RE: WCG bankruptcy -- disappointing, but very little effect on Wi ,
 you know the talking part is hard because its so quiet here and i know some people just listen to other folks conversation to see whats going on.  it makes it a little harder to chat and I'm kinda self conscious about it.  i don't know why it seems so awkward here and not in the other building.

oh well,  YOU ARE MY HONEY!!!!!!!!!!!!!!!!!!!!!!!!!!!

 -----Original Message-----
From: 	"Immer, Ingrid" <Ingrid.Immer@Williams.com>@ENRON  
Sent:	Tuesday, April 23, 2002 8:40 AM
To:	Germany, Chris
Subject:	FW: WCG bankruptcy -- disappointing, but very little effect on Wi	lliams
Importance:	High



> -----Original Message-----
> From:	Malcolm, Steve
> Sent:	Monday, April 22, 2002 9:10 PM
> To:	Williams - (Global)
> Subject:	WCG bankruptcy -- disappointing, but very little effect on
> Williams
> Importance:	High
>
> Dear fellow Williams employees:
>
> One day shy of a year ago, Williams successfully completed the spinoff of
> Williams Communications. It was a long and challenging process with one
> very important goal: To create two healthy companies better positioned to
> grow.
>
> We've learned this evening that WCG has filed for Chapter 11 bankruptcy.
> Although filing for bankruptcy is far from the beginning of an end, this
> is disappointing * as we all hoped for WCG to succeed financially on its
> own. The implosion of the entire telecom industry has made that financial
> success elusive, at least in the near term, for WCG and others.
>
> So, what exactly does WCG's bankruptcy mean to Williams? And more
> importantly, what does it mean to you? WCG's bankruptcy will have very
> little effect on our company. Actually, I see it as a "non-event" with
> respect to Williams, and so should you. We have anticipated this event and
> worked diligently to minimize the impact.
>
> As I previously communicated to you, we have already constructively dealt
> with the two major contingent liabilities related to Williams
> Communications. In other words, we've already written down the receivable
> from WCG to approximately 20 cents on the dollar related to the
> obligations referenced above. We are assessing whether additional non-cash
> write-downs will be necessary based on our evaluation of WCG's current
> prospects and the details of today's filing.
>
> Currently, the recorded carrying value of these WCG obligations to
> Williams is approximately $455 million (written down from $2.3 billion).
> Additionally, WCG has an obligation to Williams for the lease of its
> headquarters building and certain other assets such as airplanes,
> furniture and fixtures. Williams' current carrying amount of this
> receivable is $154 million.
>
> Since most of us are WCG shareholders, I realize you have a personal
> interest in this turn of events. If you own stock in WCG, you need to
> speak to WCG and/or your financial adviser with respect to what actions
> you should take with the stock.
>
> We continue to wish the best for WCG and its employees as the company
> strives to reorganize and emerge from bankruptcy. Its business is an
> important part of our history and many of the people are former co-workers
> from whom we learned a great deal. Your focus, however, should remain on
> Williams and our bright future ahead.
>
>
> Steve Malcolm
> President and Chief Executive Officer
>
>
>
>
>
>
>
>
>
>
ingrid.immer@williams.com