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Technology Stocks : Newbridge Networks -- Ignore unavailable to you. Want to Upgrade?

To: Glenn McDougall who wrote (4103)	4/18/1998 3:48:00 AM
From: pat mudge	Respond to of 18016

Looks as though CW sealed the deal with Telecom Italia: <<< THURSDAY APRIL 16 1998ÿÿUK & Irelandÿ C&W/TELECOM ITALIA: $2bn asset exchange seals deal By Alan Cane Cable and Wireless of the UK and Telecom Italia yesterday cemented their week-old relationship with an exchange of assets expected to be worth more than $2bn to the UK company. A broad understanding between Europe's fourth largest carrier and C&W emerged last weekend when the two companies said they were exploring the possibility of co-operation on their respective networks. Yesterday they said they intended to invest in a joint operating company, which would "optimise the investment in the two companies' global networks and services to multinational companies". C&W has agreed to sell its 20 per cent stake in Bouygues T‚l‚com, the French mobile phone operator, to Telecom Italia to underpin the alliance. Dick Brown, C&W chief executive, said the new company would carry more than 17bn minutes of telecoms traffic annually, making it the second largest international carrier after AT&T of the US. The partnership will not be sealed by an exchange of equity. However, C&W has agreed to sell Telecom Italia up to 20 per cent of its wholly owned West Indies company and 5 per cent of C&W North America, the first time the UK company has allowed another company a share of its North American assets. With the sale of the stake in Bouygues worth $743m, the value of the disposals will come to more than $2bn. Telecom Italia will integrate its 29 per cent holding in the Cuban telephone company Etecsa into C&W West Indies at a later date. Mr Brown and Gian Mario Rossignolo, Telecom Italia president, said the alliance would be characterised by an absence of bureaucracy and an ability to act quickly unusual in large telecoms operators. It is hoped the detailed business plan will be complete by the end of June. >>>>