Bernard J. Ebbers Resigns as President, CEO and Director; John Sidgmore Named Successor; Scott Sullivan Named Executive Vice President, CFO; Ron Beaumont Named Chief Operating Officer
CLINTON, Miss., April 30, 2002 - WorldCom, Inc. (NASDAQ: WCOM, MCIT), today announced that Bernard J. Ebbers has resigned his position as President, CEO and Director of WorldCom, Inc. John Sidgmore, previously Vice Chairman of WorldCom, Inc., has assumed the position of President and CEO. Bert Roberts remains WorldCom, Inc. Chairman of the Board. The changes are effective immediately.
Incoming President and CEO John Sidgmore said, "I am honored to have the opportunity to lead WorldCom and plan to build on our efforts to utilize our global assets to best serve our customers. We are an exceptional company and a global leader with few peers. While our industry has been buffeted by the economic downturn in recent months, WorldCom is well positioned to capitalize on an economic upturn. Our low cost structure, our strengths in offering service to every level of the enterprise market and to consumers, and our solid financial foundation - built on our free cash flow production - position us to attack the marketplace with exceptional force."
Mr. Sidgmore has a successful history of building communications companies. He has served as vice chairman of WorldCom since 1996, having served as the Company's chief operations officer from December 1996 to September 1998. Sidgmore previously served as president of MFS Communications Company as well as president and CEO of UUNET Technologies, Inc. Between 1994 and 1997 UUNET increased its annualized revenues from approximately $7 million to more than $300 million, and became the world's largest Internet Access Provider with more than 1,500 employees worldwide. UUNET was purchased by WorldCom in 1996.
Bert Roberts, a 30-year veteran of the communications industry, has been WorldCom, Inc. Chairman of the Board since 1998, when WorldCom merged with MCI Communications Corporation. From 1992 to 1998 he was chairman and CEO of MCI, after serving as president and chief operating officer since 1985. Roberts played a key role in transforming MCI from a start-up long distance company to a $20 billion leader in global communications.
"Bernie Ebbers did an outstanding job of building what once was a small long-distance company into one of the largest communications providers in the world," said Bert Roberts. "Thanks to Bernie, WorldCom is an industry leader with the most valuable customers, assets and employees in the communications industry today. We are grateful for his vision and his service."
Announcing his decision, Mr. Ebbers said, "Over the past years I have had the honor of leading thousands of talented and innovative WorldCom colleagues in this dynamic industry and we have many great accomplishments to show for our work together. I am confident that WorldCom will continue to lead the industry, setting the standards others will follow."
WorldCom also announced that Scott Sullivan is now executive vice president and chief financial officer of WorldCom, Inc. Ronald Beaumont is now chief operating officer of WorldCom, Inc., overseeing operations for both WorldCom group and MCI group. Wayne Huyard remains chief operating officer of MCI group, reporting to Beaumont.
Sullivan has been a director of WorldCom since 1996 and has served as chief financial officer, treasurer and secretary of WorldCom since December 1994.
Beaumont, who has more than 32 years of experience in the telecommunications industry, has most recently served as chief operating officer of WorldCom group, with global responsibility for core WorldCom business functions including sales, marketing, customer service, information technology, network operations, planning, and engineering. Previously he served as president and CEO of WorldCom's Operations and Technology division. He also served as president and chief executive officer of MFS Telecom.
Sullivan, Beaumont and Michael Salsbury, General Counsel of WorldCom, Inc., will report directly to Sidgmore.
ABOUT WORLDCOM, INC
WorldCom, Inc. (NASDAQ: WCOM, MCIT), operating through WorldCom group and MCI group, is a pre-eminent global communications provider for the digital generation, operating in more than 65 countries. With one of the most expansive, wholly-owned IP networks in the world, WorldCom provides innovative data and Internet services for businesses to communicate in today's market. For more information, go to http://www.worldcom.com.
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