WorldCom's

board unanimously voted to eliminate its tracking stock structure, a move that should lead to savings of $284 million a year thanks to the elimination of the

MCI Group

(MCIT)

dividend.

WorldCom currently has two tracking stocks, one for MCI and the other for the

WorldCom Group

(WCOM)

.

"By eliminating our tracking stocks we will build on our cash position and simplify our corporate structure, benefiting the investment community," John Sidgmore, WorldCom's president and chief executive, said in a press release. "It also builds on our ability to invest in key areas that will benefit WorldCom and its customers.

On July 12, each MCI common share outstanding will be converted into 1.3594 WorldCom Group common shares.