Immediately after its annual general meeting yesterday TeleBermuda International Ltd. (TBI) shares were suspended pending an announcement from the company.

There was no announcement from TBI, Bermuda's second long distance carrier, as of press time.

The suspension is believed to be in relation to shareholder approval for a corporate restructuring that will make the TBI a subsidiary of a new exempted company.

The reorganisation means current shareholders of TBI will give up their shares for similar holdings in the new exempted company, to be named GlobeNet Communications Group Ltd.

The shareholders' meeting is being convened under the direction of the Bermuda Supreme Court.

In a previous statement company vice-chairman and general manager Jeff Conyers said the restructuring will help TeleBermuda International expansion.

In April the company entered into an agreement with an unnamed third party to establish Rocom TBI Ltd. as a joint venture in the UK. Under the agreement TeleBermuda International (UK) Ltd. will be used for carrying on the operations of the joint venture. TBI has advanced almost $1 million as its part in funding the joint venture.

Both companies have also subscribed to about $1.56 million in non-interest bearing intercompany loans due for repayment in 2002.

TBI's other subsidiaries include US based TeleBermuda International, LLC and TeleBermuda International (Canada) Ltd. TeleBermuda International in the US holds the company's fibre optic landing licence and facilities. The Canadian company provides management services.

TBI chairman Mike Kedar has said he wants to make Bermuda a telecommunications route which global carriers can use to avoid taxes on their international operations.

He is working on company projects in the UK, Canada, Italy, Germany and France.

In its second year of operation long-distance telecommunications provider TeleBermuda International Ltd. (TBI) lost $5.28 million, or $1.51 a share.