David M. Ewalt, 03.17.05, Forbes.com
NEW YORK - Benjamin Franklin once remarked that the definition of insanity is repeating the same action over and over and expecting different results. If that's true, then someone needs to fit Qwest Communications International Chief Executive Richard Notebaert for a straightjacket.
Wednesday night, Qwest submitted yet another bid to purchase MCI, upping its offer to $8.45 billion in cash and stock, or about $26 per share. The new offer is up significantly from the $8 billion Qwest offered just over two weeks ago. The cash part of the deal was increased to $10.50 a share from $9.10, with the stock terms unchanged at $15.50.
This is the third offer Qwest has made, and it's likely to be the third offer MCI will ignore. Last month, the company accepted an offer from Verizon Communnications for $6.75 billion, or about $20.75 a share, even though MCI CEO Michael Capellas and his board were well aware that Qwest was willing to pony up more cash.
{Hey Pat, looks like you could use one of those pallets of dog food I see at Sam's Club!}
Eric Friedebach /An Apollo Sandwich from Corky & Lenny's/
[TELECOM Digest Editor's Note: Yes, I could use one, Eric. Right now the monster is in _my_ bedroom, on _my_ bed, sound asleep. PAT]