Attachment A

This document pretains to ITC-ASG-20100820-00339 for Assignment on a International Telecommunications filing.

IBFS_ITCASG2010082000339_835716

                                     Before the
                      FEDERAL COMMUNICATIONS COMMISSION
                               Washington, D.C. 20554


In the Matter of

The World Company
and WorldNet, L.L.C.
        Assignors
                                                      WC Docket No.
and

Knology of Kansas, Inc.
      Assignee

Application for Consent to Assign Assets
Pursuant to Section 214 of the Communications
Act of 1934, As Amended, to
Knology of Kansas, Inc.




                                    APPLICATION

        The World Company ("World") and WorldNet, L.L.C. ("WorldNet") (World and

WorldNet together, "Sunflower" or "Assignors") and Knology of Kansas, Inc. ("Knology

of Kansas" or "Assignee" and together with Sunflower, "Applicants") hereby respectfully

request authority pursuant to Section 214 of the Communications Act of 1934, as

amended, 47 U.S.C. §214 (the "Act"), and Sections 63.04 and 63.24 of the Commission's

Rules, 47 CFR §§ 63.04, 63.24, to assign certain telecommunication service assets and

customer contracts, as specified below, from Sunflower to Knology of Kansas. Knology

of Kansas is a newly-formed subsidiary of Knology, Inc., a leading provider of

communications and entertainment services in the Southeastern and Midwestern United




DCOI/CONWM/424016.7


States. Sunflower provides telecommunications, cable television and Internet access

services to customers in Kansas.

       Pursuant to Section 63.04(b) of the Commission ' s Rules, 47 C.F.R. § 63.04(b),

the Applicants are filing this combined application for the proposed transfer of assets.

The Applicants provide below the information required by Section 63.24(e)(2) of the

Commission' s Rules, 47 C.F.R. § 63.24(e)(2). Exhibit A provides the additional

information requested by Section 63.04(x)(6) through (a)(12) of the Commission ' s Rules,

47 C.F.R. § 63.04( a)(6)-(12).

       The Applicants respectfully request streamlined treatment of this Application

pursuant to Sections 63.03 and 63.12 of the Commission 's Rules, 47 C.F.R. §§ 63.03 and

63.12. This Application is eligible for streamlined processing pursuant to Section

63.03(b)(2)(ii) of the Commission ' s Rules, 47 C.F. R. § 63.03(b)(2)(ii), because (1) the

proposed transaction will result in Knology of Kansas (including its affiliates , as that

term is defined in Section 3 (1) of the Act) having a market share in the interstate,

interexchange telecommunications market of less than 10 percent , and Knology of

Kansas will provide competitive services exclusively in areas served by a dominant local

carrier not a party to the transaction (i.e., Southwestern Bell Telephone Co. d/b/a AT&T);

and (2) WorldNet is a non-dominant carrier that provides telecommunications services

exclusively outside the geographic areas in which Knology of Kansas's ILEC affiliates

are dominant.

       This Application also qualifies for streamlined treatment under Section 63.12

because (i) Knology of Kansas is not affiliated with any foreign carrier, (ii) Knology of

Kansas will not become affiliated with any foreign carrier as a result of the proposed




DCOI/CONVW424016.7                            2


transaction, and (iii) none of the other provisions contained in Section 63.12(c) of the

Commission's Rules, 47 C.F.R. § 63.12, apply.

        The Applicants respectfully request approval of this Application as soon as

possible.

1.      APPLICANTS

        A.      Sunflower

        WorldNet (FRN 0004937116), a Kansas limited liability company, is located at

609 New Hampshire, Lawrence, Kansas 66044. WorldNet provides competitive local

exchange and interexchange telecommunications services to residential and business

customers in Kansas under the name "Sunflower Broadband." WorldNet holds a blanket

domestic authorization to provide interstate telecommunications services under Section

63.01 of the Commission's Rules and an international Section 214 license, File No. ITC-

214-20010613-00337, granted July 6, 2001, to provide global and limited global resold

and facilities-based telecommunications services. Worldnet is authorized by the Kansas

Corporation Commission to provide intrastate telecommunications services in Kansas.

