THE CORPORATE LIBRARY

Related Party Transactions and Outside Related Director Information

MCI, Inc. (Retired) (MCIP.X)

4/20/2005 Proxy Information

Certain of the directors, executive officers and 5% stockholders or their affiliates have engaged in related party transactions with the Company during 2004. These are described below:

Mr. Laurence Harris, a director of the Company, was a partner in the law firm of Patton Boggs LLP (“Patton Boggs”) during 2004. As of December 31, 2004, Mr. Harris was “of counsel” for the firm. The total cost of various legal services provided by Patton Boggs in 2004 was approximately $1 million. Mr. Harris does not share in any of the fees received by Patton Boggs from the Company.

During the year ended December 31, 2004, the Company entered into numerous transactions in the ordinary course of business with Telefonos de Mexico, S.A. de C.V. and its subsidiaries (“Telmex”), a company controlled by Mr. Carlos Slim Helu, a significant stockholder of the Company. Telmex is a leading provider of telecommunications services, primarily in Mexico. As a result of these transactions, the Company recognized revenue of approximately $31 million and incurred expenses of approximately $197 million during the year ended December 31, 2004. The services provided to Telmex include telecommunication services.

Daniel Crawford, Acting President—International & Wholesale Markets during 2004, was, until July 23, 2004, Chairman of the Board of Directors of Embratel Participacoes S.A. (“Embratel”). When the Company sold its ownership interest in Embratel in July 2004, Mr. Crawford resigned from the Board of Directors of Embratel and has no further relationship with Embratel as an officer or director. The Company has continued to maintain a commercial relationship with Embratel since the sale, and continues to utilize Embratel to serve its customers’ communications needs in Brazil. During 2004, the total cost of services provided by Embratel was approximately $29 million and the total revenues for services provided to Embratel by the Company were approximately $15 million.

Certain directors of the Company are affiliated with various entities that purchase the Company’s voice, data and Internet telecommunications services. These purchases were made in the ordinary course of business and the directors do not have any involvement in the selection of the Company as a provider of these services.

4/29/2004 10K Information

On June 30, 2000, we entered into a Sponsor Credit Agreement with Avantel and Banco Nacional de Mexico S.A. whereby we loaned $96 million to Avantel. Interest is payable quarterly at the rate of London Interbank Offered Rate (“LIBOR”) plus 3%. In June 2001, we determined that a portion of the loan was not recoverable and reduced the receivable to fair value of $48 million. The difference between the carrying value and fair value was charged to selling, general and administrative expense in the consolidated statement of operations. In addition, we were due approximately $17 million in accrued interest from June 30, 2000 to December 31, 2002. During 2002 and 2001, approximately $1 million and $4 million, respectively, which represented 50% of each interest payment, was charged to selling, general and administrative expense. At December 31, 2003 and 2002, the outstanding receivable balance, including accrued interest, was $27 million and $57 million, respectively. In 2003, in accordance with EITF 98-13 “Accounting by an Equity Method Investor for Investee Losses When the Investor has Loans to and Investment in Other Securities of the Investee,” we decreased the note receivable by $30 million as a result of equity losses in excess of our initial investment value.

Laurence Harris, one of our directors, is a partner in the law firm Patton Boggs LLP. The total cost of various legal services provided by Patton Boggs in 2003 was approximately $770,000, of which approximately $181,000 was payable as of December 31, 2003. We believe that the fees paid to Mr. Harris’s firm are normal and customary in amount and scope for the work performed and are similar to that paid by other clients.

Eric Holder, one of our directors, is a partner in the law firm Covington & Burling. During 2003, we provided telecommunications services to Covington & Burling in the amount of approximately $152,000, of which approximately $48,000 was due to us as of December 31, 2003.

Mark A. Neporent, one of our directors, is the Chief Operating Officer and General Counsel of Cerberus Capital Management, L.P. We provided telecommunications services to Cerberus Capital Management, L.P. in the amount of approximately $209,000 during 2003, of which approximately $30,000 was due to us as of December 31, 2003.

4/22/2002 Proxy Information

Mr. Aycock served as Secretary of WorldCom (known as MCI, Inc. since April 2004) from 1987 to 1995 and was the Secretary and Chief Financial Officer of Master Corporation from 1989 until 1992.