Mergers & acquisitions

Global Crossing Sale Gets OK

HAMILTON, Bermuda -- Global Crossing Ltd. (NYSE:GX today announced that the New York Public Service Commission has approved the sale of Global Crossing's incumbent local exchange carrier (ILEC) business to Citizens.

On April 17, the Federal Communications Commission (FCC) also announced its approval of applications filed by Global Crossing and Citizens Communications seeking to transfer to Citizens licenses and authorizations held by Global Crossing's ILEC. The applications sought FCC approval for transfer of control of a domestic Sec. 214 authorization, and international Sec. 214 authorization and a cable TV relay service.

All remaining regulatory approvals are expected to be received by the end of May of this year, with the closing of the deal expected in June.

Said Global Crossing's Chief Executive Officer, Tom Casey: "This transaction streamlines Global Crossing's North American operations, and refines our focus on building and delivering services on the world's premier broadband network. The proceeds from this transaction, which come to $3,266 per access line, complete the funding of our current business plan and will be used to reduce indebtedness and to invest in network and product capabilities."

Global Crossing Ltd.
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