        WorldNet is 98% owned by World (FRN 0002337509), a privately-held Kansas

corporation also located at 609 New Hampshire, Lawrence, Kansas 66044. World was

founded in 1891 and is today a multi-media company. Using the trade name Sunflower

Broadband (previously Sunflower Cablevision), World provides cable and Internet

services to customers in Kansas. World d/b/a Sunflower Broadband entered the cable

television business in 1970 and launched Channel 6 News in Lawrence, Kansas. In 1998,

World d/b/a Sunflower Broadband became the first cable company to deploy DOCSIS

modems and then, in 1998, launched digital cable.




DCO1/CONWM/424016.7                          3


        Together, WorldNet and World offer customers cable television programming as

well as advanced video, data and voice services. The Sunflower cable system delivers

over 200 television channels, high speed cable modem Internet access, and local and long

distance telephone services to residential and business customers in Lawrence, Eudora,

Linwood, Tonganoxie and Basehor, Kansas and in nearby rural areas in Douglas,

Leavenworth and Wynadotte counties in Kansas.

        Sunflower currently has no affiliates that offer domestic telecommunications

services. No current 10% or greater shareholders of Sunflower hold a 10% or greater

interest in other telecommunications companies providing service in the United States. A

diagram of the corporate structure of Sunflower is provided in Exhibit B.

        B.       Knology

        Knology of Kansas (FRN 0020113197), a Delaware corporation, is a direct,

wholly-owned subsidiary of Knology, Inc. (FRN 0005-0664-93), also a Delaware

corporation. Both companies are located at 1241 O.G. Skinner Drive, West Point,

Georgia 31833. Knology, Inc. functions as a holding company for its operating

subsidiaries and, through those subsidiaries (collectively, the "Knology Companies"), is a

leading provider of interactive communications and entertainment services in the

Southeastern United States with additional operations in the Midwest. The Knology

Companies serve both residential and business customers with one of the most

technologically advanced broadband networks in the country. The Knology Companies'

offerings include over 200 channels of digital cable TV, local and long distance digital

telephone service with the latest enhanced voice messaging features, and high-speed

Internet access, which enable consumers to quickly download video, audio and graphic




DCO IKON WM/424015.7                         4


files using a cable modem. The Knology Companies also provide advanced

communications services, such as video-on-demand, subscriber video-on-demand, digital

video recorders, High-Definition Television, interactive television, IP Centrex services,

and Passive Optical Network services. The Knology Companies provide these services

over their wholly-owned, fully upgraded 750 MHz bandwidth, fiber-optic interactive

broadband network.

        The Knology Companies provide their full suite of video, voice (local and

interexchange) and data services in Alabama, Florida, Georgia, South Carolina,

Tennessee, Minnesota, Iowa and South Dakota.I Knology of Kansas affiliates that

operate in these states are authorized to provide international telecommunications

services either pursuant to Knology, Inc.'s international Section 214 license (File No.

ITC-TIC-19981013-00752) or in their own right. Knology of Kansas does not currently

hold an international Section 214 license granted by the Commission, but post-close will

operate pursuant to the authority held by Knology, Inc.2




1       The entities authorized to provide telecommunications services in these states are:
        Globe Telecommunications, Inc.; Knology of the Valley, Inc.; Valley Telephone
        Company LLC; Knology of Alabama, Inc.; Knology of Florida, Inc.; Knology of
        Georgia, Inc.; Knology of South Carolina, Inc.; Knology of Tennessee, Inc.;
        Knology of the Plains, Inc.; Knology Community Telephone, Inc.; Knology of the
        Black Hills, LLC; Knology Total Communications, Inc.; and Wiregrass
        Telecommunications, Inc. Knology of the Valley, Inc. is a small rural ILEC
        operating in Alabama and Georgia. Valley Telephone Company, LLC is a small
        rural ILEC operating in Alabama. Knology Total Communications, Inc. is a
        small rural ILEC operating in Alabama. Knology Community Telephone, Inc. is
        a small rural ILEC operating in South Dakota. Knology of Kansas does not have
        any other affiliates that offer domestic telecommunications services.
2       Knology Inc. will file a notice to this effect as required by Section 63.21(h) of the
        FCC Rules upon or following consummation of the transaction.



