T-3/A 1 jd11-20_t3a1.txt ================================================================================ SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM T-3/A (AMENDMENT NO. 1) APPLICATION FOR QUALIFICATION OF INDENTURE UNDER THE TRUST INDENTURE ACT OF 1939 WORLDCOM, INC. (Name of Applicant) 22001 Loudoun County Parkway Ashburn, Virginia 20147 (Address of Principal Executive Offices) SECURITIES TO BE ISSUED UNDER THE INDENTURE TO BE QUALIFIED: Title of Class Amount -------------- ------ Senior Notes Up to a maximum aggregate principal amount of $5,665,000,000 -------------------------------- Approximate date of proposed public offering: Upon the Effective Date under the Plan (as defined herein). -------------------------------- Anastasia D. Kelly, Esq. Executive Vice President and General Counsel WorldCom, Inc. 22001 Loudoun County Parkway Ashburn, Virginia 20147 (Name and Address of Agent for Service) With a copy to: Simeon Gold, Esq. Weil, Gotshal & Manges LLP 767 Fifth Avenue New York, New York 10153 -------------------------------------------------------------------------------- The Applicant hereby amends this Application for Qualification on such date or dates as may be necessary to delay its effectiveness until (i) the 20th day after the filing of an amendment that specifically states that it shall supersede this Application for Qualification or (ii) such date as the Securities and Exchange Commission, acting pursuant to Section 307(c) of the Trust Indenture Act of 1939, may determine upon the written request of the Applicant. FORM T-3/A (AMENDMENT NO. 1) GENERAL ITEM 1. GENERAL INFORMATION. (a) The Applicant, WorldCom, Inc., is a corporation (the name of which will be changed to MCI, Inc. upon the Effective Date of the Plan (as defined herein)). Certain subsidiaries of the Applicant will guarantee the Senior Notes (defined below). (b) The Applicant is a Georgia corporation but will reincorporate as a Delaware corporation upon the Effective Date of the Plan. ITEM 2. SECURITIES ACT EXEMPTION APPLICABLE. The Applicant intends to offer, under the terms and subject to the conditions set forth in the Disclosure Statement, as amended (the "Disclosure Statement") and an accompanying Joint Plan of Reorganization, as amended, under Chapter 11 of the Bankruptcy Code (the "Plan") of Applicant and certain of its subsidiaries (collectively, the "Debtors"), Senior Notes (the "Senior Notes"), up to a maximum aggregate principal amount equal to $5,665,000,000, which will be issued in three series due 2006, 2008 and 2013. The indentures attached to this Form T-3/A as Exhibits T3C-1, T3C-2 and T3C-3 (collectively, the "Indenture") set forth the terms for the Senior Notes due 2013, 2008 and 2006, respectively. But for the principal amount of the Senior Notes, the interest rate, and the redemption provision in Section 3.07 of the Indenture and in the Senior Note, the terms of Senior Notes due 2006 and Senior Notes due 2008 will be the same as those set forth in the indenture for the Senior Notes due 2013. Because pursuant to the Plan, Electing Holders (as defined in the Plan) have the option to exchange their claims for Senior Notes or common stock of the Applicant or a combination thereof, the aggregate principal amount of the Senior Notes will not be known until all such holders have made their election, but in no event will the aggregate principal amount of the Senior Notes be greater than $5,665,000,000. The Senior Notes are being offered by the Applicant in reliance on an exemption from the registration requirements of the Securities Act of 1933, as amended (the "Securities Act"), afforded by section 1145 of title 11 of the United States Code, as amended (the "Bankruptcy Code"). Generally, section 1145(a)(1) of the Bankruptcy Code exempts the offer and sale of securities under a bankruptcy plan of reorganization from registration under the Securities Act and under equivalent state securities and "blue sky" laws if the following requirements are satisfied: (i) the securities are issued by the debtor (or its successor) under a plan of reorganization; (ii) the recipients of the securities hold a claim against the debtor, an interest in the debtor or a claim for an administrative expense against the debtor; and (iii) the securities are issued entirely in exchange for the recipient's claim against or interest in the debtor or are issued "principally" in such exchange and "partly" for cash or property. The Applicant believes that the offer and exchange of the Senior Notes under the Plan will satisfy such requirements of section 1145(a)(1) of the Bankruptcy Code and, therefore, such offer and exchange is exempt from the registration requirements referred to above. Pursuant to the Plan, Senior Notes will be issued to the Electing Holders and holders of MCIC Senior Debt Claims (as defined in the Plan) in satisfaction of their claims against all of the Debtors. For a more complete description of the Senior Notes, reference is made to the Indenture. 2 AFFILIATIONS ITEM 3. AFFILIATES. (a) Set forth below is a list of all direct and indirect subsidiaries of the Applicant (the "Subsidiaries" and each a "Subsidiary"). Unless stated otherwise, each Subsidiary is wholly owned by the Applicant or a Subsidiary.
------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- 21-800-Collect, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- 3568695 Canada, Inc. Canada ------------------------------------------------ ----------------------------------------- ----------------------------------------- Access Network Services, Inc. Texas ------------------------------------------------ ----------------------------------------- ----------------------------------------- Access Virginia, Inc. Virginia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Advantage Company Limited Bermuda ------------------------------------------------ ----------------------------------------- ----------------------------------------- ALD Communications, Inc. California ------------------------------------------------ ----------------------------------------- ----------------------------------------- ANS Communications Europe Ltd. United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- Atlantic Ocean Cables Limited (f/k/a Gemini Bermuda Submarine Cable System Limited) ------------------------------------------------ ----------------------------------------- ----------------------------------------- Avantis Investments Inc. Cayman ------------------------------------------------ ----------------------------------------- ----------------------------------------- BC Yacht Sales, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- BCT Holdings, LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- BCT Real Estate, LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- B.T.C. Real Estate Investments, Inc. Missouri ------------------------------------------------ ----------------------------------------- ----------------------------------------- BFC Communications, Inc. Nevada ------------------------------------------------ ----------------------------------------- ----------------------------------------- Bittel Telecommunications Corporation California ------------------------------------------------ ----------------------------------------- ----------------------------------------- Bolivarsat S.A. Brazil 51% owned by Star One S.A. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brasilcenter Comunicacoes Ltda. Brazil 99% owned by Empresa Brasileira de Telecomunicacoes S/A Embratel ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Arkansas, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Bakersfield, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Connecticut, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Fresno, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Idaho, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Massachusetts, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Michigan, Inc. Michigan ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Minnesota, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Mississippi, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Missouri, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Nevada, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- 3 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of New England, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of New Mexico, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of New York, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Ohio, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Oklahoma, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Rhode Island, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Sacramento, Inc. Nevada ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of San Jose, Inc. Nevada ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Stockton, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Tennessee, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Texas, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Tucson, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Tulsa, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Utah, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications of Virginia, Inc. Virginia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Communications-LD, Inc. Nevada ------------------------------------------------ ----------------------------------------- ----------------------------------------- Brooks Fiber Properties, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- BTC Finance Corp. