GlobalX to Alter Swift Deal

Global Crossing announces it is expected to restructure network services agreement with Swift today

April 1, 2002

1 Min Read

MADISON, N.J. -- Global Crossing announced today that it plans to restructure its service agreement with SWIFT, the industry-owned co-operative supplying secure messaging services and interface software to 7,000 financial institutions in 196 countries. The new agreement, which is still subject to certain approvals, was developed to be consistent with Global Crossing's recently announced refocusing of its strategy of serving the world's top 200 business cities with core high capacity, high speed data transport services. The agreement is expected to be signed by both parties later today. Both SWIFT and Global Crossing have altered their strategies since the original partnership agreement was executed last year. Increased awareness of the importance of carrier level diversity, particularly following the terrorist attacks on September 11, 2001, prompted SWIFT to pursue a multi-provider solution to provide maximum protection against intrusion or physical infrastructure failure. Global Crossing is streamlining its product offering as part of its cost restructuring and margin improvement initiatives. Global Crossing has substantially limited the availability of its managed services offering in order to emphasize its more profitable and unique high capacity, high speed data transport offering "We greatly value our relationship with SWIFT and look forward to officially announcing later today that we have been able to negotiate a new agreement with them that is more aligned with our strategy and profitability targets, while at the same time giving SWIFT greater flexibility," said John Legere, chief executive officer of Global Crossing. "This is an example of the way in which Global Crossing is building on its strengths and leveraging its assets by doing what we do best - providing the highest quality core data transport services, cost-efficiently and profitably." Global Crossing Ltd.

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