Attachment 20170117160535-730.p

20170117160535-730.p

SUPPLEMENT

Supplement

1998-10-06

This document pretains to ITC-TAO-19981006-00708 for Temporary Authority on a International Telecommunications filing.

IBFS_ITCTAO1998100600708_1396087

                             SWIDLER BERLIN SHEREFF FRIEDMAN,                            LLP
WASHINGTON OffIcE                                           C                                   -       NEWYORKOffICE
3000 K STREET, N SUITE 300
                                                                                                       919 THIRD AVENUE
WASHINGTON, DC 20007-5116
                                                                                                NEW YORK, NY 10022-9998
TELEPHONE (202) 424-7500                             October 6, 1998                             TELEPHONE (212) 758-9500
FACSIMILE (202) 424-7647
                                                                                                  FACSIMILE (212) 758-9526
                                                                       .11arrflr
        VIA COURIER                                                      rrited
                                                                          wi 21 t
        Magalie Roman Salas, Esq.
        Secretirv                                         te:
        Federal Communications Commission                                                19,
        International Bureau, Telecommunicatio                     by:
        P.O. Box 358115
        Pittsburgh, Pennsylvania 15251-5115
        Attn:    Joanna Lowry
                 Re:         Request for Special Temporary Authority for UniDial Holdings, Inc. to Acquire
                             Metracom Corporation
        Dear Secretary Salas:
               UniDial Holdings, Inc. ("UniDial") and Metracom Corporation ("Metracom") (together the
       "Parties"), by their undersigned counsel and pursuant to Section 63.04 of the Commission's Rules,
       47 C.F.R. § 63.04, hereby request Special Temporary Authority ("STA") to permit Metracom to
       continue to provide the international services during the pendency of the Parties' underlying Section
       214 application. As fully described in that application, attached hereto, the Parties seek authority
       for UniDial to acquire Metracom through a forward subsidiary merger. The proposed acquisition
       will be accomplished through a transaction whereby Metracom will merge with and into a wholly
       owned acquisition subsidiary of UmDial, Metracom Acquisition Corp. ("Metracom Acquisition"),
       which will then change its name to Metracom Corporation. Following the proposed transaction,
       Metracom will be a wholly owned subsidiary of UniDial that continues to operate under the
       Metracom name. Accordingly, the transaction will be virtually transparent to Metracom's
       customers.
               UniDial is a newly created holding company organized under the laws of the State of
       Delaware. UniDial Holdings was created in conjunction with the on-going reorganization of the
       UniDial companies. Following the completion of the proposed reorganization, UniDial
       Communications, Inc. ("UniDial Communications" formerly UniDial Incorporated), the UniDial
       operating company will become a wholly owned subsidiary of UniDial. UniDial Communications
       is authorized to provide resold international telecommunications services pursuant to Section 214


                                                                                    FC
                                                                                                          OCT 0 61998
                              SWIDLER BERLIN SHEREFF FRIEDMAN,                             LLP
WASHINGTON OFFICE                                                                                         NEW YORK OFFICE
3000 K STREET, NW, Suim 300                                                                              919 THIRD AVENUE
WASHINGTON, DC 20007-5 116                                                                        NEW YORK, NY 10022-9998
TELEPHONE (202) 424-7500                              October 6, 1998                              TELEPHONE (212) 758-9500
FACSIMILE (202) 424-7647                                                                            FACSIMILE (212) 758-9526
         VIA COURIER
         Magalie Roman Salas, Esq.
         Secretary
         Federal Communications Commission
         International Bureau, Telecommunications
         P.O. Box 358115
         Pittsburgh, Pennsylvania 15251-5115
         Attn:    Joanna Lowry
                  Re:         Request for Special Temporary Authority for UniDial Holdings, Inc. to Acquire
                              Metracom Corporation
         Dear Secretary Salas:
                 UniDial Holdings, Inc. ("UniDial") and Metracorn Corporation ("Metracom") (together the
         "Parties"), by their undersigned counsel and pursuant to Section 63.04 of the Commission's Rules,
         47 C.F.R. § 63.04, hereby request Special Temporary Authority ("STA") to permit Metracom to
         continue to provide the international services during the pendency of the Parties' underlying Section
         214 application. As ftilly described in that application, attached hereto, the Parties seek authority
         for UniDial to acquire Metracom through a forward subsidiary merger. The proposed acquisition
         will be accomplished through a transaction whereby Metracom will merge with and into a wholly
         owned acquisition subsidiary of UniDial, Metracom Acquisition Corp. ("Metracom Acquisition"),
         which will then change its name to Metracom Corporation. Following the proposed transaction,
         Metracom will be a wholly owned subsidiary of UniDial that continues to operate under the
         Metracom name. Accordingly, the transaction will be virtually transparent to Metracom's
         customers.
                 UniDial is a newly created holding company organized under the laws of the State of
         Delaware. UniDial Holdings was created in conjunction with the on-going reorganization of the
         UniDial companies. Following the completion of the proposed reorganization, UniDial
         Communications, Inc. ("UniDial Communications" formerly UniDial Incorporated), the UniDial
         operating company will become a wholly owned subsidiary of UniDial. UniDial Communications
         is authorized to provide resold international telecommunications services pursuant to Section 214


