Bankruptcy Court Could Cut Off ExciteAtHome Customers

Communications Today, Dec 3, 2001

A federal bankruptcy court in San Francisco could order on Friday that high-speed Internet service provider ExciteAtHome be shut down and send millions of subscribers scrambling for an alternative broadband provider. Or, the decision could be delayed until next week after a decision is made on AT&T's [T] proposed purchase of AtHome's assets.

A decision had not been rendered at Communications Today's deadline on Friday.

AT&T, which owns 23 percent of AtHome, is scheduled on Dec. 5to buy the rest of the bankrupt broadband ISP for $307 million. However, AtHome's creditors are disputing the sale price as too low. In 1998 and 1999, bondholders loaned AtHome $747 million. >TK Cable & Wireless [CWP]: