MCI Chairman Back at Work after Chest Surgery
WASHINGTON (AP) _ Just three days after his release from a hospital where he underwent chest surgery, MCI Communications Corp. Chairman William G. McGowan was back on the job Monday.
″I’m pleased to be here,″ quipped McGowan, 63, at MCI’s annual shareholders meeting, ″I’m pleased to be anywhere today.″
MCI officials would not discuss the nature of McGowan’s surgery, except to say it was at the same Pittsburgh hospital, Presbyterian University Hospital, where he underwent a heart transplant operation in 1987.
Shareholders, meeting at the Kennedy Center’s concert hall, re-elected McGowan and three other directors to three-year terms on the board.
At the hour-long meeting, MCI President Bert C. Roberts Jr. said MCI, the nation’s second-largest long-distance phone company, was challenged by ″the continuing recession and intense competition.″
Revenue was up 19 percent in 1990, to $7.68 billion. But earnings for the year were down 48 percent, from $529 million to $270 million, partly due to an asset writedown for computer equipment. Without the writedown, earnings would have risen 19 percent to $630 million.
Washington-based MCI just completed a massive restructuring that led to about 1,000 layoffs nationwide and consolidated seven divisions into four business units and a consumer market unit.
Roberts also discussed the planned relocation of computer programming operations from Washington to Colorado Springs, Colo. MCI will have about 700 workers in Colorado Springs by the end of 1992, and eventually employ an additional 1,500 at the facility, said company spokesman Bernard Goodrich.
MCI employs about 24,500 nationwide.