WorldCom to rise from ashes
Collapsed telecom company WorldCom could emerge intact from Chapter 11 protection from bankruptcy by the middle of the year despite suffering from the largest accounting fraud ever seen in US corporate history.
Link: WorldCom special report
The business, which entered Chapter 11 less than six months ago, has received new direction since Michael Capellas, former chief executive at computer manufacturer Compaq, took over the reigns of the ailing business. The board of directors has been radically re-shaped and a new business plan put in place.
The company has also reached a preliminary settlement with the Securities and Exchange Commission over its past actions and creditors have agreed that the best way to retain value is for WorldCom to come out from Chapter 11 as soon as possible.