================================================================= GLOBAL CROSSING BANKRUPTCY NEWS Issue Number 1 ----------------------------------------------------------------- Copyright 2002 (ISSN XXXX-XXXX) January 30, 2002 ----------------------------------------------------------------- Bankruptcy Creditors' Service, Inc. 609-392-0900 FAX 609-392-0040 ----------------------------------------------------------------- GLOBAL CROSSING BANKRUPTCY NEWS is published by Bankruptcy Creditors' Service, Inc., 24 Perdicaris Place, Trenton, New Jersey 08618, on an ad hoc basis (generally every 10 to 20 days) as significant activity occurs in the Debtor's case. Each issue is prepared by Peter A. Chapman, Editor. Subscription rate is US$45 per issue. Any re-mailing of GLOBAL CROSSING BANKRUPTCY NEWS is prohibited. ================================================================= IN THIS ISSUE ------------- [00000] HOW TO SUBSCRIBE TO GLOBAL CROSSING BANKRUPTCY NEWS [00001] BACKGROUND & DESCRIPTION OF GLOBAL CROSSING [00002] GLOBAL CROSSING'S BALANCE SHEET AS OF SEPTEMBER 30, 2001 [00003] COMPANY'S PRESS RELEASE ANNOUNCING CHAPTER 11 FILING [00004] GLOBAL CROSSING DEBTORS' CHAPTER 11 DATABASE [00005] LIST OF THE DEBTORS' 50-LARGEST UNSECURED CREDITORS [00006] LIST OF DEBTORS' 5 LARGEST SECURED CLAIMS [00007] HOW THE BERMUDIAN WINDING-UP PROCEEDINGS INTERRELATE KEY DATE CALENDAR ----------------- 01/28/02 Voluntary Petition Date 02/12/02 Deadline for filing Schedules of Assets and Liabilities 02/12/02 Deadline for filing Statement of Financial Affairs 02/12/02 Deadline for filing Lists of Leases and Contracts 02/17/02 Deadline to provide Utilities with adequate assurance 03/29/02 Deadline to make decisions about lease dispositions 04/28/02 Deadline to remove actions pursuant to F.R.B.P. 9027 05/28/02 Expiration of Debtor's Exclusive Plan Proposal Period 07/27/02 Expiration of Debtor's Exclusive Solicitation Period 01/27/04 Deadline for Debtor's Commencement of Avoidance Actions Organizational Meeting with UST to form Committees Bar Date for filing Proofs of Claim First Meeting of Creditors pursuant to 11 USC Sec. 341 ----------------------------------------------------------------- [00000] HOW TO SUBSCRIBE TO GLOBAL CROSSING BANKRUPTCY NEWS ----------------------------------------------------------------- GLOBAL CROSSING BANKRUPTCY NEWS is distributed to paying subscribers by electronic mail. New issues are published on an ad hoc basis as significant activity occurs (generally every 10 to 20 days) in the Debtor's case. The subscription rate is US$45 per issue. Newsletters are delivered via e-mail; invoices, transmitted following publication of each newsletter issue, arrive by fax. Re-mailing of GLOBAL CROSSING BANKRUPTCY NEWS is prohibited. Distribution to multiple individuals at the same firm is provided at no additional charge; folks outside of your firm should set-up and pay for their own subscriptions. Subscriptions may be canceled at any time without further obligation. To continue receiving GLOBAL CROSSING BANKRUPTCY NEWS, please complete the form below and return it by fax or e-mail to| Bankruptcy Creditors' Service, Inc. 24 Perdicaris Place Trenton, NJ 08618 Telephone (609) 392-0900 Fax (609) 392-0040 E-mail: peter@bankrupt.com We have published similar newsletters tracking billion-dollar insolvency proceedings since 1990, starting with Federated Department Stores. Currently, we provide similar coverage about the restructuring proceedings involving Winstar, Covad Communications, 360networks, ICG Communications, PSINet, Exodus Communications, Lernout & Hauspie & Dictaphone, Safety-Kleen, Laidlaw, The IT Group, Enron Corp., Pacific Gas and Electric Company, Reliance Group Holdings & Reliance Financial, NationsRent, ANC Rental, Burlington Industries, Chiquita Brands, Polaroid Corporation, Hayes Lemmerz, Federal-Mogul, W.R. Grace & Co., Owens Corning, Armstrong World Industries, USG Corporation, Lodgian, The FINOVA Group, Inc., Comdisco, Fruit of the Loom, Pillowtex, Warnaco, Kmart Corp., Ames Department Stores, Service Merchandise, Bridge Information Services, Imperial Sugar, The Loewen Group International, Inc., Vlasic Foods, AMF Bowling, Bethlehem Steel, LTV, Wheeling-Pittsburgh, Metals USA, Harnischfeger Industries, Inc., Vencor, Inc., Sun Healthcare Group, Inc., Mariner Post-Acute & Mariner Health, Genesis Health & Multicare, and Integrated Health Services. ================================================================= [ ] YES! Please enter my personal subscription to GLOBAL CROSSING BANKRUPTCY NEWS at US$45 per issue until I tell you to cancel my subscription. Name: ---------------------------------------------- Firm: ---------------------------------------------- Address: ---------------------------------------------- ---------------------------------------------- Phone: ---------------------------------------------- Fax: ---------------------------------------------- E-Mail: ---------------------------------------------- (Distribution to multiple professionals at the same firm is provided at no additional cost.) GLOBAL CROSSING BANKRUPTCY NEWS is distributed to paying subscribers by electronic mail. New issues are published on an ad hoc basis as significant activity occurs (generally every 10 to 20 days) in the Debtor's case. The subscription rate is US$45 per issue. Newsletters are delivered via e-mail; invoices, transmitted following publication of each newsletter issue, arrive