Global Crossing's Fourth Quarter Revenue Exceeds $1 Billion
Pro Forma 1999 Revenue Tops $4 Billion With Recurring Adjusted EBITDA of $1.2 Billion
HAMILTON, Bermuda--(BUSINESS WIRE)--Feb. 18, 2000--Global Crossing Ltd. (Nasdaq:GBLX -
news):
biz.yahoo.com
Global Crossing Network is operational from Europe to Japan, following the activation of Pacific
Crossing 1, Pan-European Crossing, and Mid-Atlantic Crossing, and the acquisition of networks in
North America and the United Kingdom.
Expansion throughout Asia launched with Asia Global Crossing and Hutchison Global Crossing
partnerships.
GlobalCenter more than doubled its complex web-hosting business in 1999; currently has 1.3
million square feet under lease; new leadership team under CEO Leo Hindery.
Global Crossing Ltd. (Nasdaq:GBLX - news), which is building and operating the world's most
advanced global IP-based fiber optic network, today reported record results for the fourth quarter and
full year 1999. Revenue of $1.1 billion, recurring Adjusted EBITDA of $325 million and a recurring loss
of $(152) million were reported for the fourth quarter of 1999, compared to revenue of $203 million,
recurring Adjusted EBITDA of $168 million, and recurring income of $52 million for the fourth quarter
of 1998. Reported recurring loss per share was $(0.20) for the fourth quarter of 1999. For the full year,
reported revenue was $1.7 billion and recurring Adjusted EBITDA was $716 million. Pro forma results
giving effect to the acquisitions of Frontier Corporation, Global Marine Systems and Racal Telecom,
showed that revenue increased 15% from the third quarter of 1999, and recurring Adjusted EBITDA
was up 22%. For the full year, pro forma revenue was $4.1 billion, and recurring Adjusted EBITDA
was $1.2 billion.
``These outstanding results demonstrate the rapid pace at which we continue to expand our global
communications network and telecom services offerings,' said Bob Annunziata, Chief Executive Officer
of Global Crossing. ``In the past twelve months, we've completed three major acquisitions and formed
two joint ventures, solidifying our network presence in North America, Europe and Asia and expanding
our service offerings beyond bandwidth to provide our customers with a full range of telecom services.
One year ago our revenue was $420 million, and now we are running at ten times that level. In that
time, we have grown from 148 employees to over 12,000, and expanded the number of major cities
connected by our network from two to over 200. Today, we offer seamless end-to-end connectivity
from Paris to New York to Tokyo through our integrated Global Crossing Network. We are well on our
way to achieving our vision of becoming the world's premier provider of fully integrated, data-oriented
products and services.'
Highlights since the third quarter include:
Closed the acquisition of Racal Telecom, which has a 4,500 route mile U.K. network utilizing
IP-centric technologies and a reach of more than 2,000 cities and towns across the UK. This
network will be within 5km of almost 70% of all U.K. business customers by 2001.
Completed formation of the Asia Global Crossing (AGC) partnership with Microsoft and Softbank
to develop broadband systems throughout Asia.
Formed Hutchison Global Crossing, a $1.2 billion joint venture with Hutchison Whampoa. This
joint venture, closed January 12, 2000, provides Global Crossing with a network in Hong Kong
and, when regulations permit, entry into the Greater China region.
Initiated service on Pacific Crossing-1 in December 1999, three months ahead of schedule, and
inaugurated Pan-European Crossing and Mid-Atlantic Crossing.
Completed the North American Crossing Network (formerly the Frontier Optronics Network),
consisting of 20,000 route miles in the United States. Lit three additional OC-192's on North
American Crossing, bringing total OC-192 capacity on the network to 500,000 gigabit miles. Also
completed the first phase of a multi-vendor IP over OC-192 field trial. This service is expected to
roll out commercially on North American Crossing in the first half of 2000.
Expanded the GlobalCenter footprint with new Sunnyvale and Anaheim media distribution centers,
and formed GlobalCenter Japan, a partnership between Asia Global Crossing and IRI, in January
2000. Announced a plan to construct 10 new media distribution centers worldwide in 2000.
Provided the world's first IP connectivity via an optical wavelength link, interfacing at
OC48's/STM16's. The link will carry commercial traffic between London and New York at 2.5
gigabits per second.
Expanded International Private Line (IPL) service to provide retail customers greater flexibility at
reduced cost. Access to London, Amsterdam, Frankfurt, Paris and Tokyo is currently available and
access will be available to 18 additional cities within the next six months.
Launched a new wholesale Asynchronous Transfer Mode (ATM) product to carrier customers who
can now use Global Crossing's network to support multiple applications (data, Internet, voice &
video) over a single platform.
Additional deployment of our Voice Over IP (VOIP) platform to a total of seven regional switching
centers. Global Crossing is currently in the process of deploying 18 trunking gateways, which will
cover the United States, and three soft switches with connectivity to its ATM backbone in this new
`NexGen' network.
Global Marine Systems' cable-laying ship, Bold Endeavour commenced service on December 31,
1999.
Appointed former AT&T and TCI executive Leo Hindery as Chairman and CEO of GlobalCenter.
Appointed former Dell and AT&T executive John Legere as new CEO of Asia Global Crossing. |
