OUTROS DESTAQUES
Crisis
President Cardoso concerned about future of Embratel
quinta-feira, 27 de junho de 2002 , 17h10 | POR REDAÇÃO

A highly placed source says President Fernando Henrique Cardoso was shocked by WorldCom?s confession of massive losses instead of profits, and has told aides to check what might happen to Embratel if the U.S. telecoms giant goes into bankruptcy. Embratel is Brazil?s incumbent long-distance carrier and a wholly-owned subsidiary of the MCI WorldCom group. The long and the short of it is that the General Telecommunications Act would almost certainly force intervention by Anatel in the event of its parent?s failure. Creditors would line up for a share of the bankrupt company?s assets, including Embratel, whose management wouldn?t be able to take strategic decisions.

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