Before the FEDERAL COMMUNICATIONS COMMISSION Washington, D.C. 20554 DA 97-2389 In the Matter of ) ) ATLANTIC GATEWAY, INC. ) ) Application for authority, pursuant to ) File No. ITC-97-493-TC Section 214 of the Communications Act ) of 1934, as amended, to transfer control ) of an authorized international carrier. ) MEMORANDUM OPINION. ORDER AND AUTHORIZATION Adopted: November 13, 1997 Released. November 17, 1997 By the Chief, Telecommunications Division: 1. Interoute Telecommunications PLC (Interoute) and Rainbow Telecom Inc. (Rainbow), pursuant to Section 214 of the Communications Act of 1934, as amended, submitted the above-captioned application requesting authority to transfer control of Atlantic Gateway, Inc. (AGI) from Interoute (Transferor) to Rainbow (Transferee). The application was placed on public notice on September 3, 1997. No comments were received. 2. AGI has been granted global authority pursuant to Section 214 of the Communications Act of 1934, as amended, to provide facilities-based and resale services between the United States and international points. 1 Transferor, a United Kingdom corporation, and Transferee, a Canadian corporation, hold no Section 214 authority. Pursuant to the proposed transaction, Interoute will transfer 75% of the stock of AGI to Rainbow, and will remain as a 25% minority owner. Rainbow is affiliated with a Canadian communications carrier which provides resale services only, and owns no facilities, either domestic or international. 3. Upon consideration of the application and in view of the foregoing, we conclude that consent to transfer control of AGI from Interoute to Rainbow will serve the public interest, convenience and necessity. 4. Accordingly, IT IS ORDERED that the application of Interoute and Rainbow, File No. ITC-97-493-TC IS GRANTED, and the transfer of control of AGI from Interoute to Rainbow is authorized. See File No. ITC-97-121, FCC Public notice Report No. 1-8218, April 7, 1997. 19437 5. IT IS FURTHER ORDERED that all terms and conditions of any Commission orders granting authority to AGI to provide common carrier services remain in effect. 6. This Order is issued under Section 0.261 of the Commission's Rules and is effective upon adoption. Petitions for reconsideration under Section 1.106 or applications for review under Section 1.115 of the Commission's Rules may be filed within 30 days of the date of public notice of this Order (see Section 1 .4(b)(2)). FEDERAL COMMUNICATIONS COMMISSION J. Cornell Chief, Telecommunications Division International Bureau 19438