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AOL-TWX: round three
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August 15, 2000: 6:52 a.m. ET
Federal regulators intensify their scrutiny of media marriage plans
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NEWYORK (CNNfn) - Federal regulators have zeroed in on key issues about the proposed America Online Inc.-Time Warner Inc. merger - and they've also raised some new concerns in questionnaires sent to both companies, the Wall Street Journal reported Tuesday.
 Unlike earlier versions of generalized probes into the deal, the Federal Communications Commission (FCC) drilled down to very specific concerns in this latest round of questioning, the Journal said.
Among other issues, federal regulators would like to know whether the merged company would give competitors access to AOL's (AOL: Research, Estimates) instant-messaging network, and whether the company would open cable pipelines to third-party Internet-service providers, the newspaper reported.
The FCC's latest request is its third related to the proposed merger. The agency is asking for documents supporting Time Warner's (TWX: Research, Estimates) stated intent to break the exclusive contract it enjoys with high-speed Internet access provider Road Runner, and information on companies supplying competing instant-messaging services, the Journal said.
 Separately, the Journal reported that Time Warner Inc. might have to swallow a $200-million to $300-million, one-time charge related to their restructuring proposal for their high-speed Internet access service Road Runner. That report came from documents the company filed with U.S. securities regulators, the Journal said.
AT&T Corp. (T: Research, Estimates), one of a group of partners in Road Runner, must divest itself of its stake in the venture in order to get the regulatory green light on its acquisition of MediaOne Group, Inc., the paper said.
*Time Warner, which retains its stake in the venture, reportedly plans to end Road Runner's exclusive agreement to provide high-speed Internet access through Time Warner cable systems as a condition of any Time Warner-AOL merger, the Journal noted.
* Time Warner is the parent company of CNNfn.com 
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