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Technology Stocks : Genuity, Inc. (GENU) -- Ignore unavailable to you. Want to Upgrade?

To: Rob Preuss who wrote (94)	10/23/2000 7:42:04 PM
From: David Wiggins	Read Replies (1) \| Respond to of 456

Thanks Rob, In a way, that's even worse for GENU shareholders (thankfully not me) because there won't be any 'buyout' impetus to ever raise the share price. Yes, they will have to issue more GENU shares to get their money, but it will all end up Verizon anyway largely at public expense. FWIW, I follow this one because I hold ITXC - both are carriers for Dialpad. Regards, Dave

To: Rob Preuss who wrote (94)	10/28/2000 2:40:35 PM
From: Ms. Baby Boomer	Respond to of 456

Regulators Question Verizon's Bid For Long-Distance in Massachusetts A WSJ.com News Roundup Oct 27,2000 WASHINGTON -- The Justice Department cast doubt on Verizon Communications's bid to provide long-distance service in Massachusetts, saying the Baby Bell hasn't addressed concerns about opening its local lines to competitors. Verizon, formed by the merger between Bell Atlantic and GTE Corp., is the largest local phone provider in the U.S. As a Bell company, Verizon cannot enter the lucrative long-distance business within its region until it demonstrates that the local phone market is open to competition. That process requires Verizon to show that rival local phone companies can lease lines to offer competing phone or Internet service. The company "has not provided sufficient evidence in support of its pending application," the Justice Department said in a statement. In particular, the department said Verizon, of New York, appears to have discriminated against rivals seeking to provide high-speed Internet access through digital-subscriber lines, or DSL. The department cited Verizon's response to "installation times, quality of service and repairs." Under the Telecommunications Act of 1996, Verizon and other regional phone companies must convince the Federal Communications Commission that their local markets are open to competition before offering customers in those markets long-distance service. Although the FCC makes the final call, the agency must give "substantial weight" to the Justice Department's assessment. Verizon in September filed to offer long-distance service in Massachusetts after winning FCC approval to offer long-distance in New York in December 1999. The company, formed by the merger of Bell Atlantic and GTE, was the first Baby Bell to receive permission to provide domestic and international telecommunications services outside its own service area. Verizon also is working toward winning approval to offer long-distance in Pennsylvania and New Jersey. Verizon spokesman Bob Bishop said the Justice Department didn't have the time and resources to conduct a full investigation. But the company is confident that when the FCC looks at the complete record, "it will see that these issues are addressed." Massachusetts on Oct. 16 recommended that the FCC approve Verizon's application. Mr. Bishop said the record from the 16-month state review should address all of the FCC's concerns. But the Justice Department said the state's own numbers seem to demonstrate discriminatory treatment by Verizon toward DSL competitors. And while the company has argued that the state measurements "provide a misleading indication of its performance, the department noted that Verizon did not provide enough evidence in support of its objections." But regulators also praised Verizon's efforts to reduce most obstacles to competition in Massachusetts, and noted the "substantial number of lines' owned by competitors that will serve business customers, and promising plans to serve residential customers. Long-distance service is a critical part of Verizon's business plan. For one, the company's ability to recapture the Genuity Inc. Internet backbone and services company hangs on winning permission to provide long-distance approval from the FCC -- approval that also is needed for data services. The FCC forced Verizon to spin off Genuity as a condition of its merger with GTE. The condition included an elaborate timetable that allows Verizon to convert its remaining 9.5% stake in Genuity to 80% if Verizon receives long-distance approval in all 13 states. public.wsj.com