WorldCom Gets Another Extension to File
WorldCom Gets Another Extension to File Data With Court
28 Jan 2003, 3:12pm ET
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Dow Jones Newswires
NEW YORK -- A bankruptcy judge extended the deadline for WorldCom Inc
(WCOEQ) to file some required financial information that could help
creditors estimate what type of recovery to expect.
The information, entitled schedules of assets, is now due March 31.
The federal bankruptcy law calls for a company to submits the
information to the court within 15 days of filing
for Chapter 11 protection from its creditors.
U.S. Bankruptcy Judge Arthur Gonzalez in Manhattan, in light of
the complexity of WorldCom's case, extended the deadline for filing
the schedules twice, most recently through Jan. 31.
WorldCom said it, with the assistance of its professional advisers,
continues to "work diligently and expeditiously on the preparations of"
the information on its assets.
The Clinton, Miss., company made the largest bankruptcy-court filing
in U.S. history in July after disclosing massive accounting fraud.
Its debt was then estimated at $41 billion.
The company has submitted to the court other required financial information
-- including schedules of liabilities and statements of financial affairs,
with portions of them filed under seal.
WorldCom's new chief executive, Michael Capellas, said early this month
the company was planning a sweeping restructuring that will require
more layoffs and deeper cost cuts.
WorldCom, which operates the second-largest U.S. long-distance
service and carries roughly half of the world's Internet traffic,
expects to file a restructuring plan with the bankruptcy court by mid-April.
-By Lingling Wei, Dow Jones Newswires; 201-938-2089; Lingling.Wei@dowjones.com
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