Nynex Corp needed a waiver from the US Justice Department by July 1 if it was to take up its option to hold the US end of Cable & Wireless Plc’s PTAT-1 fibre-optic transatlantic telephone cable (CI No 962) – and it was not forthcoming. As a result, its option has lapsed, its $10m deposit is likely forfeit, and Cable & Wireless needs a new partner to hold the US end of the system. Nynex was the preferred partner because of its strategic position serving the financial district in New York which generates so much of transatlantic phone traffic, but Cables sees no shortage of potential partners and is now expected to make eyes at MCI Communications Corp and US Sprint Communications. Pacific Telesis may not now be able to invest in the PPAC-1 Pacific cable, but its stake was to be small.
