DOCKET UT-971764 Page 1 BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION Joint Application of ) ACCESS NETWORK SERVICES, Inc., and ) DOCKET UT-971764 SHARED TECHNOLOGIES FAIRCHILD, INC., ) for Approval of the Transfer of Control ) ORDER GRANTING of ACCESS NETWORK SERVICES, INC., to ) APPLICATION INTERMEDIA COMMUNICATIONS INC., ) . . . . . . . . . . . . . . . . . . . . ) On December 15, 1997, Access Network Services, Inc. (ANSI), Shared Technologies Fairchild, Inc.(STFI), and Intermedia Communications, Inc.(ICI), jointly filed an application with the Commission under the provisions of chapter RCW 80.12 and chapter WAC 480-143 for an order approving the transfer of control of ANSI from STFI to ICI. ANSI was registered as a telecommunications company in Docket UT-951000. The order authorizing registration was based upon ANSI providing resold direct dial long distance services. STFI is the parent company of Shared Technologies Fairchild Communications Corp., which, in turn, is the parent company of ANSI. ICI was authorized to provide services as a telecommunications company in Docket UT-961229. ICI was authorized to provide resold direct dial long distance services. ICI and STFI entered into a definitive Agreement and Plan of Merger pursuant to which ICI will acquire STFI by purchasing all of the company's outstanding shares. Since STFI is the ultimate parent company of ANSI, the acquisition of STFI by ICI will result in a transfer of ultimate control of ANSI to ICI. The transfer of control will be accomplished through use of a reverse triangular merger whereby a newly formed, special purpose subsidiary of ICI, Moonlight Acquisition Corp., will be merged with and into STFI. STFI will be the surviving entity, and will thereafter be a wholly owned subsidiary of ICI. ANSI will continue to exist as a wholly owned subsidiary of STFI. The merger of STFI and ICI is defined in the Agreement and Plan of Merger filed as part of the application. After the transfer of control, ANSI will survive for an indefinite period as a wholly owned subsidiary of STFI, and STFI will be a subsidiary of ICI. ANSI will continue to operate as it has in the past, pursuant to the same name, tariff, and operating authority. The transfer of control will be seamless and will have no adverse impact on ANSI's customers in Washington. FINDINGS THE COMMISSION FINDS: 1. Access Network Services, Inc., is a public service company subject to regulation by this Commission, under the provisions of chapters, RCW 80.12 and RCW 80.36. 2. Intermedia Communications Inc., is a public service company subject to regulation by this Commission, under the provisions of chapters, RCW 80.12 and RCW 80.36. 3. As to form, the application filed herein meets the requirements of chapter RCW 80.12 and the rules and regulations of the Commission adopted pursuant thereto. 4. The proposed transfer of control is not inconsistent with the public interest and should therefore be approved under the terms and conditions of this order. O R D E R THE COMMISSION ORDERS: 1. After the effective date of this order and subject to the conditions hereof, Shared Technologies Fairchild Inc., is hereby authorized to transfer control to Intermedia Communications Inc., in accordance with the Agreement and Plan of Merger filed as part of the application herein. 2. Prior to exercising the above authorized transfer of control, Intermedia Communications Inc., will file with the Commission true copies of the instruments of the merger that were executed pursuant to this order. 3. This order shall in no way affect the authority of this Commission over rates, service, evaluations, or accounts that may come before it, nor shall anything herein be construed as an acquiescence in any estimate or determination of cost or any valuation of property claimed or asserted. DATED at Olympia, Washington, and effective this 28th day of January, 1998. PAUL CURL, Acting Secretary