DENVER, June 21, 1999 ? Qwest Communications International Inc. (NASDAQ: QWST), announced today it is encouraged by the responses of the Board of Directors of U S WEST and Frontier that both companies will continue to evaluate the offers made to them by Qwest.
Joseph P. Nacchio, Chairman and CEO of Qwest, told U S WEST and Frontier that Qwest remained committed to entering into a transaction with both companies. Nacchio said that the superiority of the Qwest offer will become increasingly evident as the industry and markets appreciate the value of the proposed combinations, the quality of Qwest's network, management and business and the synergies resulting from the combinations.
"The value and strength of our proposals are becoming more evident every day. We expect the continuing review of our offers will convince the boards and management of U S WEST and Frontier that our offers are truly superior to Global Crossing's. We expect and intend to be successful in both transactions," Nacchio said.
Nacchio made his statements to U S WEST and Frontier in letters addressed to their respective chief executive officers. Copies of the letters are attached to this news release.
In the letters, Nacchio emphasized the following:
- Qwest offers a premium to the Global Crossing proposals.
- Qwest stock is stronger and more liquid than Global Crossing stock.
- Qwest offers greater realizable syngeries and upside potential than Global Crossing.
- Qwest offers the benefits of a true merger. The tracking stock proposed by Global Crossing does not.
Qwest also announced today that it had filed a registration statement relating to the securities to be issued by it in its proposed transaction with U S WEST and Frontier. This registration statement relates only to the transactions proposed to U S WEST and Frontier and does not constitute or commence a tender or exchange offer with respect to any securities of either U S WEST or Frontier. The registration statement also does not constitute a proxy solicitation for any matter that may be submitted for the approval of the shareholders of U S WEST or Frontier.
Qwest Communications International Inc. (Nasdaq: QWST) is a leader in reliable and secure broadband Internet-based data, voice and image communications for businesses and consumers. Headquartered in Denver, Qwest has more than 8,500 employees working in North America, Europe and Mexico. The Qwest Macro Capacity® Fiber Network, designed with the newest optical networking, will span more than 18,500 route miles in the United States when it is completed by mid-1999, and an additional 315-mile network route that will be completed by the end of the year. In addition, Qwest and KPN, the Dutch telecommunications company, have formed a venture to build and operate a high-capacity European fiber optic, Internet Protocol-based network that has 2,100 miles and will span 9,100 miles when it is completed in 2001. Qwest also has nearly completed a 1,400-mile network in Mexico.
This release and the attachments may contain forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents filed by Qwest with the SEC, specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements, including potential fluctuations in quarterly results, dependence on new product development, rapid technological and market change, failure to complete the network on schedule and on budget, financial risk management and future growth subject to risks, Qwest's ability to achieve Year 2000 compliance, and adverse changes in the regulatory or legislative environment. This release and the attachments include analysts' estimates and other information prepared by third parties for which Qwest assumes no responsibility. In addition, certain statements regarding synergies and other projections and information contained in this release and the attachments are based on publicly available information regarding U S WEST and Frontier. Qwest undertakes no obligation to review or confirm analysts' expectations or estimates or such publicly available information or to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events
The Qwest logo is a registered trademark of Qwest Communications International Inc. in the U.S. and certain other countries.
|Qwest Media Contact