Table: The Rise and Fall of Excite@Home
After the broadband Internet access provider @Home merged with portal Excite in 1999, its stock price soared to almost $95, and its market cap topped $40 billion. Today, the company is in ruins, and the shares are trading for 3 cents. Here's its sad saga:
Tele-Communications Inc. and John Doerr of Kleiner Perkins establish @Home to provide broadband Net access over cable-TV networks. Cable companies Cox and Comcast become investors the next year.
@Home launches its service in Fremont, Calif.
@Home goes public, at a split-adjusted $5.25 a share.
JAN. 19, 1999
@Home announces it will acquire Excite for $7 billion in stock.
MAR. 9, 1999
AT&T closes its TCI acquisition, gaining a 58% voting stake in @Home.
APR. 12, 1999
The company's stock hits an all-time high of $94.66--as investors anticipate the combination of Excite's content and @Home's broadband service will create an America Online for the next generation of the Internet.
DEC. 6, 1999
Excite@Home hits 1 million broadband subscribers, twice as many as the competing Road Runner service and 10 times as many as the largest telephone competitor.
JAN. 20, 2000
Bell takes over as CEO from Jermoluk, who remains chairman.
SEPT. 19, 2000
With the company's shares dragged down to $16 in the tech-stock collapse, Bell announces plans to find a replacement CEO.
At AT&T's request, Bell hires Eslambolchi, an AT&T veteran who spends millions to improve the quality of Excite@Home's network.
APR. 17, 2001
The company announces that it will miss its financial targets for the rest of the year and that it needs to raise $75 million to $80 million by June 30 to continue funding its operations.
APR. 23, 2001
Patti S. Hart is named chairman and CEO. Bell resigns.
JUNE 11, 2001
The company raises $100 million by issuing convertible debt to a group led by Promethean Capital Group.
JUNE 19, 2001
The company raises $85 million from AT&T. Separately, Cox and Comcast say that, as of Dec. 4, they plan to stop using Excite@Home as the exclusive provider of their broadband Net service, a move that could eliminate 30% of the company's customers.
JULY 23, 2001
Excite@Home says it needs to raise even more money to survive through the end of the year.
AUG. 20, 2001
In an SEC filing, auditor Ernst & Young says there is "substantial doubt" the company can continue as "a going concern."
SEPT. 28, 2001
The company files for Chapter 11 bankruptcy protection.
NOV. 28, 2001
The bankruptcy court approves the sale of most of the assets of the Excite portal to InfoSpace for $10 million.
NOV. 30, 2001
A bankruptcy judge rules that Excite@Home may cut off service to AT&T and other cable outfits.