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- BTC Transportation Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Business Internet, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- CC Wireless, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Chicago Fiber Optic Corporation Illinois ------------------------------------------------ ----------------------------------------- ----------------------------------------- Click 21 Comercio de Publicidade Ltda. Brazil 99.99% owned by Empresa Brasileira de Telecomunicacoes S/A Embratel ------------------------------------------------ ----------------------------------------- ----------------------------------------- CMIST Pty Limited Australia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Com Systems, Inc. California ------------------------------------------------ ----------------------------------------- ----------------------------------------- COM/NAV Realty Corp. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Compuplex Incorporated Ohio ------------------------------------------------ ----------------------------------------- ----------------------------------------- Comunicaciones Racotec, S.A. Costa Rica ------------------------------------------------ ----------------------------------------- ----------------------------------------- Corporacion ABC lnternacional, S. de R.L. de Mexico C.V. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Cross Country Telecommunications, Inc. New Jersey ------------------------------------------------ ----------------------------------------- ----------------------------------------- Cross Country Wireless, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- CS Network Services, Inc. California ------------------------------------------------ ----------------------------------------- ----------------------------------------- 4 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- CS Wireless Battle Creek, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- CS Wireless Systems, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Debrant Limited New Zealand ------------------------------------------------ ----------------------------------------- ----------------------------------------- Digex, Incorporated Delaware 94.1% owned by Intermedia Investment, Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Digex International Holding Company Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Digex (UK) Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- Digex (Netherlands) B.V. Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- Digex (Sweden) AB Sweden ------------------------------------------------ ----------------------------------------- ----------------------------------------- Digex Germany GmbH Germany ------------------------------------------------ ----------------------------------------- ----------------------------------------- Digex France SAS France ------------------------------------------------ ----------------------------------------- ----------------------------------------- E.L. Acquisition, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Embratel Americas Inc Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Embratel Chile S/A Chile 99.99% owned by Empresa Brasileira de Telecomunicacoes S/A Embratel ------------------------------------------------ ----------------------------------------- ----------------------------------------- Embratel Clearinghouse Ltda. Brazil 99.99% owned by Empresa Brasileira de Telecomunicacoes S/A Embratel ------------------------------------------------ ----------------------------------------- ----------------------------------------- Embratel Participacoes S.A. Brazil 51.79% owned by MCI International ------------------------------------------------ ----------------------------------------- ----------------------------------------- Embratel Internacional S/A Argentina 99% owned by Empresa Brasileira de Telecomunicacoes S/A Embratel ------------------------------------------------ ----------------------------------------- ----------------------------------------- Embratel S.A. Brazil ------------------------------------------------ ----------------------------------------- ----------------------------------------- Embratel Solucoes Ltda. Brazil 99.99% owned by Embratel Participacoes S.A. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Embratel Uruguay Sociedad Anonima Uruguay ------------------------------------------------ ----------------------------------------- ----------------------------------------- Empresa Brasileira de Telecomunicacoes S/A Brazil 98.77% owned by Embratel Participacoes Embratel S. A ------------------------------------------------ ----------------------------------------- ----------------------------------------- ESAG Holdings Participacoes S.A. Brazil ------------------------------------------------ ----------------------------------------- ----------------------------------------- Express Communications, Inc. Nevada ------------------------------------------------ ----------------------------------------- ----------------------------------------- Fibercom of Missouri, Inc. Missouri ------------------------------------------------ ----------------------------------------- ----------------------------------------- FiberNet Rochester, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Fibernet, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Fox Court Nominees Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- Gemini Submarine Cable System (UK) Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- Gemini Submarine Cable System Limited Bermuda 50% owned by Atlantic Ocean Cables Limited ------------------------------------------------ ----------------------------------------- ----------------------------------------- Gemini Submarine Cable System, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Gollum Investments Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Goriot Investments Inc. Cayman ------------------------------------------------ ----------------------------------------- ----------------------------------------- Guimar Holdings S.A. Brazil ------------------------------------------------ ----------------------------------------- ----------------------------------------- Healan Communications, Inc. Georgia ------------------------------------------------ ----------------------------------------- ----------------------------------------- ICI Capital LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- IDB Communications Group Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- IDB London Gateway Limited United Kingdom 50% owned by MCI Communications Corporation ------------------------------------------------ ----------------------------------------- ----------------------------------------- INnet International N.V. Belgium ------------------------------------------------ ----------------------------------------- ----------------------------------------- Innet Luxembourg S.A. Luxembourg ------------------------------------------------ ----------------------------------------- ----------------------------------------- Innet N.V. Belgium ------------------------------------------------ ----------------------------------------- ----------------------------------------- 5 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- Innet Netherlands Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- Institutional Communications Company Virginia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Intelligent Investment Partners, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Intermedia Capital, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Intermedia Communications Inc. Delaware 90% owned by Applicant ------------------------------------------------ ----------------------------------------- ----------------------------------------- Intermedia Communications of Virginia, Inc. Virginia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Intermedia Investment, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Intermedia Licensing Company Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Intermedia Services LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Internet Connect Centre B.V. Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- lnterNLnet B.V. Netherlands 50% owned by UUNET Technologies, Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- J.B. Teleco, Inc. Missouri ------------------------------------------------ ----------------------------------------- ----------------------------------------- Jones Lightwave of Denver, Inc. Colorado ------------------------------------------------ ----------------------------------------- ----------------------------------------- M.K. International SA France ------------------------------------------------ ----------------------------------------- ----------------------------------------- Marconi Telegraph Cable Company, Inc. New York ------------------------------------------------ ----------------------------------------- ----------------------------------------- McCourt Cable and Communications Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI (CIS) LLC Russia ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Bolivian Investments Company S.A. Bolivia ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Canada, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Communications Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Equipment Acquisition Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI European Holdings Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Finance Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Galaxy III Transponder Leasing, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Global Access Corporation New York ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Global Support Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Internacional Guatemala, Sociedad Anonima Guatemala ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International (Argentina) S.A. Argentina ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International (Chile) S.A. Chile ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International (Colombia) Ltda. Colombia ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International (France) S.A.R.L. France ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International (Ireland) Limited Ireland ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International (Italy) S.R.L. Italy ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International (Japan) Co., Ltd. Japan ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International (Portugal) Telecomunicacoes, Portugal Lda. ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International Panama, S.A. Panama ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International Services, L.L.C. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International Telecommunications Delaware Corporation ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International Telecomunicacoes do Brasil Brazil Ltda. ------------------------------------------------ ----------------------------------------- ----------------------------------------- 6 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International Telecommunications Holding Delaware Corporation ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI International, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Investments Holdings, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Network Technologies, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Omega Properties, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Payroll Services, LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Research, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Solutions Telecomunicacoes Ltda. Brazil ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Systemhouse L.L.C. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Telecommunications (Israel) Ltd. Israel ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Telecommunications (South Africa) South Africa (Proprietary) Limited ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Telecommunications Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Transcon Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Wireless, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom (Ireland) Limited Ireland ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom (Spain), S.A. Spain ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom A.G. Switzerland ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom AS Norway ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Asia Pacific Limited Cayman Islands ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Asia Pte. Limited Singapore ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Australia Pty Limited Australia ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom B.V. Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Brands, L.L.C. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Brazil LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Brooks Telecom, LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Capital Management Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Communications (Ireland) Limited Ireland ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Communications Japan Ltd. Japan ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Communications of Virginia, Inc. Virginia ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Communications, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Deutschland GmbH Germany ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Financial Management Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Finland Oy Finland ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Global Networks U.S., Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Holding B.V. Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Holding France France ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom India Private Limited India ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI Worldcom International (Hungary) Hungary Telecommunications Ltd. ------------------------------------------------ ----------------------------------------- ----------------------------------------- 7 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM International, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Japan Limited Japan ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Korea Limited Korea ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Malaysia SDN.BHD Malaysia ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Management Company, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM MFS Telecom, LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Network Services of Virginia, Inc. Virginia ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Network Services, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom New Zealand Limited New Zealand ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Peru SRL Peru ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Philippines, Inc. Philippines ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Receivables Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom S.A. France ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom S.p.A. Italy ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WORLDCOM Synergies Management Company, Inc. Delaware 89.5% owned by MCI Communications Corporation ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Taiwan Co. Ltd. Taiwan, ROC ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Telecommunication Services Austria Austria Gesellschaft m.b.H. ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Telecommunications (Hellas) Greece Single-Member Limited Liability Company ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldCom Telecommunications (Czech Czech Republic Republic), s.r.o. ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI WorldPhone Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI/OTI Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCI-CIS Russia ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCImetro Access Transmission Services LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MCImetro Access Transmission Services of Virginia Virginia, Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- MEDUSA Beteiligungsverwaltungs-Gesellschaft Germany Nr. 32 mbH ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metrex Corporation Georgia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Alabama, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Arizona, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Baltimore, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of California, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Columbus, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- 8 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Connecticut, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Dallas, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Delaware, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Denver, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Detroit, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Florida, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Hawaii, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Houston, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Indianapolis, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Iowa, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Kansas City, Missouri Missouri, Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Kansas, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Kentucky, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Massachusetts, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Minneapolis/St. Delaware Paul, Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Nebraska, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Nevada, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of New Hampshire, New Hampshire Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of New Jersey, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of New Orleans, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of New York, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of North Carolina, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Ohio, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Oklahoma, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Oregon, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Philadelphia, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- 9 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Pittsburgh, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Rhode Island, Delaware Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Seattle, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of St. Louis, Inc. Missouri ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Tennessee, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Virginia, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems of Wisconsin, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Metropolitan Fiber Systems/McCourt, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS CableCo U.S., Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Communications of Canada, Inc. Canada ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Datanet, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Foreign Personnel, Inc. California ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Global Communications, Inc. Delaware (f/k/a MCI WorldCom Services Co.) ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Globenet, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS International Holdings, L.L.C. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS International Opportunities, Inc. Delaware (f/k/a MCI WorldCom Marketing Co.) ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Network Technology Ltd. United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Telecom, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Telephone of Missouri, Inc. Missouri ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Telephone of New Hampshire, Inc. New Hampshire ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Telephone of Virginia, Inc. Virginia ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS Telephone, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFS/C-TEC New Jersey ------------------------------------------------ ----------------------------------------- ----------------------------------------- MFSA Holding, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Military Communications Center, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International A/S Denmark ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International AS Norway ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International Limited (New Zealand) New Zealand ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International Project Management Pte Limited Singapore ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International Project Management Pty Limited Australia ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International Project Management S.L. Spain ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International Projekt Menedzsment Kft. Hungary ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International S.A. Luxembourg ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International S.r.l. Italy ------------------------------------------------ ----------------------------------------- ----------------------------------------- 10 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International s.r.o. Czech Republic ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International Sp. z o.o. Poland ------------------------------------------------ ----------------------------------------- ----------------------------------------- MK International Telekommunikationsgesellschaf Austria m.b.H. ------------------------------------------------ ----------------------------------------- ----------------------------------------- MKI Cellular Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- MKI GmbH Germany ------------------------------------------------ ----------------------------------------- ----------------------------------------- MKI Project Management Private Limited India ------------------------------------------------ ----------------------------------------- ----------------------------------------- MKI Taiwan Limited Taiwan ------------------------------------------------ ----------------------------------------- ----------------------------------------- MKIP - Gestao de Projectos, Lda. Portugal ------------------------------------------------ ----------------------------------------- ----------------------------------------- MobileComm Europe Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel (UK) Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel American Radiodetermination Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Asia, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Cellular, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Chile S.A. Chile ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel del Ecuador S.A. Ecuador ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Digital Services, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Guatemala S.A. Guatemala 50% owned by SkyTel Communications, Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel International, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Latin America, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Microwave, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Service Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Space Technologies Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Technologies, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Mtel Uruguay S.A. Uruguay ------------------------------------------------ ----------------------------------------- ----------------------------------------- N.C.S. Equipment Corporation New York ------------------------------------------------ ----------------------------------------- ----------------------------------------- N.V. WorldCom S.A. Belgium 50% owned by MCI WORLDCOM International, Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- National Telecommunications of Florida, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Netwave Systems, Inc. Louisiana ------------------------------------------------ ----------------------------------------- ----------------------------------------- networkMCI, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- New England Fiber Communications L.L.C. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- New Startel Participacoes Ltda Brazil 99.99% owned by Startel-Participacoes Ltda. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Northeast Networks, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Nova Cellular Co. Illinois ------------------------------------------------ ----------------------------------------- ----------------------------------------- NTC, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Nubal S.A. Uruguay ------------------------------------------------ ----------------------------------------- ----------------------------------------- Overseas Telecommunications, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- OzEmail Fax Investments Pty Limited Australia ------------------------------------------------ ----------------------------------------- ----------------------------------------- OzEmail Pty Limited Australia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Palau Telecomunicacoes Ltda. Brazil 99.99% owned by Empresa Brasileira de Telecomunicacoes S/A Embratel ------------------------------------------------ ----------------------------------------- ----------------------------------------- 11 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- Participation Investments Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Ponape Telecomunicacoes Ltda. Brazil 99.99% owned by Embratel Participacoes S.A. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Power Up Pty Limited Australia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Proceda Tecnologia e Informatica, S.A. Brazil ------------------------------------------------ ----------------------------------------- ----------------------------------------- PT MCI WorldCom Indonesia Indonesia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Satalite Data Networks Ltd. Mauritius 50.1% owned by UUNET International Ltd. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Satelitte Data Networks (Pty) Ltd. South Africa ------------------------------------------------ ----------------------------------------- ----------------------------------------- Savannah Yacht & Ship, LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- SE Network Access Pty Limited Australia ------------------------------------------------ ----------------------------------------- ----------------------------------------- SkyTel Communications, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- SkyTel Corp. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- SkyTel Panama Panama ------------------------------------------------ ----------------------------------------- ----------------------------------------- SkyTel Payroll Services, LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Smartcom Cellular South Africa 50.1% owned by UUNET International Ltd. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Southern Wireless Video, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Southernnet of South Carolina, Inc. South Carolina ------------------------------------------------ ----------------------------------------- ----------------------------------------- Southernnet Systems, Inc. Virginia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Southernnet, Inc. Georgia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Star One S.A. Brazil 80.1% owned by Empresa Brasileira de Telecomunicacoes S/A Embratel ------------------------------------------------ ----------------------------------------- ----------------------------------------- Star One S.A. Chile Limitada Chile 99.99% owned by Star One S.A. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Star One Argentina S.R.L. Argentina 99.92% owned by Star One S.A. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Startel-Participacoes Ltda. Brazil ------------------------------------------------ ----------------------------------------- ----------------------------------------- Telecom*USA, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Teleconnect Company Iowa ------------------------------------------------ ----------------------------------------- ----------------------------------------- Teleconnect Long Distance Services & Systems Iowa Co. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Telefonica Pan Americana MCI, BV Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- Tenant Network Services, Inc. California ------------------------------------------------ ----------------------------------------- ----------------------------------------- The Public IP Exchange Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- TMC Communications, Inc. California ------------------------------------------------ ----------------------------------------- ----------------------------------------- TransCall America, Inc. Georgia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Tru Vision Wireless, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Tru Vision-Flippin, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- TTI National, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Unipalm Group plc United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- Unipalm Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET ApS Denmark ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Argentina S.R.L. Argentina ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Australia Limited Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Austria GmbH Austria ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Brasil Ltda Brazil ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Botswana (Pty) Ltd. Botswana 80% owned by UUNET International Ltd. ------------------------------------------------ ----------------------------------------- ----------------------------------------- 12 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Caribbean, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Czech, s.r.o. Czech Republic ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Deutschland GmbH Germany ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Development B.V. Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Equipment Singapore Pte. Ltd. Singapore ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET European Operations Center B.V. Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Finland Oy Finland ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET France S.A. France ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNet Global Alliances, Inc. (f/k/a MCI Delaware WorldCom Transmission Co.) ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Hellas EPE Greece ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Holding B.V. Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Holdings Australia Pty Ltd. Australia ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Holdings Corp. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Holdings GmbH Germany ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Hong Kong Limited Hong Kong ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Hungary Kft Hungary ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET International (Chile) Limitada Chile ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET International Ltd. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET International Panama, S.A. Panama ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Ireland Limited Ireland ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Israel Internet Service Provider Ltd. Israel ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Italia S.R.L. Italy ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Japan Ltd. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Japan, Inc. Japan ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Kenya Ltd. Kenya ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Malaysia Sdn. Bhd. Malaysia ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Mexico, S. de R. L. de C.V. Mexico ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Namibia (Pty) Ltd. Namibia ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Norway AS Norway ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Payroll Services, LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Peru S.R.L. Peru ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Pipex B.V. Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Pipex Belgium, N.V. Belgium ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Polska Sp. z o.o. Poland ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Portugal Sociedade Unipessoal Lda Portugal ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET SA Pty Limited South Africa ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Schweiz GmbH Switzerland ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Services Amsterdam B.V. Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Services B.V. Netherlands ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Singapore Pte. Ltd. Singapore ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Sweden AB Sweden ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Technologies, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Venezuela C.A. Venezuela ------------------------------------------------ ----------------------------------------- ----------------------------------------- 13 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Vostok OOO Russian Federation ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUNET Zambia Ltd. Zambia ------------------------------------------------ ----------------------------------------- ----------------------------------------- UUSociedad Espanola de Servicios de Internet, Spain UUNET, S.L. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Virginia Metrotel, Inc. Virginia ------------------------------------------------ ----------------------------------------- ----------------------------------------- Virtua Investments Inc. Cayman ------------------------------------------------ ----------------------------------------- ----------------------------------------- Western Business Network, Inc. California ------------------------------------------------ ----------------------------------------- ----------------------------------------- Wireless Enterprises LLC Delaware 25% owned by Wireless One, Inc., 25% owned by CS Wireless Systems, Inc. and 25% owned by WorldCom Broadband Solutions, Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Wireless One of Bryan, Texas, Inc. Delaware 80% owned by Wireless One, Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- Wireless One, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- Wireless Video Enhanced Services California ------------------------------------------------ ----------------------------------------- ----------------------------------------- Wireless Video Enterprises, Inc. California ------------------------------------------------ ----------------------------------------- ----------------------------------------- Wireless Video Services California ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Advanced Networks Consulting Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Advanced Networks Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Aktiebolag Sweden ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Broadband Solutions, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Canada Ltd. Canada ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Caribbean, Inc. New York ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Colombia S.A. Colombia ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Communications GmbH Germany ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Communications India Private Limited India ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom de Venezuela, S.A. Venezuela ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Development S.A. Belgium ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom East, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Egypt LLC Egypt ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom ETC, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Federal Systems, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Funding Corporation Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Global Networks Limited Bermuda ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Global Strategic Alliances, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WoridCom Global Strategic Alliances Delaware International, Inc. ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Holding do Brazil, Ltda. Brazil ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Holding (Hong Kong) Limited Hong Kong ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom ICC, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Intermedia Communications Corporation Delaware (f/k/a Shared Technologies Fairchild Communications Corporation) ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Intermedia Telecom, Inc. (f/k/a Delaware Shared Technologies Fairchild Telecom, Inc.) ------------------------------------------------ ----------------------------------------- ----------------------------------------- 14 ------------------------------------------------ ----------------------------------------- ----------------------------------------- JURISDICTION OF INCORPORATION PERCENTAGE OF VOTING SECURITIES ----------------------------- ------------------------------- AFFILIATE OR QUALIFICATION OWNED IF LESS THAN 100% --------- ---------------- ----------------------- ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Intermedia, Inc. (f/k/a Shared Delaware Technologies Fairchild, Inc.) ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom International Data Services, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom International El Salvador, S.A. de El Salvador C.V. ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom International Internet and Turkey Telecommunication Services LLC ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom International Mobile Services LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom International Mobile Services, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom International, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Network Services Asia, Inc. Korea ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom New Zealand Limited (f/k/a Voyager NZ New Zealand Limited) ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Northern Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Overseas Holdings, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Payroll Services, LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Purchasing, LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Switzerland LLC Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Telecommunications A/S Denmark ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Ventures, Inc. Delaware ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom West Indies Limited Trinidad & Tobago ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Wireless (UK) Limited United Kingdom ------------------------------------------------ ----------------------------------------- ----------------------------------------- WorldCom Wireless, Inc. Arizona ------------------------------------------------ ----------------------------------------- -----------------------------------------
