interested in having this publication sent to colleagues at your company, additional authorized recipients may be added to your subscription for a fee. Call Subscriber Services, at (800) 822-6338, or send an e- mail to customerservice@tr.com for more details. If you prefer not to receive TR Daily, please reply to customerservice@tr.com. Federal copyright law prohibits duplication or reproduction in any form, including electronic, without permission of the publisher. =1A
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