Sprint's Long-Distance, Internet Holdings May Be Sold

In an attempt to assuage antitrust regulators' concerns over its planned $115 billion deal to buy Sprint (FON Quote), WorldCom (WCOM Quote) may sell off parts of Sprints' businesses, The New York Times reported Thursday.

The company is currently in negotiations with the Justice Department's antitrust team. At the same time, the deal is under review by the European Commission's competition ministry.

The proposed merger was announced last year, and it was clear from the beginning that the company would at least have to shed Sprint's Internet business to pacify regulators. Now it appears that the combined company will have to further scale down to meet regulatory approval both in the U.S. and Europe, including shedding Sprint's long-distance business.