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

To: Clean who wrote (452)	3/17/1999 10:51:00 AM
From: MangoBoy	Respond to of 15615

Dunno why QWST would ever have wanted FRO pot-LCI. You give me $11B to shop with and I'll come back with a lot more value than FRO. Still long GBLX but not as enthusiastic, mark

To: Clean who wrote (452)	3/17/1999 11:07:00 AM
From: Rick	Respond to of 15615

For your information LVLT does have a relationship with FRO. From FRO 10Q Carrier Services revenues grew $64.1 million or 60.1% over the third quarter of 1997, and $156.4 million or 50.8% over the first nine months of 1997. The growth in Carrier Services reflects a growing and diverse base of customers, such as Level 3 Communications. The Company's agreement with Level 3 Communications provides them with additional bandwidth for IP-based applications and is expected to generate $195.0 million in incremental revenue for the Company over the five year term of the agreement.

To: Clean who wrote (452)	3/17/1999 12:22:00 PM
From: M. Frank Greiffenstein	Read Replies (2) \| Respond to of 15615

Mixed bag... I think purchasing FRO is a great idea, but I am not so sure about the purchase price. With FRO, GBLX will have a strong presence in the USA. This is the biggest broad bandwidth market in the world, and the only weakness in GBLX as an investment thesis was the lack of presence here. They had to rent capacity from QWST, a tricky proposition given QWST is their main competitor. Do you want to rely on a competitor to give you a presence in the market you want to compete in?? Is GBLX paying too much for FRO? I don't know, I am not bright enough to figure that out. It comes down to (a) how much would it cost GBLX to build its own network here, (b) how long would it take to build it and (c) how long would it take to integrate operations. If the costs associated with building US infrastruture is greater than the purchase price for FRO, then it is a bargain. DocStone