DF 98-175 WINSTAR WIRELESS, INC. AND WINSTAR WIRELESS OF NEW HAMPSHIRE, INC. Application of WinStar Wireless, Inc. and WinStar Wireless of New Hampshire, Inc. for Authority to Merge and for Consolidation and Reissuance of License Order Approving Intra-Corporate Transfer of Control O R D E R N O. 23,099 January 5, 1999 On October 1, 1998, WinStar Wireless, Inc. (WWI) and WinStar Wireless of New Hampshire, Inc. (WWNH) both Delaware corporations (Petitioners), filed with the New Hampshire Public Utilities Commission (Commission), a joint petition (Petition) for approval of an intra-corporate transfer whereby: (1) WWNH will merge into WWI; and (2) WWNH's authority to conduct business in the State of New Hampshire as a telecommunications public utility will transfer to WWI. WWI is the corporate parent of WWNH and, through its subsidiaries, WWI provides private line and switched local and interexchange services throughout the United States. WWNH received interexchange carrier authority on April 7, 1997 (No. IXC19297). WWNH received competitive local exchange authority in DE 97-077 (July 8, 1997) by Order No. 22,648. The Petitioners stated that there will be no operational changes as a result of the merger. The Petitioners represent that the transfer of control will be essentially transparent to the customers, as they propose to adopt the existing tariff rates and services currently on file with the Commission by WWNH. In addition, the Petitioners filed updated financial statements of WWI which demonstrate current financial competence. Finally, the Petitioners anticipate achieving economic efficiencies from the transfer which WWI believes will enhance its competitiveness. We find the merger of WWNH into WWI, and the transfer of authority from WWNH to WWI, will result in no net harm, which is the standard by which we evaluate merger petitions. See Re Eastern Utility Associates, 76 NHPUC 236 (1991). The transfer of control may in fact produce net benefits to WWNH's customers and ratepayers. We will, therefore, approve the Petition. Based upon the foregoing, it is hereby ORDERED, that the Petition for approval of the merger of WWNH into WWI and the transfer of authority from WWNH to WWI is GRANTED; and it is FURTHER ORDERED, that WWI file a properly annotated compliance tariff title page adopting the tariff of WWNH in accordance with NH Admin. Rules, Puc 1603.02, on or before the fourth day of February, 1999. By order of the Public Utilities Commission of New Hampshire this fifth day of January, 1999. Douglas L. Patch Susan S. Geiger Nancy Brockway Chairman Commissioner Commissioner Attested by: Thomas B. Getz Executive Director and Secretary