The board of directors at CompuServe has turned down a bid by America Online (AOL) to purchase the online service. Apparently, AOL was offering CompuServe about $1 billion. With AOL out of the way, new investors are lining up, including a New York investment firm that will attempt to outbid AOL.

CompuServe has fallen on hard times lately with falling subscriber numbers and flat earnings. Last quarter, the company posted a $18 million loss