Investment Thesis

We believe that Global Crossing shares represent a good opportunity for investors to profit from the growing reliance of large enterprise customers on data communications to manage and drive efficiencies across their far-flung operations. Global Crossing has successfully pursued a strategy to build a global high-speed data network of owned assets. Now, with this unique asset almost fully operational, the company is offering a suite of value-added services on a single unified platform to the biggest and best international customers. The company's worldwide infrastructure is a competitive advantage over both incumbent carriers and more narrowly focused providers of data services pursuing this large and growing market segment. We believe GX stock is undervalued at current prices and represents an attractive long-term investment opportunity.

Company Description

Global Crossing provides core and managed data services as well as traditional voice services to large global enterprise customers via its worldwide fiber-optic communications network.

Key Investment Points

• Unique Global Data Network: Global Crossing has built a worldwide data network. This asset is unique among carriers, creating the opportunity for Global Crossing to offer differentiated data services based on the geographic reach of its network.

• Targeting Best Customers: Global Crossing has built this asset to serve the biggest, most stable and highly desirable customers in the communications services market. Customers include AT&T, Cable & Wireless, J.P. Morgan Chase, and Motorola.

• Significant Market Opportunity: According to IDC, the market for global telecommunications carriers was more than $146 billion in 1999.

• New Technology Provides Competitive Advantage: The Global Crossing network incorporates next generation technologies that give it a competitive advantage over the older facilities of many of its traditional PTT competitors.