by fax. Re-mailing of GLOBAL CROSSING BANKRUPTCY NEWS is prohibited. Distribution to multiple individuals at the same firm is provided at no additional charge; folks outside of your firm should set-up and pay for their own subscriptions. Subscriptions may be canceled at any time without further obligation. ----------------------------------------------------------------- [00001] BACKGROUND & DESCRIPTION OF GLOBAL CROSSING ----------------------------------------------------------------- Global Crossing Ltd. Wessex House, 1st Floor 45 Reid Street Hamilton HM12, Bermuda Telephone (441) 296-8600 Fax (441) 296-8606 http://www.globalcrossing.com Global Crossing Ltd., owns and controls the world's most extensive fiber-optic network, spanning over 100,000 route miles and reaching five continents, 27 countries and more than 200 major cities. The markets in those cities represent approximately 85% of the world's international telecommunications traffic. Global Crossing's strategy has been to construct a worldwide fiber optic network to provide premier managed broadband services to global enterprises and carriers. This high capacity Internet Protocol-based Network enables Global Crossing to offer an extensive line of managed IP services, Internet access, data, and voice services to telecommunications carriers and business customers on a cost-effective basis. The Network took over four years and billions of dollars of capital to reach its current state of near-completion. Of the more than 100,000 miles of cable that comprises the Network, Global Crossing constructed 75,000 miles, acquired 20,000 miles through the acquisition of Frontier Corporation in 1999 and acquired the remaining 6,000 miles through other acquisitions. The shared networks of other telecommunications suppliers often result in poor service and performance levels, long fault response times and slow customer processing. However, the technological advantages and capabilities of Global Crossing's fully integrated seamless network, software, and systems translate into significant advantages for both it and its customers. These include lower network costs, better network performance through a single autonomous system allowing for real time fault detection and management, full network visibility and monitoring, and better flexibility, scalability and provisioning speed through its powerful support systems. This combination of technological superiority and improved service allows Global Crossing to enjoy a major competitive advantage within the telecommunications industry for years to come. Global Crossing's Crown Jewel The crown jewel of the Global Crossing Network is its interconnecting undersea and terrestrial fiber-optic cables that span the globe. As a result of these interconnections, the Network operates in nearly every major business center in the world, connecting these countries: The Americas Asia Pacific Europe ------------ ------------ ------ United States Japan Belgium Netherlands Mexico Hong Kong Denmark Norway Panama South Korea U.K. Spain Argentina China (as France Sweden Brazil regulations permit) Germany Switzerland Chile Taiwan Ireland Peru Australia (over Italy Venezuela leased lines) Columbia Singapore Philippines Malaysia The major segments of the Network and their status as of December 31, 2001: Length Segment Region (Route Miles) ------- ------ ------------- Atlantic Crossing Subsea U.S. to Europe 13,200 North American Crossing Terrestrial North America 20,000 Pan European Crossing Terrestrial Europe 11,000 Global Crossing UK Terrestrial United Kingdom 4,650 Mid Atlantic Crossing Subsea Eastern U.S. 4,700 to Caribbean Pan-American Crossing Subsea Western U.S. 6,000 to Latin America Mexican Crossing Terrestrial Mexico 2,200 Pacific Crossing Subsea U.S. to Japan 13,000 Global Access Ltd. Terrestrial Japan 1,200 Hutchison Global Terrestrial Hong Kong 450 Crossing South American Crossing Terrestrial and 10,600 Subsea South America Trans Andean Crossing Terrestrial South America 1,600 East Asia Crossing Subsea Japan to South Korea, -Phase I Hong Kong, Taiwan 11,900 Asia Global Crossing Terrestrial Taiwanese backhaul NA - Taiwan DACOM Crossing Terrestrial Korea backhaul NA Except for the East Asia Crossing Phase II, all the segments are completed and in-service. East Asia Phase II -- which spans from subsea Japan to Malaysia, Philippines, and Singapore -- is expected to be fully complete in the first quarter of 2002. Telecommunications: Global Crossing's Core Business Global Crossing provides a full range of voice and data telecommunications services for major global corporations and governments and the wholesale carrier market. Global Crossing also provides conventional local and long distance voice services and audio/video conferencing. This broad mix of services enables Global Crossing to meet the specific and varied needs of its diverse customer base. Global Crossing has truly created the "One-Stop Shop" for global telecommunications services. The Enterprise Services and Carrier Services specifically include Broadband Services, Virtual Private Network, a variety of Voice and Data Services, including Conferencing Services and Internet Access, Metro Services and Web Hosting Services. (A) Broadband Services Broadband capacity is provided to customers either through the sale of indefeasible rights of use ("IRUs") relating to portions of the Network or through leases of such capacity. A buyer typically pays cash in