DCO1/CONWM/424016.7                           5


        Knology, Inc. is a widely-held public corporation. Mr. Donald W. Burton, though

various partnerships and in his individual capacity, indirectly owns or controls 13.2% of

the equity of Knology of Kansas. Mr. Burton is a United States citizen who resides at

614 West Bay Street, Tampa, Florida 33606. No other persons or entities own 10% or

more of the equity of Knology, Inc.

        A diagram of the corporate structure of Knology, Inc. is provided in Exhibit B.

II.     DESCRIPTION OF THE TRANSACTION

        Pursuant to the terms of an Asset Purchase Agreement dated August 3, 2010 by

and between World as Assignor and Knology of Kansas as Assignee (the "Agreement'),

Sunflower will assign to Knology of Kansas certain assets. The assets to be assigned

include assets related to Sunflower's provision of telecommunications, high speed data,

cable television, and other services to residential and business customers in Kansas. The

assets include customer contracts but do not include the international Section 214

authorization of WorldNet. After consummation of the transaction, Knology of Kansas

will provide telecommunications services to the acquired customers directly pursuant to

its own state and federal telecommunications authorizations. WorldNet will cease

operations as a telecommunications carrier. Consummation of the transaction is

contingent upon the receipt of the required regulatory approvals, among other things.

III.    PUBLIC INTEREST STATEMENT

        The transaction described herein will serve the public interest. The Knology

Companies, of which Knology of Kansas is a part, are established providers of

telecommunications services to residential and business customers. The Knology

Companies' long history of providing quality service to their customers demonstrates the

legal, technical, and financial qualifications of Knology of Kansas to acquire the assets of


DCOI/CONWM/424016.7                          6


Sunflower as proposed in the Agreement . With support from its parent company,

Knology, Inc., Knology of Kansas will have a strong management team that will continue

to provide high quality telecommunications services to the customers acquired from

Sunflower. Knology of Kansas will also have access to significant financial resources

from Knology, Inc. which will enable it to provide innovative and diversified service

offerings to customers in Kansas. These enhancements will inure directly to the benefit

of the acquired customers , as well as indirectly to consumers generally in the

telecommunications marketplace.

         The proposed transaction will have no adverse impact on the customers that

Knology of Kansas will acquire from Sunflower . These customers will continue to

receive their existing services at the same rates , terms and conditions as at present. Any

future changes to the rates, terms and conditions of service will be made consistent with

Commission requirements. To ensure a seamless transition and avoid customer

confusion or inconvenience , Knology of Kansas will provide advance written notice to

the telecommunications customers at least thirty (30) days prior to the transfer, as

required by the Commission ' s Rules and state requirements. The advance written notice

will explain the change in service provider in accordance with applicable Commission

and state requirements for a transaction of this type. To comply with the Commission's

slamming requirements , Knology of Kansas will file the required notice with the

Commission in CC Docket No. 00-257 pursuant to Section 64.1120 of the Commission's

Rules, 47 C.F.R. § 64.1120. Customers will still be responsible to Sunflower for any

applicable early contract termination charges if they choose a service provider other than

Knology of Kansas.




DCO l ICON WM/424016.7                       7


        Finally, the proposed transaction does not present any anti-competitive issues.

The proposed transaction will not lead to the concentration of any market shares in the

Sunflower territories or the elimination of a competitor, as Knology of Kansas will

simply replace Sunflower in the relevant local markets. Knology of Kansas is not a

foreign carrier and has no foreign carrier affiliations.

IV.     INFORMATION REQUIRED BY SECTION 63.24(e) OF THE
        COMMISSION'S RULES

        The Applicants submit the following information pursuant to Section 63.24(e) of

the Commission's Rules, including the information requested in Section 63.18:

(a)     Name, address and telephone number of Applicants:

        The World Company ("World") (Assignor)
        609 New Hampshire
        Lawrence, Kansas 66044
        (785) 832-7125

        WorldNet, L.L.C. ("WorldNet") (Assignor)
        609 New Hampshire
        Lawrence, Kansas 66044
        (785) 832-7125

        Knology of Kansas, Inc. ("Knology of Kansas") (Assignee)
        1241 O.G. Skinner Drive
        West Point, Georgia 31833
        (706) 645-3966

(b)     WorldNet is a Kansas limited liability company. World is a Kansas corporation.
        Knology of Kansas is a Delaware corporation.