See Item 4 for directors and executive officers of the Applicant, some of whom may be deemed to be affiliates of the Applicant by virtue of their position. As of the date of this application, it is expected that certain of the Applicant's Subsidiaries will be merged into each other on or around the effective date of the Plan (the "Effective Date"). The Applicant upon the Effective Date will reincorporate under the laws of the State of Delaware and change its name to MCI, Inc. 15 MANAGEMENT AND CONTROL ITEM 4. DIRECTORS AND EXECUTIVE OFFICERS. (a) The following table sets forth the names of and all offices held by all current directors and executive officers of the Applicant.* Except as otherwise noted below, the address for each director and officer listed below is c/o WorldCom, Inc., 22001 Loudoun County Parkway, Ashburn, Virginia 20147. Name Office Address ---- ------ ------- Michael D. Capellas Chairman of the Board of Directors and Chief Executive Officer Richard R. Roscitt President and Chief Operating Officer Cynthia K. Andreotti President, Business Markets Robert T. Blakely Executive Vice President and Chief Financial Officer Seth D. Blumenfeld President, WorldCom International WorldCom, Inc. 2 International Drive Rye Brook, NY 10573 Fred M. Briggs President, Operations and Technology Daniel L. Casaccia Executive Vice President, Human Resources Jonathan Crane Executive Vice President, Strategy and WorldCom, Inc. Marketing 650 Elm Street Manchester, NH 03101 Victoria D. Harker Senior Vice President, Finance Wayne E. Huyard President, Mass Markets Anastasia D. Kelly Executive Vice President, General Counsel and Secretary Grace Chen Trent Vice President and Chief of Staff Dennis R. Beresford Director J.M. Tull School of Accounting Terry College of Business The University of Georgia Athens, GA 30602 Nicholas deB. Katzenbach Director 33 Greenhouse Drive Princeton, NJ 08540 C.B. Rogers, Jr. Director Equifax, Inc. 3060 Peachtree Road - Suite 240 Atlanta, GA 30305
----------------- * With respect to vice presidents of the Applicant, the table includes only those vice presidents who are in charge of a principal business unit, division or function or who perform a policy making function. 16 (b) It is currently anticipated that the following shall serve as directors of the Applicant's reorganized Board of Directors as of the Effective Date: Michael D. Capellas, Nicholas deB. Katzenbach, Dennis R. Beresford, C.B. Rogers, Jr., W. Grant Gregory, Judith Haberkorn, Laurence E. Harris, Eric Holder, and David Matlin. It is expected that existing executive officers of the Applicant shall continue to serve in their current capacities after the Effective Date. Names Addresses ----- --------- Michael D. Capellas See Item 4(a) Nicholas deB. Katzenbach See Item 4(a) Dennis R. Beresford See Item 4(a) C.B. Rogers, Jr. See Item 4(a) W. Grant Gregory Gregory & Hoenemeyer, Inc. 2 Greenwich Plaza Greenwich, CT 06830 Judith Haberkorn 101 Paddock Place Ponte Vedra Beach, FL 32082 Laurence E. Harris c/o Patton Boggs LLP 2550 M Street, N.W. Washington, DC 20037 Eric Holder c/o Covington & Burling 1201 Pennyslvania Avenue, N.W. Washington, DC 20004 David Matlin Matlin Patterson Global Advisers, LLC 520 Madison Avenue New York, NY 10022 ITEM 5. PRINCIPAL OWNERS OF VOTING SECURITIES. (a) As of the date of this application, Applicant believes that based on filings with the Securities and Exchange Commission there currently are no persons owning 10% or more of the Applicant's voting securities. (b) Presented below is certain information regarding each person expected, on the basis of present holdings, commitments and information, to own 10% or more of the Applicant voting securities to be outstanding as of the Effective Date.
Percentage of Voting -------------------- Name and Amount Expected Securities Expected To -------- --------------- ---------------------- Complete Mailing Address Title of Class Owned To Be Owned Be Owned ------------------------ -------------------- ----------- -------- Matlin Patterson Global Opportunities Common Stock 55,307,058 17% Partners L.P. 520 Madison Avenue New York, NY 10022 Financial Ventures, LLC Common Stock 40,241,019 12.64% 1105 North Market Street Suite 1300 Wilmington, DE 19801
UNDERWRITERS ITEM 6. UNDERWRITERS. (a) Within the three years prior to the date of the filing of this application, the following have acted as an underwriter of the following securities of the Applicant which are outstanding on the date of this application: SECURITIES UNDERWRITER AND ADDRESS ---------- ----------------------- 7.375% Dealer Remarketable Securities (DRS) due 2011 7.375% Notes due 2006 J.P. Morgan Securities Inc. 270 Park Avenue New York, NY 10017 Utendahl Capital Partners, L.P. 30 Broad Street 31st Floor New York, NY 10004 6.500% Senior Notes due 2004 7.500% Senior Notes due 2011 8.250% Senior Notes due 2031 J.P. Morgan Securities Inc. 270 Park Avenue New York, NY 10017 17 Salomon Smith Barney Inc. 388 Greenwich Street New York, NY 10003 Banc of America Securities LLC 600 Montgomery Street San Francisco, CA 94111 ABN AMRO Incorporated 55 East 52 Street New York, NY 10055 Deutsche Banc Alex.Brown Inc. 280 Park Avenue, 3rd Floor New York, NY 10017 Tokyo-Mitsubishi International plc 26F Marunouchi Bldg, 4-1, Marunouchi 2-Chome, Chiyoda-ku, Tokyo 100-6326, Japan Westdeutsche Landesbank Girozentrale Woolgate Exchange 25 Basinghall Street London EC2V 5HA BNP Paribas Securities Corp. 787 Seventh Avenue New York, NY 10019 Caboto Holding SIM S.p.A. 90 Queen Street London EC4N 1SA Fleet Securities, Inc. 26 Broadway New York, NY 10004 Mizuho International plc Marunouchi Center Building 6-1 Marunouchi 1-chome, Chiyoda-ku Tokyo, Japan Blaylock & Partners, L.P. 399 Park Avenue, 15th Floor New York, NY 10022 Utendahl Capital Partners, L.P 30 Broad Street 31st Floor New York, NY 10004 6.750% Senior Notes due 2008 7.250% Senior Notes due 2008 J.P. Morgan Securities Ltd. 270 Park Avenue New York, NY 10017 18 Salomon Brothers International Limited 388 Greenwich Street New York, NY 10003. Banc of America Securities Limited 600 Montgomery Street San Francisco, CA 94111 ABN AMRO Bank N.V. 199 Bishopsgate London EC2M 4AA Deutsche Bank AG London Winchester House 1 Great Winchester Street London EC2N 2DB Tokyo-Mitsubishi International plc 26F Marunouchi Bldg, 4-1, Marunouchi 2-Chome, Chiyoda-ku, Tokyo 100-6326, Japan Westdeutsche Landesbank Girozentrale Woolgate Exchange 25 Basinghall Street London EC2V 5HA BNP Paribas 10 Harewood Ave London NW1 6AA Caboto Holding SIM S.p.A. 90 Queen Street London EC4N 1SA Robertson Stephens International Limited 1633 Broadway, 29th Floor New York, NY 10019 Mizuho International plc Marunouchi Center Building 6-1 Marunouchi 1-chome, Chiyoda-ku Tokyo, Japan Blaylock & Partners, L.P. 399 Park Avenue, 15th Floor New York, NY 10022 Utendahl Capital Partners, L.P. 30 Broad Street, 31st Floor New York, NY 10004
19 (b) No person is acting as principal underwriter of the securities proposed to be offered pursuant to the Indenture. CAPITAL SECURITIES ITEM 7. CAPITALIZATION. (a) (1) The following table sets forth certain information with respect to each authorized class of securities of the Applicant as of July 18, 2003. (The footnotes, which describe the voting rights with respect to the voting securities of Applicant, are contained in subsection (b) below.) Title of Class Amount Authorized Amount Outstanding+ -------------- ----------------- ------------------- WorldCom Group Common Stock, par value $0.01 per share(1) 4,850,000,000 2,970,796,599* MCI Group Common Stock, par value $0.01 per share(2) 150,000,000 118,733,605* Series D Junior Convertible preferred stock, par value $0.01 per share(3) 53,724 42,092 Series E Junior Convertible preferred stock, par value $0.01 per share(4) 64,047 52,532 Series F Junior Convertible preferred stock, par value $0.01 per share(5) 79,600 79,513 7.375% Dealer Remarketable Securities (DRS) due 2003 $1,000,000,000 $1,038,309,028 7.875% Senior Notes due 2003 $1,000,000,000 $1,014,437,500 6.250% Senior Notes due 2003 $600,000,000 $616,250,000 7.550% Senior Notes due 2004 $600,000,000 $613,841,667 6.500% Senior Notes due 2004 $1,500,000,000 $1,517,875,000 6.400% Senior Notes due 2005 $2,250,000,000 $2,312,400,000 7.375% Senior Notes due 2006 $1,000,000,000 $1,038,104,167 8.000% Senior Notes due 2006 $1,250,000,000 $1,268,333,333 7.750% Senior Notes due 2007 $1,100,000,000 $1,126,048,611 6.750% Senior Notes due 2008 $1,264,500,000 $1,280,167,675 7.250% Senior Notes due 2008 $788,550,000 $799,044,196 8.250% Senior Notes due 2010 $1,250,000,000 $1,268,906,250 7.500% Senior Notes due 2011 $4,000,000,000 $4,055,000,000 7.750% Senior Notes due 2027 $300,000,000 $307,104,167 6.950% Senior Notes due 2028 $1,750,000,000 $1,802,704,167 8.250% Senior Notes due 2031 $4,600,000,000 $4,669,575,000
-------------------------------- + With respect to the Notes, the outstanding amount indicated includes principal amount and accrued interest as of July 20, 2002. * Net of treasury shares. 20 (2) The following table sets forth certain information with respect to each class of securities of the Applicant, to be authorized, as of the Effective Date. Title of Class Amount Authorized Amount Outstanding -------------- ----------------- ------------------ Common Stock, par value $0.01 per share(6) 3,000,000,000 326,000,000 Senior Notes due 2006, 2008 and 2013 up to 5,665,000,000 up to 5,665,000,000