advance for the right to use capacity under an IRU contract for a lengthy period, usually 25 years. Leases are paid periodically and are commonly for shorter periods, such as 3 to 5 years. (B) Virtual Private Network Customers have the ability to create and customize voice and data network solutions to securely connect offices, business partners on a single network, without the need to purchase dedicated private facilities. Customers have the flexibility to change capacity requirements between points and otherwise to reconfigure their Virtual Private Network over time. (C) Voice and Data Services Global Crossing provides switched and dedicated outbound voice services for local, domestic and international traffic for the commercial and wholesale markets. These services also include additional features, such as toll free and call center services. On the data side, Global Crossing provides a variety of data transmission services, including the ability to transfer data utilizing state of the art technology such as Asynchronous Transfer Mode (ATM), a flexible communications protocol that enables the transmission of delay-sensitive media (e.g. - speech, music or video) without delay. Global Crossing also provides conferencing services, including audio, video and Web-based conferencing services and Internet access services, including direct connections to the Internet. (D) Metro Services These networks consist of intra-city rings carrying on-net access circuits, with metro private lines and dedicated customer networks, around metropolitan areas. These networks are the successor-generation to copper twisted-pair cable supplied by incumbent phone companies and, among other things, enable high data transmission rates and automatic rerouting of traffic in response to service interruptions. (E) Web Hosting Services Global Crossing provides a complement of services for customers seeking to build or maintain their Internet sites, including a variety of data content distribution services, complex Internet content and application-hosting services, and consulting and professional services related thereto. These services are mainly provided through resale agreements with Exodus Communications. Global Crossing leverages the wide breadth of the services it offers by bifurcating its sales and marketing operations and structuring them around the Enterprise Service and Carrier Service Markets. The Enterprise Service Market is served by the Business Sales and Marketing division and the Carrier Service Market is served by the Carrier Sales and Marketing division. Installation and Maintenance Services Secondary to its telecommunications business, Global Crossing operates an installation and maintenance services business called Global Marine, which installs and maintains undersea fiber optic cable systems for carrier customers worldwide with a fleet of cable-laying and -maintenance vessels. Global Marine, the world's largest and most experienced submarine cable maintenance and installation company, was originally acquired from Cable and Wireless PLC in July 1999. The acquisition of this business allowed Global Crossing to control the installation and maintenance of its undersea global network on a cost-effective basis. At year-end 2000, the fleet comprised 23 cable ships, three installation barges and 22 submersible vehicles. During the year 2000, Global Marine laid and buried more than 19,000 miles of cable. None of the Global Marine entities are a Debtor in these chapter 11 cases. Organizational Structure Global Crossing Ltd. is the ultimate parent of the Global Crossing family of companies. Global Crossing's Network operations and services in the Americas and Europe and across the Atlantic are owned and operated through a number of wholly owned subsidiaries incorporated in New York, Delaware, Canada, Bermuda, Venezuela, Mexico, Panama, Chile, Argentina, Brazil, the United Kingdom, Ireland, France, Italy, the Netherlands, Denmark, Spain, Switzerland, Norway, Sweden, Belgium and Germany, among other places. Services in Asia and the Pacific are provided through Global Crossing's majority-owned subsidiary, Asia Global Crossing Ltd. as well as a number of in-country joint ventures between Asia Global Crossing and various local partners. Global Crossing Ltd. | | | 100% Global Crossing Holdings Ltd. | | | ------------------------------------------------- | | | | | | | | | | | 100% | 100% | | 100% | 100% Atlantic Pan American | Mid-Atlantic Pan European Crossing Crossing | Crossing Crossing | ------------------------------------------------- | | | | | | | | | | | 58.8% | 100% | | 100% | 100% Asia Global | South Global Global Crossing | American Marine Crossing U.K. (Racal | Crossing and Subs Telecom) | | | 100% Global Crossing North America | | -------------------- | | | | | 100% | 100% North American Crossing IXNet * Asia Global Crossing is not a debtor in these restructuring proceedings. Asia Global Crossing Global Crossing Ltd., directly and through its indirect subsidiaries, owns 58.8% of Asia Global Crossing. In addition to Global Crossing, Asia Global Crossing's other significant equity holders include, Microsoft Corporation and Softbank Corp. Asia Global Crossing is a Pan-Asian telecommunications carrier providing telecommunications services, including Internet, data, voice and Web hosting services to wholesale and business customers. Asia Global Crossing's portion of the Network is compatible and integrated with