PR re Sidgmore letter to President Bush:
CLINTON, Miss., June 28 /PRNewswire-FirstCall/ -- WorldCom, Inc. president and CEO John Sidgmore sent the following letter dated June 27, 2002 to U.S. President George W. Bush.
About WorldCom, Inc.
WorldCom, Inc. (Nasdaq: WCOM - News, MCIT - News) is a pre-eminent global communications provider for the digital generation, operating in more than 65 countries. With one of the most expansive, wholly-owned IP networks in the world, WorldCom provides innovative data and Internet services for businesses to communicate in today's market. In April 2002, WorldCom launched The Neighborhood built by MCI - the industry's first truly any-distance, all- inclusive local and long-distance offering to consumers for one fixed monthly price. Effective as of the close of regular trading on July 12, 2002, WorldCom will eliminate its tracking stock structure and have one class of common stock with the NASDAQ ticker symbol WCOM. For more information, go to worldcom.com .
Text of the letter follows:
Yesterday you rightly expressed outrage and concern about past accounting irregularities at WorldCom. I want you to know that we, the current management team, are equally surprised and outraged. That is why we immediately brought this matter to the attention of the SEC and the public. I am proud that our own people discovered these irregularities and had the courage and professionalism to act quickly.
In that spirit, this letter reaffirms our commitment to working with you and the appropriate agencies to investigate this serious matter, and to set an example by accepting responsibility and taking decisive action, including:
* We have retained William McLucas, former Chief of the Enforcement
Division of the Securities and Exchange Commission, to conduct a
rigorous, independent investigation of these irregularities.
* We have dismissed our chief financial officer and accepted the
resignation of our controller. We will take further action as the
investigation warrants.
* We are in close consultation with our banks to secure additional lines
of credit to preserve our ability to finance our debt.
* We are selling our non-core businesses and taking other actions to raise
more than $1 billion. We are also trimming $1 billion in expense by
refocusing on our core businesses.
We are dedicated to preserving the value of our company and its long-term viability for our employees, our customers, lenders, suppliers and shareholders in the wake of our findings. We feel a tremendous sense of responsibility to these groups, and to the general public.
Seven weeks ago, as I assumed the position of CEO of WorldCom, Bert Roberts, our Chairman, and I pledged to restore trust in this great company. Never did we imagine it would be put to such a test. However, part of restoring trust means being straight about problems as we discover them -- and aggressively solving them. This is the only way we will rebuild our company's credibility. You have our commitment that we will continue to do this.
SOURCE: WorldCom, Inc. |