DCOI/CONWM/424016.7                            8


(c)     Correspondence concerning this Application should be sent to:

                For The World Company and WorldNet:

                Debra R. Schmidt
                Director of Telephone Service
                WorldNet L.L.C.ISunflower Broadband
                1 Riverfront Plaza, Suite 301
                Lawrence, Kansas 66044
                Tel. (785) 312-6925
                Fax (785) 312-6997
                dschmidt@sunflowerbroadband.com

                For Knology of Kansas:

                Bruce Schoonover
                Director - Regulatory Affairs/Telephone Cost
                Knology, Inc.
                1241 O.G. Skinner Drive
                West Point, Georgia 31833
                Tel. (706) 645-3966
                Fax (706) 645-0148
                Bruce.schoonover@jmology.com

                     copies to:
                Edward A. Yorkgitis, Jr.
                Melissa Conway
                KELLEY DRYE & WARREN LLP
                3050 K Street NW, Suite 400
                Washington, D.C. 20007
                Tel: (202) 342-8552
                Fax: (202) 342-8451
                mconway@kelleydrye. com


(d)     WorldNet holds a blanket domestic authorization to provide interstate
        telecommunications services and an international Section 214 license, ITC-214-
        20010613-00337, granted July 6, 2001, to provide global and limited global
        resold and facilities-based telecommunications services. Knology of Kansas does
        not currently hold an international Section 214 license. WorldNet's international
        Section 214 authorization is not one of the assets to be assigned to Knology of
        Kansas in connection with the proposed transaction. Following consummation of
        the transaction, Knology of Kansas will operate as a provider of international
        services pursuant to the Section 214 authorization held by its parent, Knology, Inc.




DCO1/CONWM/424016.7                          9


(h)      The following entities or persons hold, directly or indirectly, a 10% or greater
         interest in Knology of Kansas, the Assignee:

         Knology, Inc., a Delaware holding company, owns 100% interest in Knology of
         Kansas. Knology, Inc. is a widely-held public corporation, located at 1241 O.G.
         Skinner Drive, West Point, Georgia 31833.

         Mr. Donald W. Burton, though various partnerships and in his individual capacity,
         indirectly owns or controls 13.2% of the equity of Knology of Kansas. Mr.
         Burton is a general partner in the Burton Partnership (QP), the Burton Partnership
         and Snake River Partners - which in turn own shares of common stock in
         Knology, Inc. Additionally, Mr. Burton individually owns common stock in
         Knology, Inc. In total, Mr. Burton owns 13.2% of the common stock in Knology,
         Inc. and, consequently, owns or controls 13.2% of the equity of Knology of
         Kansas pursuant to the Commission's attribution rules. Mr. Burton is a United
         States citizen and resides at 614 West Bay Street, Tampa, Florida 33606. His
         principal business is investment.

         There are no other persons or entities that hold 10% or more of the voting or equity
         interests of Knology of Kansas pursuant to the Commission's attribution rules.
         Knology of Kansas has no interlocking directorates with any foreign carrier.

(i)      As evidenced by the signature of its authorized representative to this Application,
         Knology of Kansas certifies that, following consummation of the transaction, (a)
         Knology of Kansas will not be a foreign carrier, and (b) Knology of Kansas will
         not be affiliated with any foreign carrier.

G)       As evidenced by the signature of its authorized representative to this Application,
         Knology of Kansas certifies that it does not seek to provide international
         telecommunications services to any destination country where, once the
         transaction closes, (a) Knology of Kansas is a foreign carrier; (ii) Knology of
         Kansas controls a foreign carrier; (iii) any entity that owns more than 25 percent
         of Knology of Kansas, or that controls Knology of Kansas, controls a foreign
         carrier; or (iv) two or more foreign carriers (or parties that control foreign
         carriers) own, in the aggregate, more than 25 percent of Knology of Kansas and
         are parties to, or the beneficiaries of, a contractual relation affecting the provision
         or marketing or international basic telecommunications services in the United
         States.

        Not applicable.

        Not applicable.

(m)     Not applicable.




