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

To: Sir Francis Drake who wrote (9012)	11/14/2000 3:30:53 PM
From: jopawa	Respond to of 15615

November 14, 2000 -------------------------------------------------------------------------------- Global Crossing Saw Loss Narrow In 3rd Period; Sales Beat Estimates By SHAWN YOUNG Staff Reporter of THE WALL STREET JOURNAL Global Crossing Ltd. posted a narrower third-quarter loss and stronger revenue than analysts expected as the multinational telecommunications carrier chalked up strong sales of data services. Global Crossing Taps Casey to Succeed Hindery as CEO, Continuing Turnover (Oct. 12) The Hamilton, Bermuda, company reported a loss of $602 million, or 69 cents a share, compared with profit of $107 million, or 30 cents a diluted share, in the year-earlier third quarter. Earnings for that period were inflated by a $224 million one-time gain from the breakup fee from Global's scuttled merger with the former U S West, which chose rival suitor Qwest Communications International Inc. Revenue was $1.01 billion, compared with $235 million a year ago. The year-ago figure isn't adjusted for Global's subsequent acquisitions, which included Frontier Corp., Racal Telecom and IXNet Inc. On an operating basis that excludes one-time items and operations the company is discontinuing, Global lost $572 million, or 65 cents a share. Analysts surveyed by First Call/Thomson Financial had expected an operating loss of 79 cents. A year ago, Global lost $29 million, or seven cents, not adjusted for the subsequent acquisitions, said Chief Financial Officer Daniel Cohrs. The company's operating cash flow, a closely watched measure, soundly beat analysts' estimates, coming in at $355 million, adjusted for the anticipated sale of the local phone business the company acquired from Frontier to Citizens Communications Co. for an estimated $3.65 billion. Operating results include the GlobalCenter data-center operation Global is selling to Exodus Communications Inc. "What's really driving our business is very strong growth in our data business," Mr. Cohrs said. The company has only a tiny exposure to the dwindling consumer voice long-distance business that is hampering many rivals, including AT&T Corp. and WorldCom Inc. It stands to benefit from sales of transmission capacity to other companies that may be scaling back on plans to expand their global networks, he said. Chief Executive Tom Casey said the company remains confident it can produce revenue growth of about 30% a year and operating cash-flow growth of about 35% a year over the next three or four years. The company said operating cash flow and currently secured sources of funding are sufficient to its plans and operations until it turns free cash flow positive in 2002. Results were released after 4 p.m. Eastern time Monday. Global shares have dropped more than 50% this year and fell to a 52-week low of $16.38 Monday before closing down 31 cents at $17.63 in 4 p.m. New York Stock Exchange composite trading.

To: Sir Francis Drake who wrote (9012)	11/14/2000 3:32:19 PM
From: jopawa	Respond to of 15615