Global Crossing's portion thereof. Asia Global Crossing is a public company that trades on the NYSE under the symbol "AX." Although some overlap exists in the membership of the Boards of Directors of Global Crossing Ltd. and Asia Global Crossing, all issues relating to matters that involve any conflicts or adverse interests between the companies are referred to and exclusively managed and decided by a special committee of each Board. The Special Committees are each comprised exclusively of individuals, who do not serve on the Board of the other entity. Significant Claims The significant claims against Global Crossing as of the Commencement Date are: Aggregate Type Principal of Debt Face Amount Obligors Comments ------- ----------- -------- -------- Senior $2,250,000,000 Global Crossing Secured by pledge Secured Holdings Ltd. of Capital Stock Debt and Global of certain Crossing North subsidiaries America, Inc. of Global Crossing Holdings Ltd. guaranteed by Global Crossing Ltd. and certain of its indirect subsidiaries. Public $3,800,000,000 Global Crossing Unsecured Bond Holdings Ltd. Debt Public $500,000,000 Global Crossing Secured ratably Bond North America with Senior Secured Debt Inc. Debt with respect to the pledge of capital stock of certain subsidiaries of Global Crossing North America Inc. Public $120,000,000 Global Crossing Unsecured Bond North America Debt Inc. Other $1,100,000,000 Global Crossing Unsecured Payables obligations to trade vendors and others Equity Interests Global Crossing Ltd. is a public company that trades on the NYSE under the symbol "GX." As of November 1, 2001, there were 910,668,000 shares of common stock of Global Crossing Ltd. outstanding. Shares of GX have declined from an intraday high of $64.25 in April of 1999 to $.51 at the close of trading on January 25, 2002. The Road to Bankruptcy Dan Cohrs, Global Crossing's Executive Vice President and Chief Financial Officer, says that Global Crossing's vision of a global fiber optic network was endorsed and supported by the equity and debt markets, throwing literally billions of dollars at the company through debt and equity issues. Today, the Network is 85% complete. The downturn in the market, however, particularly in the telecommunications sector, Mr. Cohrs says, has interfered with Global Crossing's ability to build its revenue base to a break- even level. The recent and well-publicized failure of a number of telecommunications companies, compounded by the recessionary state of the national and global economy, have unnerved investors and all but foreclosed the capital markets as a source of additional funds for Global Crossing at this time. Given the lack of available financing, and anticipating forecasted liquidity constraints on the horizon, Global Crossing has commenced these cases to significantly revise its capital structure, including a reduction of its debt obligations, and sell or otherwise dispose of under performing or non-core assets. Notwithstanding these constraints, Global Crossing and its Network are of great interest to a number of strategic and financial investors. The Network and business, taken together, are an unrivaled opportunity for a strategic acquisition or stand-alone business. For the next 30-day period, Global Crossing estimates cash receipts and disbursements of: Cash Receipts $266,200,000 Cash Disbursements 404,300,000 Net Cash Loss (138,100,000) Unpaid Obligations 273,000,000 Unpaid Receivables 234,000,000 Through the commencement of these restructuring proceedings, Mr. Cohrs says, Global Crossing intends to restructure its debt obligations and sell or otherwise dispose of under performing or non-core assets. Global Crossing anticipates that these initiatives, combined with the Proposed Investment, will enable it to promptly emerge from the chapter 11 process as a viable, stand-alone business. The net effect of this restructuring should enable Global Crossing to complete its Network, expand its customer base, and complete its vision of operating the world's most extensive and advanced IP-based fiberoptic network. ----------------------------------------------------------------- [00002] GLOBAL CROSSING'S BALANCE SHEET AS OF SEPTEMBER 30, 2001 ----------------------------------------------------------------- Global Crossing Ltd., et al Consolidated Balance Sheet As of September 30, 2001 ASSETS Cash and cash equivalents $ 1,737,000,000 Restricted cash and cash equivalents 31,000,000 Accounts receivable, net 489,000,000 Receivables from affiliates 43,000,000 Other assets and prepaid costs 421,000,000 ------------------ Total current assets 2,720,000,000 ------------------ Restricted cash and cash equivalents 138,000,000 Property and equipment, net 9,445,000,000 Goodwill and intangibles, net 8,198,000,000 Loans receivable from affiliates 12,000,000 Investment in 969,000,000 Other assets 341,000,000 Net assets of discontinued operations 753,000,000 ------------------ TOTAL ASSETS $ 22,438,000,000 ================== LIABILITIES & SHAREHOLDER EQUITY Short-term borrowings - Accounts payable 92,000,000 Accrued construction costs 573,000,000 Other current liabilities 1,823,000,000 ------------------ Total current liabilities $2,536,000,000 ------------------ Long-term debt 6,597,000,000 Deferred revenue 2,041,000,000 Loans Payable to affiliates - Other deferred liabilities 1,220,000,000 ------------------ TOTAL LIABILITIES 12,394,000,000 ================== Minority Interest - Mandatorily