Magalie Roman Salas, Esq.
October 6, 1998
Page 2
authorization issued by the Commission on November 3, 1993.1/ UniDial Communications is also
authorized to provide intrastate interexchange telecommunications service on a resold basis pursuant
to a certificate of public convenience, tariff, registration, or on a deregulated basis in 48 states.
        The STA requested herein is necessary to ensure that critical facilities will not go unused and
to avoid significant interruptions in service. As demonstrated by the pending application, the Parties
are aware that prior Commission approval is required before Metracom may assign its Section 214
authorization to Metracom Acquisition. For various financial and operational reasons, however, the
Parties now understand that expedited completion of the transaction may be necessary. Failure to
gain Special Temporary Authority to complete the transaction could therefore impede the ability of
the Parties to provide cost-effective service and thereby seriously prejudice the public interest.
        Grant of the relief requested herein, on the other hand, will enhance the ability of Metracom
to provide international services. After the final completion of the proposed transaction, many of
the existing management and operations staff will continue to oversee the day-to-day operations of
the Parties' operations. Thus, Metracom will continue to provide high quality, affordable services.
The proposed transaction will not cause inconvenience or confusion to Metracom' s customers but
rather will allow the Parties to realize certain critical operational, technical and managerial
economies of scale. Indeed, the transaction will be virtually transparent to Metracom's customers.
         In the long term, approval of the transfer will permit UniDial and Metracom to realize
significant economic and marketing efficiencies and, as a result, compete more effectively in the
international telecommunications marketplace. By enhancing Metracom's ability to continue
providing high quality, low-cost telecommunications services, the proposed transaction will promote
competition in the international services marketplace and, thereby, benefit the public interest. Grant
of the requested STA, therefore, will more quickly promote competition among international carriers
by enabling Metracom to significantly improve its long term ability to provide such services and to
respond to market forces and developments in the international telecommunications marketplace.
Accordingly, for both immediate and long term compelling business reasons, the Parties respectfully
request an STA so that they may proceed to complete the proposed transaction.
        Under these extraordinary circumstances, the Parties respectfully request Special Temporary
Authority under Section 214 to continue to provide international services as currently authorized.
The Parties acknowledge that grant of this request will not prejudice action by the Commission on
the Parties' pending application for permanent authority to complete the transaction and that any
1'              UniDial Incorporated, FCC File No. ITC-93-3 17 (Nov. 3, 1993). On June 10, 1998,
the Commission approved the pro forma transfer of control ofUniDial Conmiunications to UniDial
through its grant stamp procedure. See FCC File No. ITC-98-411-TC.


Magalie Roman Salas, Esq.
October 6, 1998
Page 3
authority granted pursuant to this request is subject to cancellation or modification upon notice, but
without a hearing.
       As required by the Commission's rules, a filing fee in the amount of $780.00 is included with
this STA request. Please direct any inquiries regarding this filing to the undersigned.
                                               Respectfully submitted,
                                               Nancy Killien Spooner
                                               Edward S. Quill, Jr.
                                               Counsel for the Parties
Attachment
254010.1


     Exhibit A
Transfer Application


                                      Before the
                       FEDERAL COMMUN   ICATIONS COMMISSION
                                Washington, D.C. 20554
                                                       )
 In the Matter of                                      )
                                                       )
 UNIDIAL HOLDINGS, INC.                                )
                                                       )
        and                                           )
                                                      )      File No. I-T-C-
 METRACOM CORPORATION                                 )
                                                      )
Application for authority pursuant to                 )
Section 214 Communications Act of 1934,               )
as amended, for merger of authorized                  )
international carrier and assignment                  )
of Section 214 authorization                          )
                                    JOINT APPLICATION
        UniDial Holdings, Inc. ("UniDial") and Metracom Corporation ("Metracom")(collective!y
"Applicants'), by their undersigned counsel, hereby request approval pursuant to Section 214 of the
Communications Act of 1934, as amended, 47 U.S.C. § 214, and Section 63.18 of the Commission's
Rules, 47 C.F.R. § 63.18, of a transaction whereby UniDial will acquire Metracom ("Transaction").
        Metracom is a nondominant carrier authorized to provide resold and facilities-based
international   message telecommunications services.            UniDial's    subsidiary,   UniDial
Communications, Inc. ("UniDial Communications") also holds "global" international resale Section
214 authority. Following the proposed transaction, Metracom will continue to operate as a separate
entity providing telecommunications services under the rates, terms and conditions of its existing
international tariff. Metracom's key management personnel and operations will not change as a
result of this Transaction.   Consequently, the Transaction will be completely transparent to
Metracom's customers. Those customers will continue to receive the same high quality cost-


 efficient services that they currently receive. As a result of this Transaction, Metracom will gain
 access to the capital necessary to finance Metracom's on-going operations, thereby allowing
 Metracom to remain competitive in the industry.
        Applicants submit the following information in support of this Joint Application:
 I.      THE PARTIES
         A.      UniDial Holdings, Inc. ("UniDial")
        UniDial is a newly created holding company organized under the laws of the State of
 Delaware. UniDial Holdings was created in conjunction with the on-going reorganization of the
 UniDial companies.       Following the completion of the proposed reorganization, UniDial
Communications, Inc. ("UniDial Communications" formerly UniDial Incorporated), the UniDial
operating company will become a wholly owned subsidiary of UniDial. UniDial Communications
is authorized to provide resold international telecommunications services pursuant to Section 214
authorization issued by the Commission on November 3, 1993)J UniDial Communications is also
authorized to provide intrastate interexchange telecommunications service on a resold basis pursuant
to a certificate of public convenience, tariff, registration, or on a deregulated basis in 48 states.
        UniDial has the technical, managerial and financial resources necessary to acquire
Metracom. Upon consummation of the proposed transaction, Metracom's operations will be
overseen by a management team that, by virtue of its continuing involvement with UniDial
Communications' operations, has obtained extensive telecommunications experience. Moreover,
       UniDial Incorporated, FCC File No. ITC-93-317 (Nov. 3, 1993). On June 10, 1998, the
Commission approved the pro forma transfer of control of UniDial Communications to UniDial
through its grant stamp procedure. See FCC File No. ITC-98-411-TC. For the Commission's
convenience, a copy of the reorganization approval is provided in Exhibit A.
                                                   2


