WorldCom's Europe stock tumbles

NEW YORK (CNN/Money) -- WorldCom's after-hours share price crash extended into Europe on Wednesday, following the telecommunications company's restatement of financial results by as much as $3.8 billion, a move that could speed a filing for bankruptcy.

It has fired its chief financial officer, Scott Sullivan, and said it will slash 17,000 jobs by Friday, part of a plan to save $2 billion as the company struggles to survive.

WorldCom, a former success story of the 1990s whose share once traded above $64, tumbled in Frankfurt by 77 percent to 0.21 euros, extending the New York-listed share's 58 percent after-hours fall.

The company said an internal audit showed that transfers of $3.055 billion for 2001 and $797 million for first quarter of 2002 were not made in accordance with generally accepted accounting principles.

WorldCom said restating these improper transfers would cut earnings by $6.339 billion for 2001 and $1.368 billion for first quarter 2002.