Redeemable and Cumulative Convertible Preferred Stock 3,160,000,000 Shareholders' Equity 6,884,000,000 ------------------ TOTAL LIABILITIES & SHAREHOLDERS' EQUITY $ 22,438,000,000 ================== ----------------------------------------------------------------- [00003] COMPANY'S PRESS RELEASE ANNOUNCING CHAPTER 11 FILING ----------------------------------------------------------------- Hutchison Whampoa Limited and Singapore Technologies Telemedia Pte. Ltd. Plan to Invest $750 Million in Global Crossing Investment, combined with Chapter 11 filing, will restructure balance sheet Operations worldwide unaffected by filing Hamilton, Bermuda -- January 28, 2002 -- Global Crossing (NYSE: GX) today announced that it has signed a letter of intent with Hutchison Whampoa Limited and Singapore Technologies Telemedia Pte. Ltd. for a $750 million cash investment for a joint majority stake in the company's equity in connection with a restructuring of the company's balance sheet. In order to begin the restructuring process, Global Crossing and certain of its affiliates commenced Chapter 11 cases in the United States Bankruptcy Court for the Southern District of New York and coordinated proceedings in the Supreme Court of Bermuda. Under the terms of the proposed investment that are conditional on, among other things, the confirmation of a plan of reorganization by the courts before the end of August 2002, creditors would share in a combination of cash, new debt, and new equity in the restructured company. Existing common equity and preferred shareholders would not participate in the new capital structure. John Legere, Chief Executive Officer of Global Crossing stated, "We believe this new equity investment from parties as strong as Hutchison Whampoa and Singapore Technologies Telemedia validates our confidence in the strong future of our company. This investment, along with the financial and operational restructuring that we're implementing, will strengthen our balance sheet and enable Global Crossing to build a sustainable business upon its existing unmatched global network. With this restructuring, we believe we can become the global leader providing networking services among the world's top 200 cities to global enterprises and carriers." Mr. Legere said that business would continue as usual during the restructuring process. Employees will continue to be paid their wages and other benefits without interruption. Worldwide operations will be unaffected by the filing and customers will not experience any changes in their service. "Ours is a balance sheet issue, not an operational one," Mr. Legere said, "and today's actions are intended to directly address this issue. Even with the financial uncertainty we've recently experienced, customers have continued to choose our network over many others. With this restructuring, we'll put financial uncertainty behind us and the power of our network will once again become the primary factor in the minds of our customers. Hutchison Whampoa and Singapore Technologies Telemedia are perfect matches for Global Crossing. They bring considerable financial resources and business acumen, which we are confident will add significant value to Global Crossing's prospects." "With a strengthened balance sheet and reduced debt, we are confident that Global Crossing will be in an excellent position to take advantage of its unique global network, growing customer base, and outstanding service capabilities to create substantial value in the coming years. We are committed to an expedited restructuring process," Mr. Legere added. Mr. Canning Fok, Group Managing Director of Hutchison Whampoa, and Mr. Lee Theng Kiat, President and CEO of Singapore Technologies Telemedia, said, "We are excited about the prospect of working with Global Crossing's management team and the opportunity presented by this transaction to develop and strengthen Global Crossing's business." Hutchison Whampoa and Singapore Technologies Telemedia already have business relationships with Global Crossing and its affiliates. Asia Global Crossing and Hutchison Whampoa each own 50 percent of Hutchison Global Crossing, a leading telecommunications service provider in Hong Kong providing fixed- line, Internet and data services. Asia Global Crossing and a subsidiary of Singapore Technologies Telemedia each own 50 percent of StarHub Crossing, which owns and operates a high capacity backhaul network in Singapore. # # # ABOUT GLOBAL CROSSING Global Crossing (NYSE: GX) provides telecommunications solutions over the world's first integrated global IP-based network, which reaches 27 countries and more than 200 major cities around the globe. Global Crossing serves many of the world's largest corporations, providing a full range of managed data and voice products and services. Global Crossing operates throughout the Americas and Europe, and provides services in Asia through its subsidiary, Asia Global Crossing (NYSE: AX). Please visit http://www.globalcrossing.com or http://www.asiaglobalcrossing.com for more information. ABOUT HUTCHISON WHAMPOA Hutchison Whampoa is a Hong Kong-based multinational conglomerate with origins dating back to the 1800s. Hutchison is also part of the Li Ka-shing group of companies, which together represent about 15% of the total market capitalization of the Hong Kong stock market. In 2000, consolidated turnover (including associates) was over US$10 billion, and consolidated net profit was approximately