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YOU'VE GOT FEDERAL INQUIRY!
Info Request From FCC Could Delay Merger
March 9, 2000

Just when it looked like things were falling into place for the planned merger of America Online and Time Warner, the Federal Communications Commission has written the two companies for additional information on the deal. While it’s unlikely that the FCC would nix the merger, the commission could significantly delay the process through its inquiry. Consequently, AOL and TW are scrambling to give the Feds what they want ASAP.

“We look forward to providing the commission with additional information about our merger and the consumer benefits it will bring,” said an AOL spokeswoman. “We're also looking forward to providing the commission with 500 free hours of AOL, if you know what I mean.”

Two weeks ago AOL chairman Steve Case and Time Warner chairman Gerald Levin spoke before the the Senate Judiciary Committee immediately after issuing a memorandum stating that the combined AOLTW would make its substantial cable holdings available to competing Internet service providers. The move seemed to appease the committee, but apparently it wasn’t enough for the FCC to green light the merger.

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