Denver ? Jan. 4, 1999--Qwest Communications International Inc. announced today the completion of its acquisition of Icon CMT Corp., a leading Internet solutions provider. The merger boosts Qwest?s relationship with Microsoft Corp., and marks a strategic milestone for Qwest?s leadership developing broadband multimedia services.
Last month Qwest and Microsoft said that, beginning in the second quarter of 1999, they would deliver next-generation Internet-based broadband services to businesses to help maximize network resources, reduce costs, generate new sources of revenue and optimize the management of computing operations. The addition of Icon?s sales channels, data centers and more than 400 IT professional staff will provide the additional resources necessary to support the development, integration and maintenance of advanced hosting services -- including dedicated electronic commerce, Web application hosting, streaming media, managed software services and virtual private networking.
"Icon's solid reputation of helping businesses deploy Web-based applications compliments our efforts to drive the development of broadband applications and accelerate growth in the adoption of end-to-end Internet-based solutions," said Joseph P. Nacchio, president and CEO of Qwest.
Each outstanding share of Icon common stock will be exchanged for .3200 shares of Qwest common stock and cash in lieu of fractional shares. The exchange rate for each Icon share was determined by dividing $12 by $43.9693 -- the average of the daily volume weighted average of trading prices for Qwest common stock for the 15 consecutive trading day period ending on December 28, 1998.
Scott Baxter, Icon?s CEO, will join Qwest and serve as president of Qwest Internet Solutions, a business unit, reporting to Lewis O. Wilks, president of Qwest?s Internet and Multimedia Markets.
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