BusinessBusiness RecoveryJudge approves MCI recovery plans

Judge approves MCI recovery plans

Failed telecoms provider WorldCom is to re-emerge from chapter 11 protection under its new guise MCI, after a US judge approved the company's recovery plans last week.

Link: WorldCom starts plea to emerge from bankruptcy

The approval comes two months after the Oklahoma state attorney filed criminal charges against MCI and six former employees including the former chief executive Bernie Ebbers and former chief financial officer Scott Sullivan.

Bankruptcy Court judge Arthur J Gonzalez has cleared MCI’s Plan of Reorganisation, which includes a new board of directors, a retention of all business assets and a focus on profitability growth.

Seven new executives have been appointed including a new chief financial officer, general counsel plus a chief ethics officer.

MCI chairman and CEO Michael Capellas said: ‘MCI has a strong set of assets, including the world?s farthest-reaching IP backbone, a restructured financial position with strong cash flow, and a healthy balance sheet.’

Related Articles

Investment firm acquires Avon Steel Company Limited

Business Recovery Investment firm acquires Avon Steel Company Limited

1w Emma Smith, Managing Editor
Manchester law firm enters into administration

Business Recovery Manchester law firm enters into administration

1w Emma Smith, Managing Editor
KPMG appoints new global head of insolvency

Business Recovery KPMG appoints new global head of insolvency

4w Emma Smith, Managing Editor
EY hired by Carillion to review finances

Accounting Firms EY hired by Carillion to review finances

5m Alia Shoaib, Reporter
Using insolvency as a debt recovery tool

Business Recovery Using insolvency as a debt recovery tool

6m Emma Smith, Managing Editor
UK government should support mid-sized businesses to create a ‘new economy’ post-Brexit, says BDO report

Business Recovery UK government should support mid-sized businesses to create a ‘new economy’ post-Brexit, says BDO report

8m Alia Shoaib, Reporter
Over 800 jobs saved as Endless LLP acquires Jones Bootmaker

Business Recovery Over 800 jobs saved as Endless LLP acquires Jones Bootmaker

9m Emma Smith, Managing Editor
FRP Advisory expands operation with new office, partner appointments

Accounting Firms FRP Advisory expands operation with new office, partner appointments

10m Emma Smith, Managing Editor