Assignment of Proceeding

Carl W. Wood is the Assigned Commissioner and Jeffrey P. O'Donnell is the assigned Administrative Law Judge in this proceeding.

Findings of Fact

1. By D.99-07-036 and D.99-12-048, LGE was granted a CPCN to operate in California as a limited facilities-based and resale provider of local exchange and interexchange services.

2. As a result of the transaction, TSI will own the CPCN and intellectual assets of LGE.

3. LGE has no customers.

4. There will be no change in rates, terms, or conditions of service due to the proposed transaction.

5. TSI has sufficient financial resources to meet the Commission's requirements to provide facilities-based and resold local exchange and interexchange services

6. TSI possesses the necessary technical expertise required by the Commission.

7. Notice of this application appeared on the Commission's Daily Calendar on December 6, 2002.

8. There were no protests to this application.

9. No hearings are necessary.

Conclusions of Law

1. In a situation where a company that does not possess a CPCN desires to acquire the CPCN of a company that does possess a CPCN, the Commission will apply the same requirements as in the case of an applicant seeking a CPCN to exercise the type of authority held by the company whose CPCN is being acquired.

2. TSI meets the Commission's requirements for the issuance of a CPCN to provide limited facilities-based and resold local exchange and interexchange telecommunications services.

3. The transaction is in the public interest.

4. In order to avoid delaying this transaction, the approval of the application should be made effective immediately.

ORDER

IT IS ORDERED that:

1. Pursuant to Pub. Util. Code § 854, the joint application of Local Gateway Exchange, Inc. (LGE) and Telephone Service Incorporated (TSI), which will do business in California as Friendlylec, for approval of the acquisition of the intellectual assets of LGE, including its Certificate of Public Convenience and Necessity, by TSI is approved.

2. TSI shall file tariffs reflecting the acquisition approved herein. The tariffs shall be effective not less than one day after approval by the Commission's Telecommunications Division. TSI shall not offer service to customers until its tariffs are effective, and shall comply with its tariffs.

3. TSI shall comply with all applicable rules adopted in the Local Exchange Competition proceeding (Rulemaking 95-04-043/Investigation 95-04-044), the Commission's rules and regulations for non-dominant interexchange carriers set forth in Decision (D.) 93-05-010 and D.90-08-032, as well as all other applicable Commission rules, decisions, General Orders, and statutes that pertain to California public utilities, subject to the exemptions granted in D.99-07-036 and D.99-12-048.

4. This application is closed.

This order is effective today.

Dated April 17, 2003, at San Francisco, California.

Previous PageTop Of PageGo To First Page