WorldCom completed its reorganization today, emerging from the protection of Chapter 11 of the bankruptcy laws. In this press release, the company announced that that its "plan of reorganization, confirmed on October 31, 2003, by the U. S. Bankruptcy Court for the Southern District of New York is now effective and the company has begun to distribute securities and cash to its creditors. With the Chapter 11 process behind it, the company is now officially known as MCI, Inc."
Apparently first in line to receive cash from MCI was the SEC, which reportedly received a wire in the amount of $500 million from MCI on Monday pursuant to the Final Judgment settling the SEC's civil case against WorldCom. To complete the settlement, MCI must still transfer "as soon as practicable" following today's reorganization common stock of the reorganized company having a value of $250 million.