■ WorldcomNew company takes shape
WorldCom Inc, trying to escape both the largest-ever US bankruptcy and biggest accounting fraud, unveiled a reorganization plan that erases most of its debt, renames the company and moves its headquarters. WorldCom, whose plan announced Monday gives creditors control of the company, said it will take the name of its long-distance unit MCI, and shift its headquarters to MCI's base in the Washington suburb of Ashburn, Virginia, from Clinton, Mississippi, where it was founded by former CEO Bernard Ebbers. MCI is still the nation's second largest long distance carrier. WorldCom would shed about US$36 billion of its US$41 billion in debt. The reorganization plan has the backing of 90 percent of its creditors -- which should ensure that the plan wins court approval.
■ Investment
North Korea gets support
South Korean Finance Minister Kim Jin-pyo assured investors concern over North Korea shouldn't be a obstacle to investment in what he calls one of Asia's fastest growing economies. Minister Kim, on a six-day tour to London and New York, has met with about 550 money managers and analysts in an effort to shore up investor confidence at a time when South Korean consumer spending and exports show signs of flagging. Recent economic data show foreign investment in South Korea is at a five-year low. The South Korean economy will achieve the highest growth after China in the region this year, and diplomatic tensions with North Korea will be resolved peacefully, he said. "I have a strong conviction that this issue [North Korea's nuclear program] will be resolved based on diplomatic means and in a peaceful manner based on strong coordination between Korea and the US," Kim said in an interview.
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