Has postponed its Q4 earnings call

March 28, 2001

3 Min Read

LONDON -- Global TeleSystems, Inc. ("GTS") (NYSE: GTS;EASDAQ: GTSG; Frankfurt: GTS), has rescheduled its fourth quarter andfull-year 2000 results announcement to Thursday, 5 April 2001, due to delaysresulting principally from several initiatives related to GTS's previouslyannounced restructuring. As a result of these delays, GTS expects to fileits annual report for 2000 on Form 10-K on or about April 5, 2001, or assoon thereafter as practicable. Please also see the "Global TeleSystemsAnnounces Consensual Agreement with Esprit Senior Noteholders" press releasedistributed today. GTS Chairman and CEO Robert J. Amman will host a conference call on 5 April2001 at 14:00 in London (09:00 US EST). He will be joined by Duncan Lewis,president and chief operating officer, and Robert A. Schriesheim, executivevice president, corporate development and chief financial officer.

In a separate release:

Global TeleSystems (Europe) Limited, formerly knownas Esprit Telecom Group plc ("Esprit Telecom"), a subsidiary of GlobalTeleSystems, Inc. ("GTS") (NYSE: GTS; Easdaq: GTSG; Frankfurt: GTS),today announced it has commenced a consent solicitation with respect tocertain proposed amendments to its $230,000,000 11-½% Senior Notes due 2007,its DM 125,000,000 11-½% Senior Notes due 2007, its $150,000,000 10.875%Senior Notes due 2008 and its DM 150,000,000 11% Senior Notes due 2008(collectively, the "Notes"). The consent solicitation will expire at 5:00p.m., New York City time, on 10 April 2001 (the "Expiration Time"), unlessearlier terminated or extended by Esprit Telecom on or prior to 9:00 a.m.,New York City time, on the business day following the Expiration Time.The primary purpose of the consent solicitation is to amend certainprovisions of the indentures governing the Notes in order to permit EspritTelecom to enter into proposed senior secured credit facilities with itsparent, GTS. The GTS credit facilities are intended to provide EspritTelecom with interim funding in connection with the implementation of areorganization of GTS's Business Services division and a restructuring ofEsprit Telecom's obligations under the Notes.

In a separate release:

Global TeleSystems, Inc. ("GTS") (NYSE: GTS;Easdaq: GTSG; Frankfurt: GTS) today announced that it has reached anagreement with an informal committee (the "Committee") of the holders ofnotes issued by GTS's subsidiary, Global TeleSystems (Europe) Ltd., formerlyknown as Esprit Telecom Group plc ("Esprit Telecom"). Under the terms ofthis proposed restructuring, Esprit Telecom's obligation to repayapproximately $500 million of the debt represented by these notes will beexchanged for the holders' receiving a 90% ownership interest in a newcompany that will own Esprit Telecom as well as the other GTS subsidiariesproviding principally voice services to businesses in Western Europe. GTSalso has agreed, subject to conditions, to provide this new company up toEUR35 million in senior secured debt financing for working capital from 1April 2001 through 31 December 2001. GTS will provide up to an additionalEUR20 million in senior secured debt financing (which will be repaid withpreferred stock in the new company upon consummation of the restructuring ofEsprit Telecom) to be used by this new company to purchase backbonetransmission services from GTS's Ebone unit. GTS will own through asubsidiary the remaining 10% of the equity in the new company, and will holdwarrants to acquire an additional 10% of the new company.


Subscribe and receive the latest news from the industry.
Join 62,000+ members. Yes it's completely free.

You May Also Like