     UniDial has access to extensive financial resources. In 1997, UniDial Communications, had
     operating gross revenues in excess of $112 million and assets in excess of $30 million.
            B.      Metracom Corporation ("Metracom")
            Metracom is a privately held corporation organized under the laws of the Commonwealth
     of Massachusetts with principal offices located at 210 South Street, Boston, MA 02111. Metracom
     is authorized to provide international facilities-based and resale services by virtue of Section 214
 authority issued by the Commission on June 19, 1998k Metracom is also authorized to provide
 telecommunications services as a reseller in 21 states pursuant to a certification, tariff, registration
 or deregulated basis. Metracom is also authorized to provide resold competitive local exchange
 services in four states.
 II.        REOUEST FOR AUTHORITY FOR UNIDIAL TO ACOUIRE METRACOM
            UniDial and Metracom have determined that they can realize significant economic and
 marketing efficiencies by establishing Metracom as a direct, wholly owned subsidiary of UniDial.
Accordingly, UniDial and Metracom have executed an Agreement and Plan of Merger
("Agreement"), through which Metracom will merge with and into a newly created UniDial
acquisition subsidiary, Metracom Acquisition Corp. ("Metracom Acquisition"), that will then
change its name to Metracom Corporation. Upon completion of the proposed transaction, Metracom
will be a wholly owned subsidiary of UniDial.
           Although the proposed transaction will result in a change in the ownership of Metracom, the
transaction will not involve a change in the manner in which Metracom provides service to its
2/
           Metracom Corporation, File No. ITC-98-345 (Jun. 19, 1998).
                                                     3


 international customers. Specifically, Metracom will continue to provide high quality, affordable
 resold service to its international customers pursuant to its Section 214 authority and international
 tariff on file with the Commission.' Moreover, Metracom will continue to be led by a team of well-
 qualified telecommunications managers, comprised, in large part, of existing Metracom personnel.
 As a result, the proposed transaction will not adversely impact Metracom's operations. Indeed, the
 proposed transaction will be virtually transparent to Metracom's customers in terms of the rates,
 terms and conditions of services those consumers receive.
 III.    PUBLIC INTEREST CONSIDERATIONS
        UniDial's acquisition of Metracom serves the public interest in promoting competition
among telecommunications carriers by providing UniDial and Metracom the opportunity to
strengthen their respective positions in the competitive telecommunications marketplace. The
Transaction invigorates competition by enabling UniDial and Metracom to pursue their respective
marketing and business plans more effectively by combining the Applicants' financial and technical
resources. Moreover, the Transaction combines the complementary managerial skills, background,
and experience of UniDial and Metracom in providing telecommunications services to the public.
Applicants believe that the business combination has resulted in a company better equipped to
accelerate its growth as a competitive telecommunications service provider. In addition, the
Transaction allows Applicants to manage their telecommunications operations more efficiently,
thereby enhancing Applicants' operational flexibility and efficiency as well as their financial
viability. The Transaction, therefore, ensures that Metracom can continue to provide high quality
       Similarly, UniDial Communications will continue to provide services to its international
customers under its existing service agreements and pursuant to its own grant of authority and tariff.
                                                  4


and innovative telecommunications services to Metracom's existing customers and furthers
competition in the international telecommunications service market. In sum, the proposed
acquisition benefits the public interest by enhancing the ability of UniDial and Metracom to offer
compethively priced services to their respective customers.
IV.    INFORMATION REOUIRED UNDER SECTION 63.18
       The following information is submitted, as required by Section 63.18 of the Commission's
Rules, 47 C.F.R. §63.18, in support of Applicants' request for authorization.
       (a)     Names, addresses and phone numbers of Applicants:
              UniDial Holdings, Inc.
              One Corporate Center
              9931 Corporate Campus Drive
              Louisville, KY 40223
              (888) 398-3425 (Tel)
              (502) 426-2257 (Fax)
              Metracom Corporation
              210 South Street, 9th Floor
              Boston, MA 02111
              (617) 912-8898 (Tel)
              (617) 912-8844 (Fax)
      (b)     UniDial is a corporation organized under the laws of the State of Delaware.
              Metracom is a corporation currently organized under the laws of the Commonwealth
              of Massachusetts. UniDial and Metracom have executed an Agreement through
              which Metracom will merge with and into a newly created UniDial acquisition
              subsidiary, Metracom Acquisition, a corporation organized under the laws of the
              State of Delaware, that will then change its name to Metracom Corporation.
                                               5


 (c)    Correspondence concerning this application should be sent to:
        Nancy Killien Spooner, Esq.
        Edward S. Quill, Esq.
        Swidler Berlin Shereff Friedman, LLP
        3000 K Street, N.W., Suite 300
        Washington, D.C. 20007
        202/424-7500 (Tel)
        202/424-7645 (Fax)
        with copies'to:
       John Grieve
       UniDial Holdings, Inc.
       One Corporate Center
       9931 Corporate Campus Drive
       Louisville, KY 40223
       (888) 398-3425 (Tel)
       (502) 426-2257 (Fax)
       and:
       Heather Bogaty
       Metracom Corporation
       210 South Street, 9th Floor
       Boston, MA 02111
       (617) 912-8898 (Tel)
       (617) 912-8844 (Fax)
(d)    Metracom holds Section 214 authority, granted by the Commission on June 19, 1998,
       to operate as a global international facilities-based/global resale carrier of switched
       telecommunications services. See FCC File No. ITC-98-345. UniDial does not hold
       Section 214 authority. Following the completion of the proposed reorganization
       described above, however, UniDial will be the immediate and ultimate parent of
       UniDial Communications, an operating company that holds global international
       resale Section 214 authority. See FCC File No. ITC-93-317. A complete
       description of the proposed reorganization is provided in the approved application
       contained in Exhibit A.
(e)    UniDial and Metracom have executed an Agreement through which Metracom will
       merge with and into a newly created UniDial acquisition subsidiary, Metracom
       Acquisition, that will then change its name to Metracom Corporation. Upon
       completion of the proposed transaction, Metracom will be a wholly owned subsidiary
       of UniDial.
                                         6