DCOIICON WMI42401 6.7                           10


(n)     As evidenced by the signature of its authorized representative to this Application,
        Knology of Kansas certifies that it has not agreed to accept special concessions
        directly or indirectly from any foreign carrier with respect to any U.S.
        international route where the foreign carrier possesses market power on the
        foreign end of the route, and that Knology of Kansas will not enter into such
        agreements in the future.

(o)     As evidenced by the signatures to this Application, Applicants certify that,
        pursuant to Sections 1.2001 through 1.2003 of the Commission's Rules, they are
        not subject to a denial of Federal benefits pursuant to Section 5301 of the Anti-
        Drug Abuse Act of 1988.

(P)     Applicants requests streamlined processing of this Application pursuant to
        Section 63.12 of the Commission's Rules, 47 C.F.R. § 63.12. This Application
        qualifies for streamlined treatment under Section 63.12(c) of the Commission's
        Rules because (i) post-close, Knology of Kansas will not be affiliated with any
        foreign carrier; (ii) Knology of Kansas is not affiliated with any dominant U.S.
        carrier whose international switched or private line services Knology of Kansas
        seeks authority to resell, nor will Knology of Kansas be so affiliated post-close;
        and (iii) none of the other scenarios outlined in Section 63.12(c) of the
        Commission's Rules, 47 C.F.R. § 63.12, applies

V.      INFORMATION REQUIRED BY SECTION 63.04 (b) OF THE
        COMMISSION' S RULES

        In accordance with the requirements of Section 63.04(b) of the Commission's

Rules, the additional information required for the domestic Section 214 asset assignment

application is provided in Exhibit A.




DCOI /CONWM/424016.7                         11


 VI.      CONCLUSION

          Based on the foregoing, the Applicants respectfully submit that the public interest,

 convenience, and necessity would be furthered by grant of this Application.


                                        Respectfully submitted,


    The World Company/#nd Worl€1Net,               Knology of Kansas, Inc.
    L. L.


    By.                                            By:
          Dan Simons                                     Chad S. Wachter
          President of Electronics Division              Vice President, General Counsel
          THE WORLD COMPANY                              KNOLOGY, INC.
          609 New Hampshire                              1241 O.G. Skinner Drive
          Lawrence, Kansas 66044                         West Point, Georgia 31833
          Tel. (785) 832-7176                            Tel. (706) 645-8553




Dated:




DCQIICON WMf424fl 15.6
                                              12


'Vt.      CONCLUSION

          Based on the foregoing, the Applicants respectfully submit that the public interest,

convenience, and necessity would be furthered by grant of this Application-


                                         Respectfully submitted,


    The World Company and WorldNet,                4(uology of Kansas, Inc.
    L.L.C.


    By:                                            By:
          Dan Simons                                     Chad S. Wachter
          President of Electronics Division              Vice President, General Counsel
          THE WORLD COMPANY                              KNOLOGY, INC.
          609 New Hampshire                              1241 O.G. Skinner Drive      `
          Lawrence, Kansas 66044                         West Point, Georgia 31833
          Tel. (785) 832-7176                            Tel. (706) 645-8553




Dated:       q u 6 U S T PC),   Po l o



                                                                                          t




 DC©I/CONWM/424016-7                           12 = s


                                        EXHIBIT A


        DOMESTIC SECTION 214 ASSET ASSIGNMENT INFORMATION

        In accordance with the requirements of Section 63.04(b) of the Commission's

Rules, 47 C.F.R. § 63.04, the Applicants provide the following information in support of

their request.

63.04 (a)(6):    Description of the Transactions

        The proposed transaction is described in Section 11 of the Application.

63.04 (a)(7):    Description of Geographic Service Area and Services in Each Area

        A description of the geographic service areas and services provided in each area is

provided in Section I of the Application.

