Proposed Transaction

According to the application, IBFA and Telava intend to execute a Membership Interest Purchase Agreement, in which Telava will purchase from IBFA all of its membership interests for cash. As a result, IBFA will become a direct, wholly-owned subsidiary of Telava.

IBFA will continue to hold its CPCN authorizing the provision of limited facilities-based and resold local exchange and interexchange telecommunications services in California.

Applicants represent that this change in ownership is in the public interest and will not harm the provision of telecommunications services by IBFA, and will benefit the customers of IBFA.

Applicants further represent that the transaction will be transparent to customers. There will be no change in the name or day-to-day management of IBFA because the transaction will affect only the corporate structure of the company. Customers will continue to receive service from IBFA under the same rates, terms, and conditions after the transaction is approved.