       (f)    Not applicable.
       (g)    Not applicable.
       (h)    Neither UniDial nor Metracom are affiliated with any carrier that holds market power
              in a foreign destination market.
              After the Transaction, the following entities will hold a ten percent (10%) or greater
              ownership or management interest in UniDial Holdings:
Name/Address                         % Held          Citizenship    Principal Business
J. Donald Nichols                    36.69%*             U.S.       Telecommunications
9931 Corporate Campus Drive
Louisville, Kentucky 40223
(502) 394-0789/Telephone
(502) 426-2257Fa.x
J. Sherman Henderson, III            28.83%             U.S.        Telecommunications
9931 Corporate Campus Drive
Louisville, Kentucky 40223
(502) 3 94-O789iTelephone
(502) 426-2257Fax
S. Andrew McKay                      36.69%*            U.S.        Telecommunications
9931 Corporate Campus Drive
Louisville, Kentucky 40223
(502) 394-0789/Telephone
(502) 426-2257Fa.x
N-Tel, LLC                          36.69%*             U.S.        Telecommunications
9931 Corporate Campus Drive
Louisville, Kentucky 40223
(502) 394-0789/Telephone
(502) 426-2257Fax
              Includes shares beneficially owned by N-Tel, LLC, for which Mr. Nichols and Mr.
             McKay share voting control and dispositive control, subject to the approval of a
             majority of interests in the entity.
                                               7


       Following the completion of the proposed transaction, the following individuals will
       be directors oMetracom:
      J. Sherman Henderson, III
      S. Andrew McKay
      John E. Roth
      Mr. Henderson is also a director of UniDial and Telegroup, Inc. Mr. McKay is also
      a director of UniDial. All of these individuals may be reached at:
      9931 Corporate Campus Drive
      Louisville, Kentucky 40223
      (502) 394-0789/Telephone
      (502) 426-2257Fax
(i)   Applicants certify that they have not agreed and will not agree in the future to accept
      any direct or indirect special concessions from a foreign carrier or administration
      with regards to traffic or revenue flows between the United States and any foreign
      countries the company is authorized to serve.
U)    Applicants certify that no party to this application has been denied federal benefits
      pursuant to Section 5301 of the Anti-Drug Abuse Act of 1988.
                                       8


                                           CONCLUSION
           Applicants submit that UniDial's acquisition of Metracom serves the public interest and
  therefore respectfully request Commission approval of the Transaction described herein.
                                               Respectfully submitted,
                                               UNIDIAL HOLDINGS, INC.
                                               METRACOM CORPORATION
                                       By:     'y7&r          1LL&1
                                              Nancy Killien Spooner
                                              Edward S. Quill, Jr.
                                              SWIDLER BERLIN SHEREFF FRIEDMAN, LLP
                                              3000 K Street, N.W., Suite 300
                                              Washington, D.C. 20007
                                              202- 424-7500 (Tel)
                                              202- 424-7645 (Fax)
                                              Their Counsel
 Dated: September 30, 1998
244671.1
                                                 9


       Exhibit A
Reorganization Approval
         10


                                      Before the
                       FEDERAL COMMUNICATIONS COMMISSION
                                Washington, D. C. 20554
                                                      )
In the Matter of                                      )
                                                      )
JJNIDIAL HOLDINGS, [NC.                               )
                                                      )
        and                                                                         JUN 1    t'       1
                                                      )                                           -
UNIDIAL COMMUNICATIONS, [NC.                                      s*tbsuI.d1b            ,
                                                      )
                                                      )
Application for authority pursuant to                )
Section 214 of the Communications Act of             )               -9d
1934, as amended, for pro forma transfer of          )             ignatue   c#6
control of an international resale authorization     )
                                         APPLICATION
       UniDial Holdings, Inc. ("UniDial Holdings"), and UniDial Communications, Inc.
("UniDial"),' by its undersigned counsel, pursuant to Section 214 of the Communications Act of
1934, as amended, 47 U.S.C. § 214 (1997) and Section 63.18(e)(5) of the Commission's Rules, 47
C.F.R. § 63.1 8(e)(5) (1997), hereby request authority for aproforma transfer of control of UniDial
Incorporated's Section 214 authorization in connection with a ciporate reorganization that will
create a holding company structure. The transaction will not alter UniDial's underlying ownership,
company management, service to UniDial's customers, or the rates charged for UniDial's service
           UniDial Incorporated, now knows as UniDial Communications, Inc., is authorized by the
Commission to provide international switched and private line telecommunications services between
the United States and various international points pursuant to FCC Report No. 1-6884, ITC-93-317,
released November 3, 1993.


 and, accordingly will be pro forma in nature. UniDial Incorporated changed its name to UniDial
 Communications, Inc., and asks that the Commission take official notice of this name change
 herein.2
        Applicant therefore respectfully requests streamlined, expedited treatment of this application
pursuant to Section 63.12 of the Commission's Rules, 47 C.F.R. § 63.12 (1997) and the grant stamp
procedure established in the Commission's November 21, 1994 Public Notice, Mimeo 50767. As
fully described below, grant of this pro forma transfer will allow UniDial to enhance its ability to
obtain additional financing and improve UniDial's marketing position. Accordingly, grant of this
application will benefit the public interest by permitting UniDial to organize its business operations
in a more efficient, financially beneficial manner.
I.      DESCRIPTION OF THE TRANSACTION
        UniDial Incorporated, now known as UniDial Communications, Inc., is a nondominant
reseller of international switched services. UniDial is neither affiliated with the U.S. facilities-based
carriers whose services it resells, nor with a foreign carrier. Other information concerning UniDial's
legal, technical, and financial qualifications to provide service was submitted with the application
for UniDial Incorporated's initial Section 214 authorization to operate as an international resale
carrier, and is, therefore, already a matter of record at the Commission.
        The parties seek approval ofthe pro forma transfer of UniDial Incorporated's international
resale authority to accomplish a reorganization whereby a holding company structure will be created.
By that transaction, UniDial Incorporated was renamed UniDial Communications, Inc., and will
        2 The corporate structure before and
                                             after the reorganization is depicted in Exhibit B,
attached hereto.
                                                   2


