Level 3 Communications will acquire Global Crossing 
in a stock-for-stock transaction valued at approximately $3.0 billion. Global Crossing shareholders will receive 16 shares of Level 3 common stock for each share of Global Crossing common stock or preferred stock that is owned at closing.
The combined company will operate fiber optic networks on three continents, connected by extensive undersea facilities. The combined network will serve a worldwide customer set with owned network in more than 50 countries and connections to more than 70 countries. The combined Level 3 + Global Crossing had pro forma combined 2010 revenues of $6.26 billion and pro forma combined 2010 Adjusted EBITDA of $1.27 billion before synergies and $1.57 billion after expected synergies. The customer profiles includes enterprise, government, wholesale, content, and web-based companies.
“This is a transformational combination that we believe will deliver significant value to the investors, customers and employees of both Level 3 and Global Crossing,” said Jim Crowe, chief executive officer of Level 3. “The complementary fit between the two companies’ networks, service portfolios and customers is compelling. By leveraging the respective strengths and extensive reach of both companies, we are creating a highly efficient and more extensive global platform that is well-positioned to meet the local and international needs of our customers.”
Global Crossing’s largest shareholder is Singapore Technologies Telemedia, which is supporting the merger.http://www.level3.com http://www.globalcrossing.comIn December 2003, Singapore Technologies Telemedia (ST Telemedia) consummated a strategic investment in Global Crossing, enabling a newly restructured Global Crossing to emerge from Chapter 11 proceedings. ST Telemedia invested $250 million in Global Crossing for a 61.5% equity share of the company. As a result of the bankruptcy process, Global Crossing’s long-term debt and convertible preferred stock was reduced from roughly $11 billion at the end of 2001, including approximately $1 billion of Asia Global Crossing debt, to $200 million of debt post-emergence in December 2003.