US$4.4 billion. With over 100,000 employees worldwide, Hutchison operates five core businesses in 36 countries| ports and related services; telecommunications and e- commerce; property and hotels; retail and manufacturing; and energy and infrastructure. For more information, visit http://www.hutchison-whampoa.com. ABOUT SINGAPORE TECHNOLOGIES TELEMEDIA Singapore Technologies Telemedia is a leading info-communications group that provides voice, data and video services. It focuses on three core businesses| data & voice, broadband, & multimedia. Through its subsidiaries and associate companies, Singapore Technologies Telemedia provides fixed and mobile telecom services, wireless data communications services, Internet mobile services, global IP network services, managed hosting services, satellite services, broadband cable and e-business software development services. Singapore Technologies Telemedia is a wholly-owned subsidiary of the Singapore Technologies group. ----------------------------------------------------------------- [00004] GLOBAL CROSSING DEBTORS' CHAPTER 11 DATABASE ----------------------------------------------------------------- Lead Debtor: Global Crossing Ltd. fka Global Crossing Holdings Ltd. Wessex House, 1st Floor 45 Reid Street Hamilton, HM12 Bermuda Debtor affiliates filing separate chapter 11 petitions: Entity Case No. ------ -------- Global Crossing North America, Inc. 02-40187-reg Atlantic Crossings Ltd. 02-40189-reg Atlantic Crossing Holdings Ltd. 02-40190-reg Atlantic Crossing II Ltd. 02-40191-reg Global Crossing Holdings Ltd. 02-40192-reg Global Crossing International, Ltd. 02-40193-reg Global Crossing Network Center Ltd. 02-40194-reg Mid-Atlantic Crossing Holdings Ltd. 02-40195-reg Mid-Atlantic Crossing, Ltd. 02-40196-reg Pan American Crossing Holdings Ltd. 02-40197-reg Pan American Crossing Ltd. 02-40198-reg South American Crossing Holdings Ltd. 02-40199-reg ALC Communications Corporation 02-40200-reg Atlantic Crossing Holdings U.K. Limited 02-40201-reg Budget Call Long Distance, Inc. 02-40202-reg Business Telemanagement, Inc. 02-40203-reg Equal Access Networks, LLC 02-40204-reg GC Dev Co., Inc. 02-40205-reg GC Mart LLC 02-40206-reg GC Pacific Landing Corp. 02-40207-reg GC Pan European Crossing Holdings B.V. 02-40208-reg GC Pan European Crossing Luxembourg I S.a.r.l. 02-40209-reg GC Pan European Crossing Luxembourg II S.a.r.l. 02-40210-reg GC St. Croix Company, Inc. 02-40211-reg Global Crossing Advanced Card Services, Inc. 02-40212-reg Global Crossing Bandwith, Inc. 02-40213-reg Global Crossing Billing, Inc. 02-40214-reg Global Crossing Cyprus Holdings Limited 02-40215-reg Global Crossing Development Center 02-40216-reg Global Crossing Employee Services, Inc. 02-40217-reg Global Crossing Global Center Holdings, Dnc. 02-40218-reg Global Crossing Government Markets USA, Inc. 02-40219-reg Global Crossing Holdings U.K. Limited 02-40220-reg Global Crossing Holdings USA LLC 02-40221-reg Global Crossing Internet Dial-Up, Inc. 02-40222-reg Global Crossing Latin America & Caribbean Co. 02-40223-reg Global Crossing Local Services, Inc. 02-40224-reg Global Crossing Management Services, Inc. 02-40225-reg Global Crossing North American Holdings, Inc. 02-40226-reg Global Crossing North American Networks, Inc. 02-40227-reg Global Crossing Telemanagement VA, LLC 02-40229-reg Global Crossing Telemanagement, Inc. 02-40230-reg Global Crossing USA Inc. 02-40231-reg Global Crossing Ventures, Inc. 02-40232-reg GT Landing Corp 02-40233-reg GT Landing II Corp. 02-40234-reg IXNet, Inc. 02-40235-reg MAC Landing Corp. 02-40236-reg Metaclorin Investco, II Inc. 02-40237-reg PAC Landing Corp. 02-40238-reg Pan American Crossing U.K. Ltd. 02-40239-reg Subsidiary Telco, LLC 02-40240-reg US Crossing, Inc. 02-40241-reg Bankruptcy Case Nos.: 02-40188-reg through 02-40241, inclusive, to be Jointly Administered under Bankruptcy Case No. 02-40188 Petition Date: January 28, 2002 Bankruptcy Court: United States Bankruptcy Court Southern District of New York Alexander Hamilton Custom House One Bowling Green, 5th Floor New York, New York 10004-1408 Telephone (212) 668-2870 Bankruptcy Judge: The Honorable Robert E. Gerber Debtors' Counsel: Harvey R. Miller, Esq. Michael F. Walsh, Esq. Paul M. Basta, Esq. Weil, Gotshal & Manges LLP 767 Fifth Avenue New York, New York 10153 (212) 310-8000 U.S. Trustee: Carolyn S. Schwartz Office of United States Trustee 33 Whitehall Street, 21st Floor New York, NY 10004 Telephone (212) 510-0500 ----------------------------------------------------------------- [00005] LIST OF THE DEBTORS' 50-LARGEST UNSECURED CREDITORS ----------------------------------------------------------------- Entity Nature Of Claim Claim Amount ------ --------------- ------------ U.S. Trust Company, Bond Debt $1,100,000,000 Trustee 9.5% Senior Notes due 2009 Cynthia Chaney 114 West 47th St New York, NY 10036 Tel. 212-852-1661 Fax. 212-852-1626 U.S. Trust Company Bond Debt $1,000,000,000 8.7% Senior Notes due 2007 Cynthia Chaney 114 West 47th St New York, NY 10036 Tel. 212-852-1661 Fax: 212-852-1626 U.S. Trust Company, Bond Debt $900,000,000 Trustee 9.125% Senior Notes due 2006 Cynthia Chaney 114 West 47th St New York, NY 10036 Tel. 212-852-1661 Fax. 212-852-1626 U.S. Trust Company, Bond Debt $800,000,000 Trustee 9.625% Senior Notes due 2008 Cynthia Chaney 114 West 47th St New York, NY 10036 Tel. 212-852-1661 Fax. 212-852-1626 JP MorganChase Bond Debt $100,000,000 Bank, Trustee 9% Medium Term