ROANOKE TIMES 
                      Copyright (c) 1996, Roanoke Times

DATE: Thursday, April 25, 1996               TAG: 9604250025
SECTION: BUSINESS                 PAGE: B-6  EDITION: METRO 
DATELINE: ATLANTA

BELLSOUTH HAS SUITOR IN MCI, PAPER SAYS

The second phone business mega-merger has spurred a spate of rumors, the latest concerning merger talks between BellSouth Corp. and MCI.

Financial Times, the London-based daily, has reported that the long-distance company is looking to team with Atlanta-based BellSouth, one of three Baby Bells that remain independent after the Bell Atlantic-Nynex pact announced Monday.

``Of the three, Ameritech is the most robustly committed to independence, US West could probably use a partner and BellSouth is rumored to be looking at a merger with MCI,'' the Financial Times wrote.

Officials at MCI and BellSouth declined to comment.

BellSouth Chairman, President and CEO John Clendenin said Monday that the $18 billion-a-year company is already big enough to compete. Clendenin said changes in law and technology make combinations possible but not inevitable.

``There are a number of companies that are capital-starved. [But] we are not inclined to take advantage of just any opportunity.''

MCI President Gerald Taylor expressed reservations Monday about the recent mergers, arguing that an opening of local markets should come first.

BellSouth is parent of BellSouth Communication Systems of Roanoke.

- Cox News Service

LENGTH: Short :   33 lines