 become a wholly owned subsidiary of a Delaware holding company which will assume the name of
 UniDial Holdings, Inc. After the completion of the reorganization, the identity of the shareholders
 and proportion of stock held by shareholders of the parent company will be identical to the identity
 and proportion of stock held by the former shareholders of the applicant. Ownership will remain in
the hands of the same parties, there will be no change in management, and no change in operations
or rates. The transaction is thus entirely proforma in nature.
II.     PUBLIC INTEREST CONSIDERATIONS
        The principals ofUniDial have determined that significant financial and competitive benefits
would be made available to the company by reorganizing under a holding company structure.
Because the transactions described above do not change the underlying ownership or control of
UniDial or its authorization, and the Commission has previously found UniDial Incorporated, now
UniDial Communications, to be legally, financially and technically qualified to provide international
communications services, this transaction results merely in a pro forma transfer of control of
UniDial's authorization. UniDial will continue to provide high-quality, affordable international
services without a disruption of service and without inconvenience or confusion to customers.
Indeed, the pro forma transfer of control will be entirely transparent to UniDial's customers.
       The proforma transaction is expected to facilitate the company's ability to attract investors
and obtain necessary financing in the future. As such, the transaction will serve the public interest
in promoting competition among international carriers by providing UniDial the opportunity to
enhance its working capital and strengthen its competitive position. The proposed transaction will
not in any way reduce competition.
                                                  3


III.    INFORMATION REOUIRED BY SECTION 63.18
       Pursuant to Section 63.18(e)(5) of the Commissionts Rules, 47 C.F.R. § 63.18(e)(5),
Applicants submit the following information:
       •(a)    Name and address of Applicants:
                         UniDial Communications, Inc.
                         One Corporate Center
                         9931 Corporate Campus Drive
                         Louisville, Kentucky 40223
                         (502) 394-0789 (Telephone)
                         (502) 426-2257 (Facsimile)
       (b)     UniDial Communications, Inc., is a corporation organized under the laws of the State
               of Kentucky. UniDial Holdings is a corporation organized under the laws of the
               State of Delaware.
       (c)    Correspondence concerning this Application should be sent to:
                         William B. Withehn, Jr., Esq.
                         Tony S. Lee, Esq.
                         Swidler & Berlin, Chartered
                         3000 K Street, N.W., Suite 300
                         Washington, D.C. 20007
                         (202) 424-7500 (Telephone)
                         (202) 424-7645 (Facsimile)
       with a copy to:
                         John J. Grieve, Esq.
                         Director of Legal Services and General Counsel
                         UniDial Communications, Inc.
                         One Corporate Center
                         9931 Corporate Campus Drive
                         Louisville, Kentucky 40223
                         (502) 394-0789 (Telephone)
                         (502) 426-2257 (Facsimile)
       (d)    UniDial Incorporated, now known as UniDial Communications, Inc., currently
              provides resold international telecommunications services pursuant to Section 214
              authorization granted in FCC Report No. 1-6884. FCC File No. ITC-93-3 17, released
              November 3, 1993. UniDial's application is subject to streamlined regulatory
                                                -4-


       requirements in accordance with the Commission's International Competitive
       Carrier Policies, 102 F.C.C. 2d 812 (1985), recon. denied, 60 Rad. Reg. 2d (P&F)
       (1986).
(e)(5) The authorization sought in this application will approve aproforma reorganization
       whereby the corporate form of UniDial Incorporated will be changed to a holding
       company structure.       UniDial Incorporated changed its name to UniDial
       Communications, Inc. The transaction will not alter the applicant's business of
       purchasing and reselling switched international message telecommunications service
       provided by other authorized carriers pursuant to the applicable rates, terms, and
       conditions in those carrier's tariffs.
       Not applicable.
       Not applicable.
      By the attached certification, UniDial certifies that it has no affiliation with any
      foreign carrier, as defined by Section 63.18(h)(1) of the Commission's Rules. In
      support of this certification, attached hereto as Exhibit D is a list of UniDial's
      10 percent or greater direct and indirect shareholders, including the address,
      citizenship and principal business of each such shareholder. In addition, attached
      hereto as Exhibit E is a list of all interlocking directorates held by UniDial's
      directors. UniDial further certifies that it is not affiliated with the U.S. carrier(s)
      whose facilities-based service(s) UniDial proposes to resell (either directly or
      indirectly through the resale of another reseller's service).
(i)   By the attached certification and as required by Section 63.18(i) of the Commission's
      Rules, UniDial certifies that, except as permitted by the Commission's Rules, as
      amended from time to time, UniDial has not agreed to accept any special
      concessions, as defined by the Commission's Rules, directly or indirectly from any
      foreign carrier or administration with respect to traffic or revenue flows between the
      U.S. and any foreign country which UniDial Communications may be authorized to
      serve and it will not enter into such agreements in the future.
a)    By the attached certification and as required by Section 63.18(j) of the Commission's
      rules, UniDial certifies that no party to this Application is subject to a denial of
      Federal benefits pursuant to Section 5301 of the Anti-Drug Abuse Act of 1988.
                                        5