Notes due 2021 Ken Fowlerd Corporate Trust Services 2001 Bryan St, 9th Floor Dallas, TX 75201 Tel. 214-468-6105 Fax. 214-468-6094 Lucent Technologies Trade Debt $31,357,050 Patricia Russo Henry Schact Frank D'Amelio Janet Davidson 600 Mountain Avenue Murray Hill, NJ 07974 Tel. 908-528-8500 Fax. 908-508-2576 Alcatel Trade Debt $31,056,980 Jay Hilbert P.O. Box 911476 Dallas, TX 75391-1476 1000 Coit Road CHB Plano, TX 75075 Tel. 972-477-2555 Fax. 972-519-3999 (fax) Tycom US Inc. Trade Debt $29,160,213 Mellon Bank Centre Pittsburgh, PA 15259 Tel. 441-298-9770 Fax. 441-298-9777 SBC Communications Trade Debt $26,840,151 Dawn Callier 31100 Plymouth Rd, Rm 301 Livonia, MI 48150 Tel. 312-331-3815 dc8033@miomail.sbc.com 21454 Network Place Chicago, IL 60673-1214 175 E. Houston San Antonio, TX 78205 Tel. 210-821-4105 Fax. 210-351-2071 Verizon Trade Debt $23,936,607 Alice Bednark 180 Washington Valley Rd Bedminister, NJ 07921 Paul Lacouture 1095 Avenue of Americas New York, NY 10013 Tel. 212-395-1087 Chase Manhattan Bond Debt $20,000,000 Bank, Trustee 9.3% Medium Term Notes due 2004 Edwina Osborne Chase Manhattan Bank 55 Water Street, Rm. 234 New York, NY 10041 Tel. 212-638-5279 Fax. 212-638-7375 Nortel Networks Trade Debt $13,802,224 Gary Donahee 2221 Lakeside Blvd. Richardson, Texas 75082-4399 1500 Concord Terrace Sunrise Florida, FL 33323-2815 Tel. 905-863-0000 Fax. 905-863-8423 Cincinnati Bell Telephone Trade Debt $13,375,868 Jack Mueller 201 E. Fourth Street Room 102-602 P. O. Box 2301 Cincinnati, OH 45201 Tel. 513-397-0766 Cisco Trade Debt $12,626,693 John Chambers William Nuti 170 West Tasman Drive San Jose, California 95134 P.O. Box 91232 Chicago, IL 60693-1232 Tel. 408-526-4000 Fax. 408-526-4100 Level 3 Trade Debt $10,112,149 1025 Eldarado Blvd. Broomfield, CO 80021 720-888-1000 Bell South Corporation Trade Debt $9,716,900 600 N. 19th Street 3rd Fl. BIN NO Birmingham, AL 35203 Petra Pryor 1155 Peachtree Street, N.E. Atlanta, GA 30309 Tel. 404-249-2000 Fax. 404-249-2071 Mastec North America Inc. Trade Debt $9,426,946 Randy Gunlar P.O. Box 266 Purcell, OK 73080 Tel. 405-527-2616 Fax. 405-527-1908 MCI Telecommunications Trade Debt $8,406,507 Dr. Clinton, MS 39056 500 Clinton Center Dr. Clinton, MS 39056 Tel. 601-460-5600 Fax. 601-974-8350 Qwest Trade Debt $6,930,864 Carol Schneider 1801 California Street Suite 2530 Denver, CO 80244-0001 Tel. 303-992-1400 Fax. 303-992-1724 Citizens Communications/ Trade Debt $5,523,030 Frontier Communications 8800 N. Central Expressway Suite 800 Dallas, TX 75231 Z Tel Trade Debt $5,484,333 601 S. Harbour Island Suite 220 Tampa, FL 33602 Tel. 813-273-6261 Fax. 813-273-6861 AT&T Trade Debt $3,916,049 P. O. Box 5186 Chicago, IL 60680-5186 32 Avenue of the Americas New York, NY 10013 Tel. 212-387-5400 Fax. 908-221-2528 Tekelec Trade Debt $3,722,460 26580 West Agoura Rd. Calabasas, CA 91302 Tel. 800-835-3532 Tel. 818-800-5656 Fax. 818-880-6993 Juniper Networks Trade Debt $3,698,199 5661 Collections Ctr Dr Chicago, IL 60693 Tel. 408-745-2000 Fax. 408-745-2100 Accenture Trade Debt $3,665,633 Roxanne Taylor 1345 Avenue of the Americas New York, NY 10105 Tel. 917-452-5106 Fax: 917-527-9915 100 Campus Drive Florham Park, NJ 07932 Tel. 973-301-1000 Fax. 973-301-1005 Alltel Trade Debt $2,913,655 7001 Chatham Center Drive Suite 1000 Savannah, GA 31405 One Allied Drive Little Rock, AR 72202 Tel. 501-905-8000 Fax. 501-905-0962 Sprint Trade Debt $2,891,535 William Esrey P. O. Box 740504 Atlanta, GA 30374-0504 Mike Fuller 6480 Sprint Parkway Overland Park, KS 66251 mike.fuller@mail.sprint.com 460 Herndon Pkwy Herndon, VA Tel. 703-467-5391 Fax. 703-467-5410 Anixter Trade Debt $2,657,302 Dennis Latham 4711 Golf Road Skokie, IL 60076-1278 Tel. 847-677-2600 Fax. 847-677-9480 United Telephone Trade Debt $2,112,207 P. O. Box 419114 Kansas City, MO 64141-6114 120 Taylor Street Chapel Hill,TN 37034 Tel. 931-364-2289 Fax. 931-364-7202 Century Telephone Trade Debt $1,887,362 2615 East Avenue La Crosse, WI 54601 100 Century Park Drive Monroe, LA 71203 Tel. 318-388-9000 Fax. 318-388-9562 Kajima Trade Debt $1,742,043 John Kovacs 3445 Peachtree Road NE Ste 200 Atlanta, GA 30326 kovacsj@kajimausa.com 395 W. Passaic Street 2nd Floor Rochelle Park, NJ 07662 Tel. 201-518-2100 Fax. 201-518-1535 Telcobuy.com Trade Debt $1,657,185 P.O. Box 952120 St. Louis, MO 63195-2120 60 Weldon Parkway St. Louis, MO 63043 Tel. 314-983-2826 Fax. 314-569-8310 Mercer Consulting Trade Debt $1,550,250 P.O. Box 91787 Washington, DC 20090-1787 Tel. 202-778-7000 1166 Avenue of the Americas New York, NY 10036 Tel. 212-345-8000 Fax. 212-345-8075 Encompass Trade Debt $1,512,740 Barbara Macba 12100 Baltimore Avenue Beltsville, MD 20705 Tel. 443-334-1063 3 Greenway Plaza, Suite 2000 Houston, TX 77046 Tel. 713-860-0100 Fax. 713-626-4766 Gotham Incorporated Trade Debt $1,440,566 Don Hoye P.O. Box 19073 Newark, NJ 07195-0073 100 Fifth Avenue New York, NY 10011 Tel. 212-414-7000 PM Contracting Trade Debt $1,214,247 Mike Jacobs 40 Exchange Place 19th Floor New York, NY 10005 Tel. 212-785-8080 515 North Cedar Ridge Suite 70 Duncanville, TX 75116 Tel. 972-709-8818 Fax. 972-709-8846 Polycom Trade Debt $1,143,525 Dave Nelson P.O. Box 402198 Atlanta, GA 30384-2198 9040 Roswell Rd., Suite 450 Atlanta, GA 30350-1877 Tel: 770-641-4400 Fax: 770-641-4444 1565 Barber Lane Milpitask, California 95035 Tel. 408-526-9000 Fax. 408-526-9010 Madison Communications Trade Debt $1,055,281 Scott Carr 1050 E Piedmont Rd. Suite E232 Marietta, GA 