New York firm buys into Iowa phone company

A New York investment firm is purchasing 12-percent of the McLeodUSAtelephone company of Cedar Rapids. McLeod spokesman Bruce Tiemann says thestock purchase by the Forstman and Little firm is worth one-Billion dollars.Tiemann says the company currently provides services such as long distance,voice mail and internet access to customers in 11 Midwest and Rocky Mountainstates. He says they want to add ten more cities.The Forstman investment firm will gain two seats on the McLeodUSA Board ofDirectors.McLeodUSA has 71-hundred employees nationwide with approximatelythree-thousand in Iowa.