Mexico? i guess this is a good idea:
news.com
BESTEL SELLS DARK FIBER TO GLOBAL CROSSING
Business Wire
June 11, 1999, 8:18 a.m. PT
Business Editors and Telecommunications Writers
MEXICO CITY--(BUSINESS WIRE)--June 11, 1999--BESTEL, S.A. de
C.V., a long-distance service provider in Mexico and the United
States, announced today the signing of $53 million sale of dark fiber
to Global Crossing, LTD (Nasdaq:GBLX).
The sale provides Global Crossing four dark fibers throughout
Bestel's existing network in Mexico and along new routes to be
constructed in the western and central parts of the country.
"This is a significant event for Bestel," said Cristobal Canales,
CEO of Bestel. "Global Crossing's selection of Bestel as its Mexican
partner affirms the quality of our network and builds on our unique
position in the market as the only carrier's carrier with one of the
largest fiber networks in the country."
Global Crossing Vice President for Latin America, Joe Guzman,
stated, "We evaluated all the potential partners for our Mexican
network and selected Bestel based on their quality and flexibility.
Global Crossing is focused on being the predominate provider of fiber
optic connectivity around the world. Bestel proved they are the best
choice for us in Mexico."
Bestel's Mexican network extends nearly 2300 kms, from Nuevo
Laredo, at the US/Mexican border, southward through the major business
and population centers of the country, including Mexico City,
Guadalajara and Monterrey. In conjunction with this agreement, Bestel
will construct an additional 1800 kms of fiber from Guadalajara, up
the West Coast to Mazatlan, and across the center of the country.
Connecting through Torreon to Monterrey, Bestel will create another
redundant fiber ring within the network. This extension of the network
positions Bestel as the only carrier in Mexico, other than Telmex,
capable of providing fiber optic communications services in the
western and central parts of the country.
Hector Carlos, VP of Sales, said, "Bestel provides a range of
switched, dedicated and co-location services, providing carriers,
wholesalers, and corporations with world-class service and customer
care. The sale to Global Crossing strengthens both our customer
portfolio and our reach to customers worldwide."
"The relationship between Bestel and Global Crossing is further
proof of our superior network quality and our focus on the unique
needs of our customers," says Eduardo Garcia, Bestel Vice President of
Engineering. "And with our network expansion across western and
central Mexico, Bestel becomes a predominate provider of fiber optic
services in the country."
Bestel began offering long-distance services in October 1998. The
company's strategy is to use its high-capacity, low-cost network to
position itself as the carrier's carrier of Mexico, targeting
high-volume business users and other communications companies for
domestic and international services. Bestel was the only Mexican
carrier to obtain railroad rights of way for the construction of a
national network. Use of the railroads and advanced construction
techniques enabled the company to deploy its network across the
country and within major population centers at much lower costs than
other carriers. The network uses a 60-count fiber cable within a
hermetically sealed, buried conduit, and two spare conduits for future
expansion.
The Mexican telecommunications market is growing at double-digit
rates, spurred by industry deregulation which has brought competition
to the long-distance, local, wireless and value-added services
sectors. This growth rate is projected to continue in the years ahead.
Bestel is owned by Grupo Varo (51%) and Global Light
Telecommunications (49%). Grupo Varo, based in Guadalajara, Mexico,
has business interests in Telecommunications, Construction,
Engineering and Real Estate. Global Light Telecommunications is a
publicly traded company (GGB) based in Vancouver, Canada, with
operations in North America, Europe and Latin America.
Certain statements contained in this press release are
"forward-looking statements" within the meaning of section 27A of the
Securities Act and section 21E of the Securities Exchange Act of 1934. |
