Qwest Communications International Inc., Denver, today increased the...

Qwest Communications International Inc., Denver, today increased the amount it is willing to pay in its unsolicited stock and cash bids for U S WEST and Frontier Corp. The company also offered to use more cash in an attempt to allay shareholder concerns about the initial bid’s dilutive effects on the stock. U S WEST and Frontier have already accepted an acquisition bid from Global Crossing Ltd. that would pay about $63 a share. Qwest CEO Joseph P. Nacchio said his board will offer $20 cash and $48 in Qwest stock for each Frontier share and $69 in Qwest stock for each share of U S WEST. The revised offering represents a 12.9% premium to the value of U S WEST’s proposed merger with Global Crossing and a 21.1% premium to Frontier’s agreement with Global Crossing, based on yesterday’s market close. The new offer also contains a collar, which would set a floor on the price of Qwest stock that U S WEST and Frontier would receive in the deal. It also will contain more cash to reduce the bid’s dilutive effect on Qwest’s stock.