 IV.       CONCLUSION
           For the reasons stated above, UniDial Holdings, Inc., and UniDial Communications, Inc.,
 submit that the public interest, convenience and necessity would be furthered by a grant of this
 application for consent to the pro forma transfer ofUniDial Incorporated's Section 214 authorization
 and request for expedited processing of this application.
                                                Respectfully submitted,
                                                UNIDIAL HOLDINGS, INC.
                                                UNIDIAL COMMUNICATIONS, INC.
                                          By:
                                                Wi1l4'B. Wilhelm, Jr.
                                                Tony 'S.-Lee
                                                SWIDLER & BERLIN, Chartered
                                                3000 K Street, N.W., Suite 300
                                                Washington, D.C. 20007
                                                (202) 424-7500 (telephone)
                                                (202) 424-7645 (facsimile)
                                                Their Counsel
Dated:     June 2, 1998
237258.1
                                                  6


                                  CERTIFICATION OF APPLICANT
            On behalf of UniDial Holdings, Inc. ("UniDial") and in accordance with Section 1.2001-
 1.2003 of the Commission's Rtiles, 47 C.F.R. § 1.2001-1.2003, I hereby certify that neither
UniDial nor any party to this Application is subject to a denial of federal benefits that includes
FCC benefits pursuant to Section 5301 of the Anti-Drug Abuse Act of 1988.               21 U.S.C.
§   853a.
            Further, I hereby certify that UniDial has neither negotiated for nor agreed to accept any
concessions, directly or indirectly, from any foreign carrier or administration with respect to
traffic or revenue flow between the United States and various international points under the
authority granted under Section 214 of the Communications Act of 1934, as amended, and the
Commission's Rules, and has not agreed to enter into such agreements in the future.
       Further, I hereby certify that the statements in the foregoing Joint Application are true,
complete, and correct to the best of my knowledge and are made in good faith.
                                                  UNID        HOLDINGS, INC.
                                                  By:
                                                 Name:
                                                 Title:
                                                                           M   &14-'
                                                 Date:


                              CERTIFICATION OF APPLICANT
        On behalf of Metracom Corporation ("Metracom") and in accordance with
Section 1.2001-1.2003 of the Commission's Rules, 47 C.F.R. § 1.2001-1.2003, I hereby certify
that neither Metracom nor any party to this Application is subject to a denial of federal benefits
that includes FCC benefits pursuant to Section 5301 of the Anti-Drug Abuse Act of 1988.
21 U.S.C. § 853a.
        Further, I hereby certify that Metracom has neither negotiated for nor agreed to accept
any concessions, directly or indirectly, from any foreign carrier or administration with respect to
traffic or revenue flow between the United States and various international points under the
authority granted under Section 214 of the Communications Act of 1934, as amended, and the
Commission's Rules, and has not agreed to enter into such agreements in the future.
     Further, I hereby certify that the statements in the foregoing Joint Application are true,
complete, and correct to the best of my knowledge and are made in good faith.
                                              METRACOM CORPORATION
                                              By:
                                              Name:
                                              Title:
                                                                     7?
                                              Date:      /    v/


       READ INSTRUCTIONS CAREFUIL.Y
                                                                                                                                                                                APPROVED BY 0MB    3O6O.O55
         BEFORE PROCEEDING
                                                                                                    COMMUNICATIONS COMMISSION                                              _______________________________
                                                                                               REMITTANCE ADVICE
                              358115                                                                                                                                           Cus(ONLY
      (1) LOCKBOX S
                                                                                                      FAGS MC             1           1
                                                                                                                                                                           ___________________________________
                                                                                             SECTION A      -       PAYER INFORMATION
       2) FAYER NAMEI4 pay..q y c,.as      g.         a5   •s_U U        FSS      VS5   WI)
                                                                                                                                                                      13) TOTAl. AMOUNT   PAlO   )•sWs ,I UIIS)
                             Swidler Berlin Shereff Fripdmn, TI.?
      4) STREET AOOISU LIII NO.)                                                                                                                                                          7fl flfl
                             3000 K Street. NW
      5) STRUT *00113* UNI NO.2
                             Si      r          flfl
                                                                                                                    STATS
                                                                                                                                                                  1s P COO(
                            WasHfT,
      .1) OAY1L TIUPNONI NUMUR
                                                1-rrT
                                                a... asdal
                                                                                                                          ml'
                                                                                                                llI COUITWY CCCI (1 .       -   U.S.A.)
                                                                                                                                                                  I
                             (202) 424-7500
                                IF PAYER NAME AND:THE APPUCANT NAME ARE DIFFERENT, COMPLETE SECTION B
                                     IF MORE ThAN ONE APPUCANT, USE CONTiNUATiON SHEETS (FORM 159-C)
                                                                                        SECTION B           APPLICANT INFORMATiON
      11) APPUCAIIT MAMIlI p.yp Pp s_Is WI. asa.I .            sas      Is SIppsMSSS Fs_ WI)
                            Metracom Corporation
      12)115117*001111 LIII   NO.1
                            210 South Street
     13) STRUT 4001115 LOS NO.2
                            Qth      Tlrwr
     14) eTY
                                                                                                                II STAll                                          IS) W CCCI
                           Boston                                                                                             MA                              I         1V2111
  17) DAYTOS TILIPWONI )5U )MPOSS                      sill)                                                    II COUNTRY CCCSU.M II U.$A)
                            (617) 912-8898                                                                            -
        COMPLETE SECTION.C FOR EACH SERVICE. IF MORE BOXESARE.NEEDED,USE CONTINU
                                                                                 ATION SHEETS (FORM 159-C)
                                          SECTION C - PAYMENT INFORMATION
  IMI FCC CAl.I. *)Ol)OTMIA C                       (25*) PAYNINT    TYPI CCCI (FTC)                (1$A)                     ka 4!                       sLocx a5*                         U.s 011.3
  23A(PCC COOS)
                                                I          CIUITI                                  Ii                         J           8(LflO
  Its) FCC CALl. IlOFaJotNtR C                      (its) PAYMINT 77P1 Coot IPYC)                     ss                            p.s 01* PCI iPtc II II.OCK ill
                                                               ii
                                                                                                                                                                                            u.s
 235) FCC COOS)
                                                I                                                                    345)          CCCII
 IIC) FCC CALl. IIO11OTS4IR C                   uSC) PAYMINT TVFI COOS (FTC)                          C)                  - I)C) Pu Ciii PCI (FTC) II ULOC* ac                             U.s CItY
 23C) FCC COCCI
                                                                                                                                   00012
 ISO) FCC CALl. 24UMIOThIA C                    (210) PAY51NT rvPt COOS (FTC)                       210)                      (22O) PU out PCI (Ftc) p. stoci aD                           u.s ONLY
 230) FCC COCCI
                                                                                                                     240)         000(2
                                                SECTION D - TAXPAYER INFORMATION (REQUIRED)
zS
                                                                                                                     25) CCLITE 1145 ILOCX ONLY S AP2UCANT MANS 54 S.II 3 OSk*114T FROM PAYER MANS 54*4)
PAYER TIN
                                        I Dli              3[2 I_6j            7l 16           L7]6 [
                                                                                              S C ON            .
                                                                                                                    EAPPLICANT TIN
                                                                                                                     CERTiFICATION
                                                                                                                                                                                  4. -l          311 18       I o I ol   813
271 CERTIFICATION STATEMIJIT
I,                       Edward J)p-i                 11                                 .   Certify under penalty of perjury that the foregoing and suppdIng information
                            IPAlNINAMC)
                                                                                                                                                                                            </
are true and correct to the best of my knowledg                                                                                                                                                                   _
                                               e, infornation and belief. SIGNATURE C.-'
                                         SECTION F - CREDIT CARD PAYMENT INFORMATION
21)                               MA3TERCARUIV3AAC             lIT NUMUST:
                                                                                                                                                                            UPAT          OATE
        I
                               ________                                                                                                                                HIHMONTh           YEAR
                                                                                               wmOso s.o..*TU**
        1VISA        I Prely aOSa.      MA FCC Is lla.pe       511*5, MAS11RCARO
                     l..Il. 1a..Na(I)iNSaNlls..4$) 11.1,5, IS5Ilid.
                                                                    SEE PUBUC BURDEN ESTIMATE ON REVERSE                                                                FCC FORM 159 JULY 1997 (REVISED)