(b) (1) Each share of WorldCom Group Common Stock entitles the holder thereof to one vote on each matter submitted to a vote at all meetings of the Applicant's common stockholders. (2) Each share of MCI Group Common Stock entitles the holder thereof to have a number of votes (including a fraction of one vote) equal to the quotient, rounded to the nearest 1/10,000 (.0001), of (1) the average market value of one share of MCI Group Common Stock during the 20-trading day period ending on the tenth trading day prior to the record date for determining the shareholders entitled to vote, divided by (2) the average market value of one share of WorldCom Group Common Stock during such 20-trading day period. (3) Each share of Series D Junior Convertible preferred stock entitles the holder thereof to one-tenth of a vote on each matter submitted to a vote at all meetings of the Applicant's common stockholders, except under certain limited conditions when such holders are entitled to vote as a separate class. (4) Each share of Series E Junior Convertible preferred stock entitles the holder thereof to one-tenth of a vote on each matter submitted to a vote at all meetings of the Applicant's common stockholders, except under certain limited conditions when such holders are entitled to vote as a separate class. (5) Each share of Series F Junior Convertible preferred stock entitles the holder thereof to one-tenth of a vote on each matter submitted to a vote at all meetings of the Applicant's common stockholders, except under certain limited conditions when such holders are entitled to vote as a separate class. (6) As of the Effective Date, each share of New Common Stock will entitle the holder thereof to one vote on each matter submitted to a vote at all meetings of holders of Applicant's New Common Stock. INDENTURE SECURITIES ITEM 8. ANALYSIS OF INDENTURE PROVISIONS. The following is a general description of certain provisions of the Indentures to be qualified. The description is qualified in its entirety by reference to the form of Indenture filed as an exhibit hereto. Capitalized terms used below and not defined herein have the same meanings as in the Indenture. 21 EVENTS OF DEFAULT; WITHHOLDING OF NOTICE. Events of Default under the Indenture occur upon: (a) failure to make the payment of any interest on the Notes when the same becomes due and payable, and such failure continues for a period of 30 days; (b) failure to make the payment of any principal of, or premium, if any, on, any of the Notes when the same becomes due and payable at its Stated Maturity, upon acceleration, redemption, optional redemption, required repurchase or otherwise; (c) failure to comply with the provisions of Sections 4.14, 4.21 or 5.01 the Indenture; (d) failure to comply with any other covenant or agreement in the Notes or in the Indenture (other than a failure that is the subject of the foregoing clause (a), (b) or (c)) and such failure continues for 60 days after written notice is given to the Applicant; (e) a default under any Debt by the Applicant or any Restricted Subsidiary that results in acceleration of the maturity of such Debt, or failure to pay any such Debt at Stated Maturity, in an aggregate amount greater than $100 million or its foreign currency equivalent at the time and such acceleration has not been rescinded within 60 days; (f) any judgment or judgments for the payment of money in an aggregate amount in excess of $100 million (or its foreign currency equivalent at the time) in excess of amounts which the Applicant's insurance carriers have agreed to pay under applicable policies that shall be rendered against the Applicant or any Restricted Subsidiary that is a Significant Subsidiary and that shall not be waived, satisfied or discharged for any period of 60 consecutive days during which a stay of enforcement shall not be in effect; (g) except as permitted by the Indenture, any Subsidiary Guaranty is held to be unenforceable or invalid in a judicial proceeding or ceases for any reason to be in full force and effect or the Applicant, any Subsidiary Guarantor, or any Person acting on behalf of any Subsidiary Guarantor denies or disaffirms such Subsidiary Guarantor's obligations under its Subsidiary Guaranty; and (h) the Applicant or any of its Restricted Subsidiaries that are Significant Subsidiaries or any group of Restricted Subsidiaries that, taken as a whole, would constitute a Significant Subsidiary, pursuant to or within the meaning of any Bankruptcy Law: (A) commences a voluntary case; (B) consents to the entry of an order for relief against it in an involuntary case; (C) consents to the appointment of or taking possession by a custodian, receiver, liquidator, trustee, assignee or sequestrator of it or for all or substantially all of its property; or (D) makes a general assignment for the benefit of its creditors. (i) a court of competent jurisdiction enters an order or decree under any Bankruptcy Law that: (A) is for relief against the Applicant or any of its Significant Subsidiaries or any group of Restricted Subsidiaries that, taken as a whole, would constitute a Significant Subsidiary in an involuntary case; or (B) appoints a custodian, receiver, liquidator, trustee, assignee or sequestrator of the Applicant or any of its Significant Subsidiaries or for all or substantially all of the property of the Applicant or any of its Significant Subsidiaries or any group of Restricted Subsidiaries that, taken as a whole, would constitute a Significant Subsidiary; or 22 (C) orders the liquidation of the Applicant or any of its Significant Subsidiaries or any group of Restricted Subsidiaries that, taken as a whole, would constitute a Significant Subsidiary; and the order or decree remains unstayed and in effect for 60 consecutive days. The Trustee may withhold from holders of the Senior Notes notice of any continuing Default or Event of Default (except a Default or Event of Default relating to the payment of principal or interest) if and so long as a committee of its Responsible Officers in good faith determines that withholding the notice is in the interests of the Holders. AUTHENTICATION AND DELIVERY OF SENIOR NOTES; APPLICATION OF PROCEEDS. The Senior Notes shall be executed on behalf of the Applicant by one Officer of the Applicant. Such signature may be either manual or facsimile. If an Officer whose signature is on a Senior Note no longer holds that office at the time the Trustee authenticates the Senior Note, the Senior Note shall be valid nevertheless. A Senior Note shall not be valid until authenticated by the manual signature of the Trustee or an authenticating agent. The Senior Notes shall be issuable only in denominations of $1,000 and integral multiples thereof. The Trustee shall issue Senior Notes upon a written order of the Applicant signed by an Officer. The Trustee may appoint an authenticating agent acceptable to the Applicant to authenticate Senior Notes. An authenticating agent may authenticate Senior Notes whenever the Trustee may do so. There will be no proceeds (and therefore no application of proceeds) from the issuance of the Senior Notes because the Senior Notes will be issued as part of an exchange for currently outstanding indebtedness, as provided in the Plan. RELEASE OR RELEASE AND SUBSTITUTION OF PROPERTY. Not applicable. SATISFACTION AND DISCHARGE OF THE INDENTURE. The Indenture will be discharged and will cease to be of further effect, except as to surviving rights of registration of transfer or exchange of the Senior Notes, as to all Senior Notes issued hereunder, when: (a) either: (i) all Senior Notes that have been previously authenticated (except lost, stolen or destroyed Notes that have been replaced or paid and Senior Notes for whose payment money has previously been deposited in trust or segregated and held in trust by the Applicant and is thereafter repaid to the Applicant or discharged from the trust) have been delivered to the Trustee for cancellation; or (ii) all Senior Notes that have not been previously delivered to the Trustee for cancellation (A) have become due and payable or (B) will become due and payable at their maturity within one year or (C) are to be called for redemption within one year under arrangements satisfactory to the Trustee for the giving of a notice of redemption by the Trustee, and the Applicant has irrevocably deposited or caused to be deposited with the Trustee as trust funds in trust solely for the benefit of the Holders, cash in U.S. dollars, non-callable U.S. Government Securities, or a combination thereof, in such amounts as will be sufficient without consideration of any reinvestment of interest, to pay and discharge the entire Debt on the Senior Notes not previously delivered to the Trustee for cancellation for principal, premium, if any, and interest on the Senior Notes to the date of deposit, in the case of Senior Notes that have become due and payable, or to the Stated Maturity or redemption date, as the case may be; (b) the Applicant has paid or caused to be paid all other sums payable by it under the Indenture; and 23 (c) the Applicant delivers to the Trustee an Officers' Certificate and Opinion of Counsel stating that all conditions precedent under the Indenture relating to the satisfaction and discharge of the Indenture have been satisfied. STATEMENT AS TO COMPLIANCE. The Applicant shall deliver to the Trustee, within 90 days after the end of each fiscal year, an Officers' Certificate stating that a review of the activities of the Applicant and its Subsidiaries during the preceding fiscal year has been made under the supervision of the signing Officers with a view to determining whether the Applicant and its Subsidiaries have kept, observed, performed and fulfilled their obligations under the Indenture, and further stating, as to each such Officer signing such certificate, that to the best of his or her knowledge, the Applicant and its Subsidiaries have kept, observed, performed and fulfilled each and every covenant contained in the Indenture and are not in default in the performance or observance of any of the terms, provisions and conditions of the Indenture (or, if a Default or Event of Default shall have occurred, describing all such Defaults or Events of Default of which he or she may have knowledge and what action the Applicant is taking or proposes to take with respect thereto) and that to the best of his or her knowledge no event has occurred and remains in existence by reason of which payments on account of the principal of or interest on the Senior Notes