MCI Sees Improved Cash Position

MCI plans to reduce the size of its Debtor-in-Possession Credit Facility to $300 million from $1.06 billion. The credit facility was arranged at the time the company filed for reorganization under U.S. bankruptcy laws. Since then, MCI has accumulated cash balances which currently are in excess of $5 billion. With no currently expected need to borrow funds, MCI has elected to decrease the credit facility and thereby reduce the commitment fees it is paying. MCI anticipates the reduced size credit facility will only be used when necessary to provide letters of credit. At present, the Company has approximately $80 million of outstanding letters of credit. http://www.mci.com