MIS
 SVYIJ1_t1 btl-u.JN  hrtrr rTlI
                    ',        ..r
             WASHINGTON, DC 20007
                                                                                                                  0101445
                   101445                                09/30/98
            09/30/98        ST093098                P1                                                                   $780 0
                                                                                                                    $780.00
       SWIDLER BERUN SHEREFF FRIEDMAN, LLP
                                                                            FiRST UNION NATIONAL BANK            0101445
                    3000 KSTREET N.W., SUITE300                                                                     NO. 101445
                       WASHINGTON, DC 20007
                                                                                15-1221540
    **EXACTLY***x***780*DOLLARS AND*O0*CEF4-TS
                                                                                             DATE                   AMOUNT
   PAY
                                                                                 09/30/98                        $$S$$780 .00
   TO THE
            FEDERAL COMMUNICATION                                                                       GENERAL ACCOUNT
                                                                                             TWO SIIT-1'WflREQUIREQVE $10,000
   ORDER    COMMISSION
   OF
                                    1   ,   CS   ,.r,cp rr,    3fl,.   fl   Ir,r,C ,




                              CE]IFICAflON OF APPLICAIT
                                                               in accordance with Section 1.2001-
        On behalf of Uniflial Holdings, Inc. ("UniDial") and
                                                             03, I hereby certify that neither UniDial
1.2003 oftb.e Comm LSsiOfl'S Rules, 47 C.F.R. § § 1.2001-1.20
                                                                     is subject to a denial of federal
nor any party to th a Request for Special Temporary Authority
                                                                       Anti-Drug Abuse Act of 1988.
benefits that includc a FCC benefits pursuant to Section 5301 of the
    21 U.S.C. § 85a.
                                                                             agreed to accept any
       Further, I h reby certify that UniDial has neither negotiated for nor
                                                                              on with respect to traffic
concessions, direct y or indirectly, from any foreign carrier or administrati
                                                                          s under the authority
or revenue flow b tween the United States and various international point
                                                                                    the Commission' a
granted under Secti ,n 214 of the Communications Act of 1934, as amended, and
Rules, and has not agreed to enter into such agreements in the future,
                                                                                       al Temporary
      Further, I hex by certify that the statements in the foregoing Request for Speci
 Authority are true, complete, and correct to the     st of y knowledge and are made in good faith.
                                                             HOLDINGS, INC.
                                                 Nat.             n1    if
                                                 Title:            Ord40ctA1
                                                 Date:           14          - -


         On behalf of Metracom Corporation ("Metracom") and in accordance with Section 1.2001-
1.2003 of the Commission's Rule,, 47 C.F.R. §* 1.2001-1.2003, I hereby certi' that neither
Metracom nor any party to this Request for Special Temporary Authority is subject to a denial of
federal benefits that includes FCC benefits pursuant to Section 5301 of the Anti-Drug Abuse Act of
1988.        21 U.S.C. § 853..
         Further, I hereby certify that Metracom has neither negotiated for nor agreed to accept any
concessions, directly or indirectly, from any foreign carrier or administration with respect to traffic
or revenue flow between the United States and various international points under the authority
granted under Section 214 of the Communications Act of 1934, as amended, and the Comxmssion's
Rules, and has not agreed to enter into such agreements in the future.
        Further, I hereby certify that the statements in the foregoing Request for Special Temporary
Authority are true, complete, and correct to the best of my knowledge and are made in good faith.
                                               METRACOM CORPORATION
                                               By:
                                               Name:              _       5h-
                                               Title:_          ,L1            /-
                                               Date:


