LEVEL 3 COMMUNICATIONS TO USE CAPACITY ON GLOBAL CROSSING'S NETWORK CROSS ATLANTIC SYSTEM WILL SERVE AS IMPORTANT TRANSOCEANIC LINK IN LEVEL 3'S INTERNATIONAL NETWORK
London, UK – October 14, 1998 – Level 3 Communications (Nasdaq: LVLT) today announced that it has signed an agreement with Global Crossing Ltd. (Nasdaq: GBLX) for transoceanic capacity on Global Crossing's global fiber optic cable network. Level 3 will use Global Crossing's Atlantic Crossing (AC-1) system as a trans-oceanic link in its Internet Protocol (IP) network connecting customers end-to-end between the U.S. and Europe.
The agreement, valued at approximately $100 million, will provide Level 3 with dedicated capacity across the Atlantic Ocean, which is one of the world's most heavily trafficked fiber optic routes. Level 3 also will have the option of utilizing capacity on other segments of Global Crossing's worldwide network. "Global Crossing has provided Level 3 with significant bandwidth to be activated on an as-needed basis," said Colin Williams, president of Level 3's international operations. "This flexibility will allow us to better serve our customers as their traffic requirements continue to grow. This agreement adds to our existing trans-oceanic builds including ownership positions in the trans-Atlantic TAT 14 and a trans-Pacific cable."
"Level 3 is forging new ground in data telecommunications for the next century," said Global Crossing Senior Vice President Barry Porter. "Level 3 realized early the ever-increasing need for capacity across the Atlantic to the top telecommunications markets in Europe. The demand for bandwidth on this route continues to expand, reflecting the growth of the Internet in Europe, multi-national Intranets and E-commerce."
About Level 3 Communications
Level 3 Communications, Inc. (NASDAQ: LVLT), an international communications company, operates one of the largest Internet backbones in the world, connecting 180 markets in 18 countries. The company serves a broad range of wholesale, enterprise and content customers with a comprehensive suite of services including: Internet Protocol (IP) services, broadband transport and infrastructure services, colocation services, voice and voice over IP services, content delivery and media distribution services. These services provide the building blocks to enable Level 3’s customers to meet their growing demands for advanced communications solutions. The company’s Web address is www.Level3.com.
"Level 3 Communications,” "Level 3," the red 3D brackets and the Level 3 Communications logo are registered service marks of Level 3 Communications, LLC in the United States and/or other countries. Level 3 services are provided by wholly owned subsidiaries of Level 3 Communications, Inc. Any other service, product or company names recited herein may be trademarks or service marks of their respective owners.
Forward-Looking Statement
Some of the statements that we make in this press release are forward looking in nature. These statements are based on management’s current expectations or beliefs. These forward looking statements are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside our control, which could cause actual events to differ materially from those expressed or implied by the statements. The most important factors that could prevent us from achieving our stated goals include, but are not limited to our ability to: successfully integrate acquisitions; increase the volume of traffic on our network; defend our intellectual property and proprietary rights; develop new products and services that meet customer demands and generate acceptable margins; successfully complete commercial testing of new technology and information systems to support new products and services; attract and retain qualified management and other personnel; and meet all of the terms and conditions of our debt obligations. Additional information concerning these and other important factors can be found within Level 3’s filings with the Securities and Exchange Commission. Statements in this press release should be evaluated in light of these important factors. Level 3 is under no obligation to, and expressly disclaims any such obligation to, update or alter its forward-looking statements, whether as a result of new information, future events, or otherwise.
