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To: Mazman who wrote (3357)9/30/1998 10:58:00 AM
From: Anthony Wong  Respond to of 11568
 
Cable & Wireless Selling Phone Services in U.S. for 5c-Minute

Bloomberg News
September 30, 1998, 10:08 a.m. ET

Cable & Wireless Selling Phone Services in U.S. for 5c-Minute

Vienna, Virginia, Sept. 29 (Bloomberg) - Cable & Wireless
USA, a unit of Cable & Wireless Plc, is offering its U.S.
residential Internet customers long-distance phone services for 5
cents a minute on weekends and 7 cents a minute on weekdays --
the lowest prices in the industry.

The plan, called ixComplete, began two weeks ago when Cable
& Wireless bought MCI Communications Corp.'s Internet assets for
$1.75 billion in cash. The offer matches a limited 5-cent weekend
rate by AT&T Corp., the largest U.S. long-distance company, and a
Sunday 5-cent plan by MCI WorldCom Inc., the No. 2 U.S. long-
distance company created by WorldCom's purchase of MCI.

Cable & Wireless USA expects the plan will convince some of
its 500,000 Internet customers to also buy phone services. It's
also aiming to woo new customers, a move that will help boost its
U.S. sales to more than $1.1 billion in fiscal 1999 ending in
March from $900 million in fiscal 1998, an executive said.

Cable & Wireless USA wants to ''retain these ex-MCI Internet
customers and grow our customer base,'' said My-Chau Nguyen,
senior vice president of marketing at Cable & Wireless USA, told
the Bloomberg Forum.

Nguyen said the discount plan is a limited promotion,
although she declined to say how long it will run for. The plan
is profitable, although she wouldn't elaborate.

--Colleen McElroy in the Princeton newsroom (609) 279-4069/esk