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Technology Stocks : Global Crossing - GX (formerly GBLX) -- Ignore unavailable to you. Want to Upgrade?

To: Robert Sheldon who wrote (2267)	10/1/1999 9:36:00 PM
From: LLCF	Read Replies (1) \| Respond to of 15615

Has anyone seen a research report with a post merger 'proforma' financial statement etc??? Thanks DAK

To: Robert Sheldon who wrote (2267)	10/2/1999 1:18:00 PM
From: Frank A. Coluccio	Read Replies (3) \| Respond to of 15615

Hi Robert, see the postscript in my reply to CF Rebel, where I address some of your statements concerning voice revs going to zero, at: Message 11425644 While the long haul transmission costs would certainly appear to support such a view that rates are approaching zero, the end sections still cost significantly, aided in part by access charge realities and a host of other factors, including usf. Maybe that is behind the thinking of GBLX management, in part at least, in their pursuit of local market penetrations. It certainly must fit into their decision formulas at some point. I'm referring to the in-country builds, building out the major domestic markets, etc. There is still a bundle of money to be made in voice [and other local access and transport services which piggyback onto the pricing formulae that dictate voice rates] under the pricing umbrellas which are still being supported by the incumbent local exchange carriers, and in many cases, still (and for the interim foreseeable future), the settlement and accounting rates sanctioned by the ITU. It is for this reason that I would be looking for GBLX to create or acquire a lean, next gen type of international multiservice carrier with local exchange competence, with little or no legacy traits, except for those which are readily migratable. A while back I would have refuted such a notion, but now that the company has decided to go beyond the pure play submarine business, it seems much more likely that they would be looking at all of the money on all of the tables. Regards, Frank Coluccio