30062 Tel. 404-550-8342 Fax. 770-541-6090 Greenwich Tech Partners Trade Debt $1,002,741 Kevin Lynch P.O. Box 18530 Newark, NJ 07191-8530 123 Main Street White Plains, NY 10601 Tel. 914-289-8000 Fax. 914-289-8001 DGI Technologies Trade Debt $907,526 Jeannie Wood 501 West George Bush Hwy Suite 100 Richardson, TX 75080 Tel. 214-644-7444 Bell Atlantic Trade Debt $700,389 Cabs Rem Trenton, NJ 08650-4832 1095 Avenue of the Americas 36th floor New York, NY 10036 Tel. 212-395-2121 Fax. 212-921-2971 Comp USA Trade Debt $690,763 Doris Kurran 14951 N Dallas Pkwy. Dallas, TX 75320-0670 Tel. 972-528-4507 Shipley Logan Trade Debt $686,723 Communications Michael Norcia 1191-C Brock Mcvey Dr. Lexington, KY 40509 Tel. 561-564-0065 x 203 Fax. 561-564-0965 Sonus Networks Limited Trade Debt $656,043 Barbara Teng 5 Carlisle Road Westford, MA 01886 Tel. 978-692-8999 Fax. 978-692-9118 Primus Telecommunications Trade Debt $652,417 1700 Old Meadow Rd. 3rd Floor Mclean, VA 22102 Tel. 703-902-2800 Fax. 703-902-2877 Media Partnership/Gotham Trade Debt $647,630 P.O. Box 30548 Hartford, CT 06150 Garden Studios 11-15 Betterton Street London, England WC 2H 9BP Tel. 011-202- 7470 8781 Fax. 011-202- 7470 8782 Hitachi Telecom USA Inc. Trade Debt $635,203 Drawer CS 198306 Atlanta, GA 30384-8306 Tel. 800-446-8820 Fax. 770-242-1414 Frontline Trade Debt $633,100 Brian Homeyer 1 Blue Hill Plaza PO Box 1548 Pearl River, NY 10965 Tel. 845-623-8553 Fax. 845-623-8669 909 Hidden Ridge Drive, Suite 450 Irving, TX 75038 Tel. 972-580-7778 x245 150 East 58th St, 28th Floor New York, NY 10155 Tel. 212-688-2332 Novo Relationship Trade Debt $621,568 Architects 222 Sutter St, 6th Floor San Francisco, CA 94108 MCSI Dept 0231 Trade Debt $619,448 Columbus, OH 43265-0231 4750 Hempstead Station Dayton, OH 45429 Tel. 937.291.8282 Fax. 937.291.8288 ----------------------------------------------------------------- [00006] LIST OF DEBTORS' 5 LARGEST SECURED CLAIMS ----------------------------------------------------------------- Entity Type of Collateral Claim Amount ------ ------------------ ------------ JPMorgan Chase Secured by pledge of $2,250,000,000 Bank, as Agent Capital Stock of Barbara Daniels certain subsidiaries Edmond Deforest of Global Crossing 270 Park Avenue, Holdings Ltd. 36th Floor guaranteed by Global New York, NY 10017 Crossing Ltd. and Citibank, as Agent certain of its Mark Wilson subsidiaries One Sansome Street, 25th Floor San Francisco, CA 94104 JP MorganChase Secured ratably with $300,000,000 Bank, Trustee Senior Secured Debt Ken Fowlerd with respect to the Corporate Trust pledge of capital Services stock of certain 2001 Bryan Street, subsidiaries of Global 9th Floor Crossing North Dallas, TX 75201 America, Inc. 214-468-6105 JP MorganChase Secured ratably with $200,000,000 Bank, Trustee Senior Secured Debt Ken Fowlerd with respect to the Corporate Trust pledge of capital Services, 9th Floor, stock of certain 2001 Bryan Street, subsidiaries of Global Dallas, TX 75201 Crossing North 214-468-6105 America, Inc. MSGW New Jersey LLC Equipment $35,827,000 Gale and Wentworth LLC 200 Campus Drive Florham Park, NJ 07932 De Lage Landen Equipment $11,804,022 Financial Services Paul Zehner 111 Old Eagle School Road, Wayne, PA 19087 ----------------------------------------------------------------- [00007] HOW THE BERMUDIAN WINDING-UP PROCEEDINGS INTERRELATE ----------------------------------------------------------------- Harvey R. Miller, Esq., at Weil, Gotshal & Manges, LLP explains that on January 28, 2002, in furtherance of Global Crossing's chapter 11 restructuring, each Debtor entity that is incorporated in Bermuda will also commence a proceeding in the Supreme Court of Bermuda known under Bermudian Law as a "winding up" proceeding. Rather than working at cross purposes with the efforts in these chapter 11 cases, the Bermuda Group will request that deference be paid in the "winding up" to the jurisdiction of the U.S. Bankruptcy Court and the Debtors' restructuring efforts in accordance with the provisions of chapter 11 of the Bankruptcy Code. The Bermudian Group will specifically request that the Supreme Court of Bermuda empower and direct Joint Provisional Liquidators: (A) to effectuate relief granted by Judge Gerber in the U.S. Cases, (B) to oversee the continuation of Global Crossing under the control of its Board of Directors and under the supervision of the Bermuda Supreme Court and the U.S. Court, (C) to liaise with Global Crossing's Board of Directors in effecting a plan of reorganization under the Bankruptcy Code and under the supervision of the Bermuda Supreme Court and this Court in connection with the chapter 11 Cases, and (D) to hire and compensate professionals, as needed. The Bermuda Group will petition the Supreme Court of Bermuda to issue an order appointing certain principals of KPMG International as Joint Provisional Liquidators of the Bermuda Group. *** End of Issue No. 1 *** ------------------------------------------------------------------------- Peter A. Chapman peter@bankrupt.com http://bankrupt.com ------------------------------------------------------------------------- Recommended Reading: Professor Stuart Gilson's newest title, "Creating Value Through Corporate Restructuring: Case Studies in Bankruptcies, Buyouts, and Breakups." List Price: $79.95 -- Discounted to $55.96 at http://amazon.com/exec/obidos/ASIN/0471405590/internetbankrupt -------------------------------------------------------------------------