BBC News Online: Business

Worldcom profit drops 44%

Worldcom said its profit during the last three months of 2000 was $710m (£481m), or 25 cents (17 pence) a share.

That was significantly lower than year earlier totals of $1.3bn, or 44 cents a share, even as the company brought in more money.

The latest results matched Wall Street predictions, as supplied by First Call/Thomson Financial, a market-analysis firm.

Major restructuring

Now Worldcom must wrestle with a restructuring that will nearly undo its acquisition of MCI Communications in 1998 - a process similar to that underway at its rival, AT&T.

Worldcom, AT&T and other long-distance carriers have seen their profits ebb in recent years as increased competition chipped away at their core business.

"Since announcing our intention to separate the company's businesses... Worldcom has made excellent progress," said chief executive Bernard J Ebbers in a statement accompanying the firm's results.

Mr Ebbers said the company has already completed its reshuffling of some of its operations in its internet, data and international services divisions.