DENVER - January 29, 1998 - Qwest Communications International Inc. (Nasdaq: QWST) announced today that it sold and issued $450,505,000 in aggregate principal amount at maturity of its 8.29% Senior Discount Notes due 2008. Gross proceeds from the sale of the notes will total approximately $300 million. Cash interest would not be paid on the notes for 5 years, although Qwest may elect to pay interest after 3 years.
Proceeds of the notes sale wil be used primarily for growth of Qwest's business in the United States including data services deployment and IS infrastructure buildout; expansion of the Qwest asset base; and increased presence in international markets such as Mexico and Europe.
The notes have not been registered under the Securities Act of 1933 and may not be offered or sold absent registration or an applicable exemption from registration requirements.
The Qwest Macro CapacitySM Network
Qwest's planned domestic 16,000 mile network will serve over 125 cities, which represent approximately 80 percent of the data and voice traffic originating in the United States, upon its scheduled completion in the second quarter of 1999. Currently, 3,500 miles are activated from Los Angeles to Cincinnati; and from Dallas to Houston. Qwest is also extending its network 1,400 miles into Mexico with completion slated for late third quarter 1998.
The Qwest Macro Capacity Fiber network is designed with a highly reliable and secure bi-directional, line switching OC-192 SONET ring architecture. Upon completion, the network will offer a self-healing system that provides the ultimate security and reliability by allowing instantaneous rerouting in the event of a fiber cut.
Qwest Communications International Inc. (Nasdaq: QWST) is a multimedia communications company building a high-capacity, fiber optic network for the 21st century. With its cutting-edge technology, Qwest will deliver high-quality data, video and voice connectivity securely and reliably to businesses, consumers and other communications service providers.
This release 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 on Form 10-Q, 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 of stock price, financial risk management and future growth subject to risks.
|Qwest Media Contact