Florham Park, NJ, Thursday, 22 January 2004 - Global Crossing announced that its new common stock will begin trading on the NASDAQ National Market on Thursday, January 22, 2004, under the trading symbol GLBC. The company's stock had been trading in the over-the-counter market under the symbol GLBCF since Global Crossing's emergence from Chapter 11 on December 9, 2003.
"Listing Global Crossing's new common stock to trade on the NASDAQ National Market should enhance its liquidity," said John Legere, Global Crossing's chief executive officer. "Qualifying to trade on NASDAQ represents the first of many milestones we intend to reach on the heels of our successful emergence."
Global Crossing emerged from Chapter 11 with its core network in place, while retaining a revenue base of nearly $3.0 billion. During its restructuring, the company reduced operating expenses by 63 percent compared to the beginning of 2001. Global Crossing's long-term debt and convertible preferred stock were substantially reduced from approximately $11 billion at the end of 2001, including $1 billion of Asia Global Crossing debt, to $200 million of debt post-emergence.
As previously announced, Global Crossing's plan of reorganization included the cancellation of existing preferred and common stock. The holders of these previously publicly traded securities received no consideration under the company's plan of reorganization. Under the plan of reorganization, Global Crossing issued 61.5 percent of the outstanding equity or 18 million shares of new preferred stock and 6.6 million shares of new common stock to Singapore Technologies Telemedia (ST Telemedia) in consideration for its $250 million equity investment in the new Global Crossing. The remaining 38.5 percent of the outstanding equity or 15.4 million shares of the new common stock has been distributed to Global Crossing's former secured and unsecured creditors.