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Technology Stocks : Qwest Communications (Q) (formerly QWST) -- Ignore unavailable to you. Want to Upgrade?

To: Don S.Boller who wrote (1231)	5/8/1998 8:55:00 PM
From: MangoBoy	Read Replies (3) \| Respond to of 6846

[LCI to pay ACN $75-$90 mln if Qwest deal closes] NEW YORK, May 8 (Reuters) - LCI International Inc would be required to pay American Communications Network between $75 million to $90 million if LCI completes its proposed deal to be bought by Qwest Communications International Inc, a spokeswoman said Friday. LCI, a long distance carrier, has an agreement through 2011 with ACN, a third-party sales agent. That agreement requires LCI to pay ACN certain fees if there is a change in control of the company, LCI spokeswoman Carolin Sagawa said. LCI agreed in March to be acquired by Qwest for about $4.4 billion in stock. The estimate of payments to ACN is based on the expectation the LCI-Qwest deal closes in the second or third quarter or 1998, after it receives all necesary approvals, LCI said. LCI would pay ACN half of the estimated amount within six months after the deal with Qwest closes. The second half of the fees would be paid 25 months after the deal closes and is subject to ACN's performance during that time. Also, three months after the LCI-Qwest deal is completed, the combined company would receive a 31 percent reduction in the ongoing commissions paid to ACN, Sagawa said. LCI could not immediately comment on whether the payments to ACN would affect earnings.