MCI no longer bankrupt
- By Michael Hardy
- Apr 20, 2004
MCI Inc. formally emerged from bankruptcy today.
The company, forced to seek Chapter 11 protection after officials in 2002 overstated profits, has undertaken a lengthy rehabilitation process that includes replacing its executives and board, instituting ethics programs and dropping its former WorldCom name.
The company is officially known as MCI Inc.
"MCI's turnaround is a tribute to the human spirit and the amazing will of our 50,000 dedicated employees," said Michael Capellas, MCI president and chief executive officer, in a statement. "This is a symbolic day for MCI employees, who have remained committed to serving our customers. I feel a great sense of pride for all we've accomplished together."
The General Services Administration contemplated debarring MCI last year, a move that would have banned the company from taking new federal contracts. After several months of consideration, GSA officials opted not to pursue debarment.
Capellas said MCI, like other telecommunications firms, is part of a rapidly changing industry.
"Our emergence is not the finish line, it's the beginning of a new race," Capellas said in the written statement. "Somewhere between telecommunications and computing, there's a new kind of company, and that's what MCI will be."