Sat, Dec 27, 2014, 10:36 AM EST - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

BT Group plc Message Board

  • delphi_02 delphi_02 Mar 18, 1998 9:57 AM Flag

    MCI's $5 billion

    Does anyone know if the $5bn payment you mentioned from MCI is already reflected in the balance sheet - I doubt it -but in that case when is it due to be made.

    Thanks

    Delphi

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • The Cable and Wireless/Telecom Italia deal is bad news for BT. C&W would have still been a sensible partner for BT, if they could get to grips with the price, but now a deal would be even more complicated than before and would likely be held up in EU anti-trust process for a while. BT probably won't even try.

      Sadly BT has been too conservative when pricing these deals, and another one has seems to have slipped by. A few aggressive moves would be welcome at this point, but all Bonfield keeps saying is he's looking. While he's looking, everyone else is getting on with cementing mergers and alliances, leaving BT looking silly.

      I too saw the Economist article April 4th, and it was pretty damning of BT's culture. Basically, BT is still a good alliance partner for any global player, but after the failure of the MCI deal and the failure of C&W talks over the last 2 years, you've got to wonder if the management can actually deliver the goods.

      There's still a lot more to come in global telco consolidation, but unless BT gets its act together it'll find that rather than achieving its goal of being one of a few global players, it'll get swallowed up in the melee and wonder what the hell happened.

    • I saw an article in "The Economist" dated april 4th talking about how BT needs to invest in their fiber (estmated cost of 10 billion). The article also talks about possible mergers such as Qwest, Cable & Wireless, Sprint and others. It seems to me that IXC Communications (known for their fiber) might be someone BT should have an eye on...?

    • The payment is not yet in the balance sheet, and will not be paid until completion of the MCI WorldCom deal, which may yet be held up for antitrust reasons with concerns over an internet monopoly.

      BT are also constrained from doing any deals in the US themselves until the WorldCom deal completes, but once that happens (maybe July) expect to see a major move.

      • 2 Replies to donttrustthis
      • Donttrustthis,

        First of all, should I heed what your identity suggests? Should I not "trustthis" or are you warning about others on these threads?

        Second, I am interested in knowing more about BT's "contraint" from doing any deals in the US. Could you provide more detail? i.e. source, whether it is contractual or regulatory, etc.

        I'd appreciate any info you can provide.

        Rouge

      • I can't see the wcom/mci merge seriously being considered an internet monopoly. I live in California and the number of options here make that obvious.

        BTY certainly seem to be cash rich, any thoughts on where it might be looking next? Also do you happen to know if wcom got the Spanish/S America deal *instead of*, or *as well as*, BTY?

        Off subject a little, but do you have any further info on the Nortel joint venture (forget the partner, have to look it up) in the UK giving internet access via power lines?

        As a matter of interest (and relevant to BTY and its future business) how is the internet catching on in the UK, is charging for local calls still an issue - is there any resolution in sight? Any other alternatives around like the Nortel pilot? Everyone I know in the UK seems to be on AOL - obviously you've found Yahoo, are you unusual!

        Delphi

 
BT
64.16+0.41(+0.64%)Dec 26 4:01 PMEST

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.
Virgin America Inc.
NASDAQFri, Dec 26, 2014 4:00 PM EST
Prothena Corporation plc
NASDAQFri, Dec 26, 2014 4:00 PM EST