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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: paul_philp who wrote (52307)	7/28/2002 4:17:47 PM
From: Eric L	Read Replies (1) \| Respond to of 54805

re: Collapse of the Telecosm Inside the Telecom Game August 5, 2002 BusinessWeek Cover Story How a small group of insiders made billions as the industry collapsed businessweek.com Truly Scary Stuff! Excerpt: A small group of CEOs and financiers managed to save the family silver before the house burned to the ground. Philip F. Anschutz, founder of ailing local and long-distance upstart Qwest Communications International Inc. (Q ), reaped $1.9 billion from company stock sales since 1998. Former Qwest CEO Joseph P. Nacchio sold $248 million worth of stock before he was pushed out of the scandal-plagued company in June. Global Crossing founder Gary Winnick sold $734 million of his shares before his company filed for bankruptcy in January. And former WorldCom CEO Bernard J. Ebbers borrowed some $400 million from his company before he was ousted in April--and that loan remains to be repaid. What do these execs have in common? They were all central players in a tight-knit telecom clique that dominated the communications industry in the second half of the last decade. Individually, some of these men were well known, but the ties among them are little understood even today. The group was linked through Salomon Smith Barney's telecom analyst Jack B. Grubman, the son of a Philadelphia municipal worker who rose from his blue-collar roots to become one of the most powerful players on Wall Street. - Eric -