November 14, 2000 -------------------------------------------------------------------------------- Global Crossing CEO Pleased With 3Q; Reaffirms Guidance By JANET WHITMAN Of DOW JONES NEWSWIRES (This story was originally published late Monday.) NEW YORK -- Global Crossing Ltd. (GX) Chief Executive Thomas Casey said late Monday that he is "very pleased" with the telecom company's third-quarter results, which he noted exceeded Wall Street's expectations. "I think that our third-quarter performance shows that our revenue mix and customer base is sufficiently diverse (so) that we are not affected materially by the trends that are affecting some other companies in the sector," Casey told Dow Jones Newswires in an interview following the release of the company's quarterly results. "We hope that investors will realize our relative strength compared to others that are struggling in the sector." Bermuda-based Global Crossing reported a third-quarter recurring net loss of $572 million, or 65 cents a share, compared to a First Call/Thomson Financial analyst estimate for a loss of 79 cents a share. "We came in 14 cents a share better than analysts' estimated," said Casey. He highlighted Global Crossing's strong performance in data products, which as of the third quarter, comprised 59% of the cash revenue in the company's telecom services segment, up from 46% a year ago. At the same time, consumer long distance accounted for only 4% of Global Crossing's revenue, which will continue to decline as the remainder of its revenue base continues to grow, he said. Casey said he is "still very comfortable" with guidance provided earlier this year. He reaffirmed that Global Crossing's cash revenue - revenue plus incremental cash-deferred revenue - from continuing operations is expected to be about $5.2 billion for 2000. Recurring adjusted EBITDA, or earnings before interest, taxes, depreciation and amortization, for the year is expected to be about $1.34 billion. While noting that the previous guidance was for the entire year, Casey said: "I think we will meet or beat the fourth quarter component." Casey also reiterated that Global Crossing's adjusted EBITDA is targeted to exceed 35% per year through 2004, while its revenue growth is projected to grow by 30% a year over that period. The company, which is near completion of its global fiber-optic network - will likely see capital spending of $4 billion for next year, including Asia Global Crossing, Casey said. As reported earlier this month, next year's capital expenditures compare to an estimated $6 billion for this year. Casey said Global Crossing's business plan is fully funded. The company is "not in any conversations" currently either to acquire another company or to be acquired, he said. When asked whether Global Crossing could be a target for an acquisition, Casey said: "We think the stock price is vastly undervauled ... We are not in any conversations with anybody." Nor does Global Crossing expect to acquire any companies, although it would consider buying the assets of some distressed companies, particularly in the local telecom area, he said. -Janet Whitman, Dow Jones Newswires; 201-938-5248; janet.whitman@dowjones.com

To: Sir Francis Drake who wrote (9012)	11/14/2000 3:34:36 PM
From: jopawa	Read Replies (1) \| Respond to of 15615

ceo guidance for 4 yrs-------------------------------------------------------------------------------- November 14, 2000 -------------------------------------------------------------------------------- Global Crossing Reiterates Confidence In 4-Yr Guidance By Janet Whitman Of DOW JONES NEWSWIRES NEW YORK -- Global Crossing Ltd. (GX) Chief Executive Thomas Casey reiterated that he is "very confident" with the telecom company's previous guidance for the next four years. The Bermuda-based company, which is near completion of its global fiber-optic network, projected previously that its revenue will grow by 30% per year through 2004. Its growth in earnings before interest, taxes, depreciation and amortization, or EBITDA, is targeted to exceed 35% per year through the same period. "We are very confident about these numbers," said Casey in a conference call following the release of the company's better-than-expected third-quarter results. "We are in an advantageous position with respect to our growth rate because our network is still coming on," he said. Global Crossing is rolling out a "very specialized portfolio of services," he added. "We think we have a competitive differentiater. We can provide data (or) IP private network services across a global span that no one else will be able to provide on an integrated basis." Casey also reaffirmed that Global Crossing is targeting capital spending of $4 billion in 2001, which includes Asia Global Crossing. Capital expenditures, which are estimated at $6 billion for this year, are shifting from network construction into "success-based" spending, driven by demand, he said. "We have an assumption that as the network is completed, overall capital spending will decline." Chief Executive Casey said during the conference call that the growing demand created by the Internet will enable Global Crossing to meet its growth targets. "We are the beneficiaries of the Internet growth," he said. "We have always assumed there will be competition, but the market is so big, we think our growth rate is very achievable. "Pricing has remained almost flat over the last four quarters, which I think is an extraordinarily important data point," he added. Global Crossing does not have any significant credit issues with any of its customers, he said in response to a question. "There are small ones here and there, (but they're of no) material impact." The company's business plan is fully funded, said Casey. "We have all the money we need....We don't have to return to the capital markets to complete our plan," he said. "Our network will be completed next year. We won't be scaling back on our completion plans." The company's fully funded plan puts Global Crossing at an advantage over some of its competitors, who "will be scaling back, I think," said Casey. "We are confident that it gives us a competitive advantage." Casey said he's hopeful that the previously announced sale of its GlobalCenter unit to Exodus Communications Inc. (EXDS) will close in January of next year. "I don't see any difficulties," he said. -By Janet Whitman, Dow Jones Newswires, 201-938-5248 janet.whitman@dowjones.com