 READ INSTRUC1IONS CAREFULLY                                                                                                                                                          APPROVED SY 0MB               O63-539
      BEFORE PROCEEDING                                                               FEDERAL COMMUNICATIONS COMMISSION                                                     _________________________________
                                                                                              REMITTANCE ADVICE
                       358115                                                                                             1            1                                    FCCUSEOMLY
(1)LOCKBOX
                                                                                          SECTION A - PAYER INFORMATION
 41 PAYER NAMEI) pyng by cn,dt or), ,rrnr              .oocrIy 4t rI opp*or An yoo.r cord)                                                                           (I rOTAL AMOUNT PAlO 40110,, on) c,nttI
                       Swidler Berlin Shereff Friedman , LLP                                                                                                                    780 . 00
(41 STREET ADDRESS LINE NO I
                       3000 K Street, NW
(5) STREET AOORESS UNE NO.2
                       Suite 300
 6) CIT'1                                                                                                          (7) STATE                                        (0) ZIP COOE
                       Washington                                                                                        DC                                                 20007
 0) 0AY1IME TELEPHONE NUMBER (Inclod. or,. cod.)                                                                   (IS) COUNTRY C000 (4 not fl U.S.A.)
                        (202) 424-7500
                          IF PAYER NAME AND THE APPLICANT NAME ARE DIFFERENT, COMPLETE SECTION B
                               (F MORE THAN ONE APPLICANT, USE CONTINUATION SHEETS (FORM 159-C)
                                                                                      SECTION 9 - APPLICANT INFORMATION
II) APPLiCANT NAME)4 p.ytnq by c,.d,t c.rQ, .nt.r n.s,. ...cily es 0 .ppers on poor card)
                       Metracom Corporation
IS) STREET ADDRESS LINE NO. I
                       210 South Street
II) STREET ADORESS LINE NO.2
                       9th Floor
14)CITY                                                                                                            (l5)STATE                                        )IE)ZJPCOOE
                       Boston                                                                                            MA                                             02111
I?) DAYTIME TELEPHONE NUMBER (Inobod. nose csds)                                                                   (IS) COUNTRY CODEd not,, U.S.&)
                       (617) 912-8898
      COMPLETE SECTIONC FOR EACH SERVICE, IF MORE BOXES ARE NEEDED, USE CONTINUATION SHEETS (FORM 159-C)
                                                                                      SECTION C - PAYMENT INFORMATION
I IA) FCC CALL SIGNIOTHER 0                      (ZEA) PAYMENT TYPE CODE )PTC)                            (21A) QUAN               122A) F    DUE PO   IPTCI IN BLOCK SEA                     FCC USE ONLY
iSA) FCC COOE I
                                             I     C        I ul                      TI                       1         _s
                                                                                                                         S4A) .ZC CODES
                                                                                                                                       780.00                                             I
108) FCC CAL). S)GNIOTHER ID                     (ZUBI PAYMENT TYPE CODE )PTC)                            (218) QUAN     (V        (223) FEE DUE FOR (FTC) IN BLOCK 208                       FCC USE OFd.Y
J38) FCC CODE I
                                            I                             I               I           I                            $
                                                                                                                         24L FCC CODES
                                                                                                                                                                                          I
1 SC) FCC CALL SIGIWOTHER 0                     (20C) PAYMENT TYPE COOE (PTC)
                                                                                                                               I
                                                                                                          121C) QUAN'    V                 FEE DUE FOR )PTC( IN BLOCK 20C                     FCC USE OM.Y
                                            I                                                         I
                                                                                                                                   (22C)
23C) FCC CODE I
                                                                                          I                              SAC) FCC CODE 2
                                                                                                                                                                                          I
190) FCC CAL.). SIGN/OThER ID                   (200) PAYMENT TYPE CODE (PTC)                             (210) QUANTiTY
                                                                                                                               I
                                                                                                                                   (220) PEE DUE FOR (PlC) IN BLOCK 200                       FCC USE ONLY
230) FCC CODE I
                                            I                                             I           I                  240) FCC CODES
                                                                                                                                                                                          I
                                          SECTION D - TAXPAYER INFORMATION (REQUIRED)
25)                                                                                                                      U) COMPLETE THIS BLOCK ONLY IF AP&ICANT NAME (N B-Il IS DIFFERENT FROM PAYER NAME IN A-SI
PAYER TIN                               O                 3 26                7       9       67
                                                                                              SECT ON
                                                                                                           6   [ fAPPLICANT TIN
                                                                                                                     -   CERTIFICATION
                                                                                                                                                                            o       4 1-             3 11 1 8   l (o 1 3
                                                                                                                                                                                                                    18
27) CERTIFICATION STATEMENT
I,                    Edward Quill                                                        , Certify under penalty of perjury that the foregoing and supportinciTormation
                                (PRINT NAME)
are true and correct to the best of my knowledge, infomation and belief.
                                                                                                                                               .
                                                                                                                                                   SIGNATURE _oo<
                                                                                                                                                                     cOT
                                                                                                                                                                                      ,__2_             _-:i _
                                                                          SECTION F           -   CREDIT CARD PAYMENT INFORMATION
20)                             MASTERCARON1SA ACCOUNT NUMBE                                                                                                                    EXFIRATION DATE:
IMASTERCARD
                                _________________
                                                                                                                                                                            MONTH
                                                                                                                                                                                          I     YEAR
-      1                                                                                          AUTHORIZED SIGNATURE                                                             DATE
           VISA    I hereby aothonzs Is. FCC to charge rtny VISA or MASTERCARD
                   Ion Ihe s.rvic.I,)/authonzal,ons)s) Prnr.in described.         .
                                                                  SEE PUBLIC BURDEN ESTIMATE ON REVERSE                                                                     FCC FORM 159 JULY 1997 (REVISED)



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

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