63.04(a)(8):     Presumption of Non-Dominance and Qualification for Streamlining

        The Applicants respectfully request streamlined treatment of this Application

pursuant to Sections 63.03 and 63.12 of the Commission's Rules, 47 C.F.R. §§ 63.03 and

63.12. This Application is eligible for streamlined processing pursuant to Section

63.03(b)(2)(ii) of the Commission's Rules, 47 C.F.R. § 63.03(b)(2)(ii), because (1) the

proposed transaction will result in Knology of Kansas (including its affiliates, as that

term is defined in Section 3(1) of the Act) having a market share in the interstate,

interexchange telecommunications market of less than 10 percent, and Knology of

Kansas will provide competitive services exclusively in areas served by a dominant local

carrier not a party to the transaction (i.e., Southwestern Bell Telephone Co. dba AT&T);

and (2) WorldNet is a non-dominant carrier that provides telecommunications services

exclusively outside the geographic areas in which Knology of Kansas's ILEC affiliates

are dominant. With respect to (2), the Applicants note that Knology of Kansas is



DCOI/CONWM/424016.7


affiliated with four (4) ILECs, specifically Knology Community Telephone, Inc., a small

rural ILEC and former telephone cooperative operating in rural southeastern South

Dakota; Knology Total Communications, Inc, a small rural ILEC operating in Alabama;

Knology of the Valley, Inc., a small rural ILEC operating in Alabama and Georgia; and

Valley Telephone Company, LLC, a small rural ILEC operating in Alabama. WorldNet

does not provide telecommunications services in South Dakota, Alabama or Georgia; it

only provides telecommunications services in Kansas.

63.04(a)(9):       Other Pending Commission Applications Concerning the Proposed
                   Transaction

         In connection with the proposed transaction, Applicants are filing applications

with the Wireless Telecommunications Bureau for assignment of a 700 MHz license and

an Industrial/Business pool private radio license. Additionally, consistent with

Commission rules, the Applicants will submit filings to address resulting changes in

ownership in connection with an antenna structure registration and an earth station

registration being transferred from Sunflower to Knology of Kansas. Finally, the

Applicants will make appropriate filings in the Commission's COALS database to

transfer CUE) registrations from Sunflower to Knology of Kansas.

63.04(a)(10): Special Considerations

         None.

63.04 (a)(11): Waiver Requests (If Any)

         None.

63.04(a)(12): Public Interest Statement

         The proposed transaction is in the public interest for the reasons detailed in

Section III of the Application.



DCO 1 /CON WM/424016.7                         2


                              EXHIBIT B


                        ORGANIZATIONAL CHARTS




DCOI /CON WM1424016.7


                     SUNFLOWER ORGANIZATIONAL CHART




                            THE WORLD COMPANY




                                 98%




                              WorldNet, L.L.C.




DCOIICONWW424016.7                  2


                                                         Knology Companies


                                                                    Knology, Inc.


     Globe         Knology of the    Valley Telephone      Knology of           Knology of South           Knology                Knology of           Knology of
Teicommunication    Valley, Inc.      Company, LLC        Nashville , Inc.        Dakota, Inc.          Broadband, Inc.          Knoxville, Inc.       Kansas , Inc.
    Inc. 100 %         100%                100%              100%                    100%                   100%                     1.00 %d

                                                                                                    Knology of                Knology of
                                                                    Knology of                     Augusta, Inc.            Charleston, Inc.
 ITC Globe, Inc.                                                                                      100%                       100%
                                                                  the Plains, Inc.
     100%
                                                                       100%
                                                                                                     Knology of
                                                                                                   Columbus, Inc.
                                                             Knology Condominium                       100%
                                                               Association, Inc.
                                                                    100%                            Knology of                Knology of
                                                                                                  Montgomery, Inc.          Tennessee, Inc.
                                                               Knology Community                       100%                     100%
                                                                 Telephone, Inc.
                                                                      100%                        Knology of South            Knology of
                                                                                                   Carolina, Inc.            Georgia, Inc.
                                                                                                       100%                     100%
                                                                  Black Hills Fiber
                                                                   Systems, Inc.                  Knology Provider            Knology of
                                                                       100%                       Solutions Group,           Alabama, Inc.
                                                                                                      Inc. 100%                  100%


                                                                             Knology of Central               West Georgia                    Knology Total
                         Knology of the        BHFC Publishing,
                                                                                Florida, Inc.                 Broadband, `Inc.             Communications, Inc.
                         Black Hills, LLC           LLC
                                                                                      100%0                          100%                          100%0



                                                                                                         Knology of the            Wiregrass'          Communications
                                                        Knology of Florida, LLC
      424278                                                                                             Wiregrass, Inc.          Telecom, Inc.           One, Inc.
                                                                100%
                                                                                                             100%                     100%                 100%



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Document Modified: 0000-00-00 00:00:00

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