US Justice Department OKs BT's MCI buyout

The U.S. Department of Justice announced on Monday it has conditionally approved British Telecommunications PLC's $20 billion-plus buyout of MCI Communications Corp. -- the largest takeover of a U.S.-based company by a foreign concern. The merger would create the world's second-largest long-distance carrier, behind AT&T Corp.

The Federal Communications Commission still has to weigh in on the merger. The European Union gave its blessing to the union in May, and BT and MCI shareholders have also signaled their approval.

The companies expect to complete the deal this autumn.