is prohibited or if such event has occurred, a description of the event and what action the Applicant is taking or proposes to take with respect thereto. The Applicant shall comply with TIA Section 314(a)(2). So long as not contrary to then current recommendations of the American Institute of Certified Public Accountants, the year-end financial statements delivered pursuant to Section 4.03(a) of the Indenture shall be accompanied by a written statement of the Applicant's independent public accountants that in making the examination necessary for certification of such financial statements, nothing has come to their attention that would lead them to believe that the Applicant has violated any provisions of Article 4 or Article 5 of the Indenture or, if any such violation has occurred, specifying the nature and period of existence thereof, it being understood that such accountants shall not be liable directly or indirectly to any Person for any failure to obtain knowledge of any such violation. The Applicant shall deliver to the Trustee, within 10 Business Days after becoming aware of the occurrence thereof, written notice in the form of an Officers' Certificate of any Default or an Event of Default, its status and what action the Applicant is taking or proposes to take with respect thereto. ITEM 9. OTHER OBLIGORS. The Applicant's obligations with respect to the Senior Notes will be guaranteed by substantially all of the Applicant's domestic Subsidiaries as of the Effective Date. CONTENTS OF APPLICATION FOR QUALIFICATION. THIS APPLICATION FOR QUALIFICATION COMPRISES-- (a) Pages numbered 1 to 29, consecutively (including an attached Exhibit Index). (b) The statement of eligibility and qualification of the trustee under the indenture to be qualified. See Exhibit T3G. (c) The following exhibits in addition to those filed as a part of the statement of eligibility and qualification of the trustee: Exhibit T3A-1 Articles of Amendment to the Second Amended and Restated Articles of Incorporation of Applicant (amending former Article Seven by inserting Articles Seven D, E, F, and G) (incorporated herein by reference to Exhibit 3.1 to Applicant's registration statement on Form S-8 dated August 22, 2001 (Registration No. 333-68204)). 24 Exhibit T3A-2 Articles of Amendment to the Second Amended and Restated Articles of Incorporation of Applicant (amending former Article Four by deleting the text thereof and substituting new Article Four) (incorporated herein by reference to Exhibit 3.2 to Applicant's registration statement on Form S-8 dated August 22, 2001 (Registration No. 333-68204)). Exhibit T3A-3 Articles of Amendment to the Second Amended and Restated Articles of Incorporation of Applicant (amending former Article Eleven by deleting the text thereof and substituting new Article Eleven) (incorporated herein by reference to Exhibit 3.3 to Applicant's registration statement on Form S-8 dated August 22, 2001 (Registration No. 333-68204)). Exhibit T3A-4 Second Amended and Restated Articles of Incorporation of Applicant (including preferred stock designations), as amended as of May 1, 2000 (incorporated herein by reference to Exhibit 3.4 to Applicant's registration statement on Form S-8 dated August 22, 2001 (Registration No. 333-68204)). Exhibit T3B-1 Restated Bylaws of Applicant (incorporated by reference to Exhibit 99.2 to Applicant's current report on Form 8-K dated October 23, 2002 (File No. 0-11258)). Exhibit T3C-1* Form of Indenture between Applicant and the Trustee governing Senior Notes due 2013. Exhibit T3C-2* Form of Indenture between Applicant and the Trustee governing Senior Notes due 2008. Exhibit T3C-3* Form of Indenture between Applicant and the Trustee governing Senior Notes due 2006. Exhibit T3D Not Applicable. Exhibit T3E-1 Disclosure Statement for Debtors' Joint Plan of Reorganization, dated May 23, 2003 (previously filed). Exhibit T3E-2 Debtors' Joint Plan of Reorganization Under Chapter 11 of the Bankruptcy Code, dated May 23, 2003 (previously filed). Exhibit T3E-3 Debtors' Amended Joint Plan of Reorganization Under Chapter 11 of the Bankruptcy Code, dated July 9, 2003 (incorporated by reference to Exhibit 2.1 to Applicant's current report on Form 8-K dated July 17, 2003 (File No. 0-11258)). Exhibit T3E-4 Supplement to Disclosure Statement for Debtors' Joint Plan of Reorganization, dated July 9, 2003 (incorporated by reference to Exhibit 2.2 to Applicant's current report on Form 8-K dated July 17, 2003 (File No. 0-11258)). Exhibit T3E-5 Second Supplement to Disclosure Statement for Debtors' Joint Plan of Reorganization, dated August 6, 2003 (incorporated by reference to Exhibit 99 to Applicant's current report on Form 8-K dated August 8, 2003 (File No. 0-11258)). Exhibit T3E-6 Third Supplement to Disclosure Statement for Debtors' Joint Plan of Reorganization, dated September 12, 2003 (incorporated by reference to Exhibit 99 to Applicant's current report on Form 8-K dated September 22, 2003 (File No. 0-11258)). 25 Exhibit T3E-7 Debtors' Second Amended Joint Plan of Reorganization Under Chapter 11 of the Bankruptcy Code, dated September 12, 2003. Exhibit T3F* Cross reference sheet showing the location in the Indenture of the provisions inserted therein pursuant to Sections 310 through 318(a), inclusive, of the Trust Indenture Act of 1939 (included as part of Exhibit T3C). Exhibit T3G* Statement of eligibility and qualification of the Trustee on Form T-1. -------------------------------- * Filed herewith. 26 SIGNATURE Pursuant to the requirements of the Trust Indenture Act of 1939, the Applicant, WorldCom, Inc., a Georgia corporation, has duly caused this Amendment No. 1 to the Application for Qualification to be signed on its behalf by the undersigned, thereunto duly authorized, and its seal to be hereunto affixed and attested, all in the city of Ashburn, and State of Virginia, on the 21st day of November, 2003. WORLDCOM, INC. By: /s/ Anastasia D. Kelly --------------------------------- Name: Anastasia D. Kelly Title: Executive Vice President and General Counsel Attest: /s/ Paul M. Eskildsen ------------------------------- Name: Paul M. Eskildsen Title: Vice President - Law & Public Policy 27 EXHIBIT INDEX Exhibit No. Description ----------- ----------- Exhibit T3A-1 Articles of Amendment to the Second Amended and Restated Articles of Incorporation of Applicant (amending former Article Seven by inserting Articles Seven D, E, F, and G) (incorporated herein by reference to Exhibit 3.1 to Applicant's registration statement on Form S-8 dated August 22, 2001 (Registration No. 333-68204)). Exhibit T3A-2 Articles of Amendment to the Second Amended and Restated Articles of Incorporation of Applicant (amending former Article Four by deleting the text thereof and substituting new Article Four) (incorporated herein by reference to Exhibit 3.2 to Applicant's registration statement on Form S-8 dated August 22, 2001 (Registration No. 333-68204)). Exhibit T3A-3 Articles of Amendment to the Second Amended and Restated Articles of Incorporation of Applicant (amending former Article Eleven by deleting the text thereof and substituting new Article Eleven) (incorporated herein by reference to Exhibit 3.3 to Applicant's registration statement on Form S-8 dated August 22, 2001 (Registration No. 333-68204)). Exhibit T3A-4 Second Amended and Restated Articles of Incorporation of Applicant (including preferred stock designations), as amended as of May 1, 2000 (incorporated herein by reference to Exhibit 3.4 to Applicant's registration statement on Form S-8 dated August 22, 2001 (Registration No. 333-68204)). Exhibit T3B-1 Restated Bylaws of Applicant (incorporated by reference to Exhibit 99.2 to Applicant's current report on Form 8-K dated October 23, 2002 (File No. 0-11258)). Exhibit T3C-1* Form of Indenture between Applicant and the Trustee governing Senior Notes due 2013. Exhibit T3C-2* Form of Indenture between Applicant and the Trustee governing Senior Notes due 2008. Exhibit T3C-3* Form of Indenture between Applicant and the Trustee governing Senior Notes due 2006. Exhibit T3D Not Applicable. Exhibit T3E-1 Disclosure Statement for Debtors' Joint Plan of Reorganization, dated May 23, 2003 (previously filed). Exhibit T3E-2 Debtors' Joint Plan of Reorganization Under Chapter 11 of the Bankruptcy Code, dated May 23, 2003 (previously filed). Exhibit T3E-3 Debtors' Amended Joint Plan of Reorganization Under Chapter 11 of the Bankruptcy Code, dated July 9, 2003 (incorporated by reference to Exhibit 2.1 to Applicant's current report on Form 8-K dated July 17, 2003 (File No. 0-11258)). Exhibit T3E-4 Supplement to Disclosure Statement for Debtors' Joint Plan of Reorganization, dated July 9, 2003 (incorporated by reference to Exhibit 2.2 to Applicant's current report on Form 8-K dated July 17, 2003 (File No. 0-11258)). Exhibit T3E-5 Second Supplement to Disclosure Statement for Debtors' Joint Plan of Reorganization, dated August 6, 2003 (incorporated by reference to Exhibit 99 to Applicant's current report on Form 8-K dated August 8, 2003 (File No. 0-11258)). Exhibit T3E-6 Third Supplement to Disclosure Statement for Debtors' Joint Plan of Reorganization, dated September 12, 2003 (incorporated by reference to Exhibit 99 to Applicant's current report on Form 8-K dated September 22, 2003 (File No. 0-11258)). Exhibit T3E-7 Debtors' Modified Second Amended Joint Plan of Reorganization Under Chapter 11 of the Bankruptcy Code, dated October 31, 2003 (incorporated by reference to Exhibit 2.1 to Applicant's current report on Form 8-K dated November 18, 2003 (File No. 0-11258)). Exhibit T3F* Cross reference sheet showing the location in the Indenture of the provisions inserted therein pursuant to Sections 310 through 318(a), inclusive, of the Trust Indenture Act of 1939 (included as part of Exhibit T3C). Exhibit T3G* Statement of eligibility and qualification of the Trustee on Form T-1. -------------------------------- * Filed herewith. 28