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To: TheStockFairy who wrote (147164)	1/30/2002 11:57:52 AM
From: GraceZ	Read Replies (4) \| Respond to of 436258

I heard it on CNBS....so I guess its an official rumor. Here's what Briefing sez: 11:31 ET WorldCom says Ebbers won't have to sell (WCOM) 9.22 -1.18: CNBC reports that WCOM says there are no foreseeable circumstances under which CEO Bernie Ebbers would be forced to sell his stock; speculation that Ebbers would be forced to sell due to a margin call had been one of the factors pressuring the stock.

To: TheStockFairy who wrote (147164)	1/30/2002 12:03:22 PM
From: ild	Read Replies (3) \| Respond to of 436258

Kaufman Brothers Report: Reiterate STRONG BUY... Multiple rumors are circulating that, combined with negative telecom and equities perceptions related to the Global Crossing and Enron failures, are negatively impacting WCOM shares. Goldman Sachs in fact did NOT cut its rating on the company stock but did lower 2002E cash EPS to below guidance at $0.90 and south of our recently RAISED estimate of $1.01 in the past few weeks. We do NOT anticipate a debt rating cut due to the visibility Worldcom has to POSITIVE free cash flow generation this spring, which paves the way for DEBT REDUCTIONS and/or refinancing of maturities. MAJOR RATINGS AGENCIES HAVE DENIED THAT THEY PLAN TO CUT THE COMPANY'S DEBT. We view the likelhood of WorldCom going bankrupt as...frankly ludicrous, given the company's EBITDA covers net interest and capex beginning this spring. In fact, we argue WorldCom has room to LEVER UP if it needed to in order to make additional investments and/or acquistions. WorldCom's cash P/E is a PALTRY 10x, WELL BELOW RBOC multiples of 15-20x and the multiples of its IXC comps, Sprint FON and AT&T Business Services- implied multiples of 15-20X. We believe accelerating 271 approvals and long-distance re-entry by the RBOCs position them to make bids for major IXCs, which should drive WorldCom's valuation HIGHER heading into 2003. The company's bottom line comps should turn positive in 3Q02 aided by debt reductions and jettisoning of non-core assets. These positive comps should mark a return to positive comparisons for the first time in 10 quarters and should drive a NEW ROUND OF INTEREST in the company's shares. We continue to believe the time to step up and own WorldCom is in 1H02 heading into favorable year-over-year comparisons this fall, ACCELERATING bottom line growth, and improving economic visibility. We believe our estimates support a stock in the mid- to high- $20's, based on 22-25x 2H02E cash EPS. We REITERATE OUR STRONG BUY recommendation. messages.yahoo.com