INCOMNET STRIKES AGREEMENT TO AVOID FINANCIAL COLLAPSE.Byline: Ben Sullivan Daily News Staff Writer Investors responded positively Monday to news that long-distance telephone services marketer Incomnet Inc. has reached a tentative tentative, adj not final or definite, such as an experimental or clinical finding that has not been validated. agreement with its top shareholder that could stave off stave n. 1. A narrow strip of wood forming part of the sides of a barrel, tub, or similar structure. 2. A rung of a ladder or chair. 3. A staff or cudgel. 4. Music See staff1. the company's financial collapse. Investors sent shares in the beleaguered be·lea·guer tr.v. be·lea·guered, be·lea·guer·ing, be·lea·guers 1. To harass; beset: We are beleaguered by problems. 2. To surround with troops; besiege. telecom firm up 96 percent, or 84.375 cents, to close at $1.71875. More than 540,000 Incomnet shares traded hands, or roughly double the issue's three-month average daily volume. Incomnet President Melvyn Reznick said that under terms of the agreement, which must still be formalized for·mal·ize tr.v. for·mal·ized, for·mal·iz·ing, for·mal·iz·es 1. To give a definite form or shape to. 2. a. To make formal. b. , most of the company's board of directors will resign, including Reznick himself, who serves as chairman. Replacing them will be a four-member board made up of John Casey John Casey may refer to:
In return for the changes, Casey will seek new financing for Woodland Hills-based Incomnet. The company has accumulated ac·cu·mu·late v. ac·cu·mu·lat·ed, ac·cu·mu·lat·ing, ac·cu·mu·lates v.tr. To gather or pile up; amass. See Synonyms at gather. v.intr. To mount up; increase. significant debt, primarily to its main telecom services provider, WorldCom Network Services. WorldCom must approve the Casey deal before it can go into effect, but officials at the international carrier declined to comment on the agreement. Incomnet markets long distance telephone service to customers through its National Telephone & Communications subsidiary. Reznick did not return telephone calls requesting comment on what will happen to Incomnet if the deal does not go through. |
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