WorldCom

(WCOEQ)

filed a reorganization plan in bankruptcy court, saying more than 90% of its creditors had agreed to a blueprint in which the telecommunications company would emerge newly christened with about $4 billion in net debt. As is generally the case in bankruptcy reorganizations, however, its former stockholders will end up with nothing.

The company, which is now called MCI, also named Robert Blakely, who engineered

Tenneco's

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dizzyingly complicated turnaround, to the position of chief financial officer, succeeding Victoria Harker, who'd held the position on an acting basis.

WorldCom, once the pre-eminent New Economy telecom carrier, filed for chapter 11 bankruptcy protection last July with about $40 billion in debt. The already struggling company was sunk when a massive accounting scandal came to light, costing Chief Executive Bernard Ebbers and his CFO, Scott Sullivan, their jobs.

Sullivan has been indicted on fraud and conspiracy charges. Four former WorldCom executives have pleaded guilty to taking part in the scheme and are cooperating with authorities.

The reorganized company expects to emerge from bankruptcy later this year. In addition to dropping its tarnished name, the company is moving its headquarters to Ashburn, Va., from Clinton, Miss. The company's wholesale business will be sub-branded as UUNET.

The quick reorganization comes only four months after the hiring of CEO Michael Capellas, who also oversaw an $80 billion asset writedown, heavy job cuts and, most recently, a return to profitability in January.