GCUK Reports Q4

LONDON -- Global Crossing (Nasdaq: GLBC - News), a leading global IP solutions provider, today announced fourth quarter and full year 2007 financial results for its subsidiary, Global Crossing (UK) Telecommunications Limited (GCUK).

Highlights

GCUK generated 76 million pounds in revenue for the fourth quarter, with adjusted gross margin at 70 percent of revenue and adjusted IFRS EBITDA of 22 million pounds. (Adjusted gross margin and adjusted IFRS EBITDA are non-GAAP metrics that are defined and reconciled below.) Cash provided by operations for the fourth quarter was 16 million pounds before payment of interest.

GCUK continued to add new customers and additional services to existing customer relationships. During the fourth quarter, the company announced a new contract with HM Revenue and Customs (HMRC) under which HMRC will employ Global Crossing's hosted IP telephony service for the operation of all its telephony service across the UK, supporting 85,000 users. HMRC is using the recently launched Global Crossing Unified Communications offering, which provides fully managed hosted IP telephony, collaboration and messaging solutions over a single, converged IP network. In addition, GCUK announced an extension to its Internet Protocol Virtual Private Network (IP VPN) for Superdrug. Following successful implementation of an IP VPN for 700 Superdrug stores, the company expanded the service to an additional 200 retail outlets.

"GCUK exited 2007 as a larger, stronger business than it was in 2006. The combination of Fibernet's assets and strong orders at the end of the year delivered revenue growth and improved margins at GCUK," said John Legere, Global Crossing's chief executive officer. "As enterprises continue shifting from legacy networks, demand for our IP-based solutions will drive GCUK and the rest of Global Crossing's business to even greater successes."

Global Crossing (Nasdaq: GLBC)