Global Crossing holds up in tough year

After a year when it emerged from a 22-month stint under Chapter 11 bankruptcy protection and was acquired by an Asian investor, Global Crossing Holdings has posted revenue only slightly down on the previous year and recorded a considerable increase in traffic over its worldwide network.

For the financial year ended Dec. 31, 2003, Global Crossing posted revenue of US$2.93 billion, 6 percent down from the $3.11 billion reported in 2002. Revenue for the year was impacted by the company's extended period in bankruptcy and by downward pricing pressure, Global Crossing said in a statement.

The company posted a net loss of $106 million for the year but added to its balance sheet a one-time net gain of $24.84 billion related to the company's reorganization.

During the year, Global Crossing saw its IP (Internet protocol) traffic grow by more than 130 percent, from more than 29G bps (bits per second) to 68G bps and recorded a total of 18 billion minutes on its VoIP (Voice over IP) platform, one of the largest in the world, up from 8 billion in 2002.

Global Crossing, which operates a worldwide fiber-optic network, emerged from bankruptcy proceedings in December 2003, after Singapore Technologies Telemedia Pte. Ltd. paid $250 million to acquire 61.5 percent of the company.

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