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The race for MCI Communications is over. MCI's board has approved a US$37 billion takeover offer from WorldCom, far in excess of rival offers from BT and GTE. The merger will create a company with a market capitalization of US$60 billion and revenues of US$32 billion. Some of the world's leading banks and law firms assembled to advise on the deal.

• Geoffrey Howe, managing partner of UK firm Clifford Chance, is stepping down later this year to take up his new position of general counsel at merchant bank Robert Fleming.

Pragmatism has prevailed at last. The UK's House of Lords has rejected Charge Card and acknowledged the reality of charge-backs under English law. By Geoffrey Yeowart of Lovell White Durrant, London

Canadian financing company Newcourt Credit Group will buy AT&T Capital for US$1.6 billion. AT&T span-off its financing arm last year to concentrate on its core telecoms business. Nomura, the Japanese investment bank, acquired 98% of the company. CIBC Wood Gundy is lead underwriter.

An October Decree removes many of the disadvantages of France's FCCs as securitization vehicles. The reform should boost the French and the European securitization markets. By Richard Parolai and Jonathan Lewis of Clifford Chance, Paris

US firm Covington & Burling and French firm August & Debousy have entered into an exclusive cooperation agreement. The announcement, made in Paris this month, followed the approval of the exclusive referral relationship licence by the French Bar earlier in the year. The arrangement is part of a growing international strategy for the firms. "It was a joint initiative," says Jonathan Blake, partner at Covington & Burling in Washington. "We knew each other previously through working for the same clients. It was the natural outgrowth of personal and professional relationships." Covington & Burling has already had US lawyers working in August & Debousy's Paris office. Covington also has foreign offices in London and Brussels.

Shares of China Telecom raised HK$30.3 billion in a dual listing on the Hong Kong and New York stock exchanges. The deal is China's largest listing to date. Hong Kong-based investors bought almost 50% of China Telecom shares. The company offers mobile services in the Guangdong and Zhejiang provinces. US firm Sullivan & Cromwell advised on US law to the issuer. General corporate partners Chung Wei and Robert Delamater led the firm's team.

In a circular letter the Spanish National Securities Market Commission (CNMV) sets guidelines on the information barriers or Chinese Walls established in entities acting or advising on investment in the securities markets. This is to prevent the uncontrolled flow or improper use of confidential information generated in another part of the advising company.

The Italian government has sold 44.7% of its stake in Telecom Italia. The US$13 billion deal included a private offering of US$3.1 billion to stable shareholders and an offering of $US10 million in the international and Italian markets, including an SEC registered public offering in the US. Davis, Polk & Wardwell advised Telecom Italia. Partner Patrick Kenadjian led the team from the Frankfurt office. Of counsel Jeffrey Oakes advised on securities and capital markets matters from London.

US firm Cleary, Gottlieb, Steen & Hamilton is to open an Italian office in early 1998. Based in Rome, the office will have about eight lawyers, both US and Italian qualified recruited from its other European offices. Cleary Gottlieb will be only the third US firm to open in Italy. However, the decision reflects the growing interest of many US and UK firms in Italy. Ned Stiles, partner ofa firm in Washington, sees the move as a natural progression: "We have a significant amount of business in Italy already, and our assessment was that it was right [to open an office]."