Several class actions have been filed against telecommunications provider Global Crossing, Ltd. (Nasdaq:GLBC) and certain of its officers and directors by stockholders who purchased the company's common stock between December 24, 2003, and April 26, 2004. The actions claim that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities. The stockholders seek to recover compensatory damages for the loss of value of their stock.

The actions name as defendants Global Crossing, Lodewijk Christiaan Van Wachen, Peter Seah Lim Huat and John Leger. On December 9, 2003, Singapore Technologies Telemedia and Global Crossing announced that they consummated a purchase agreement that would allow a newly restructured Global Crossing to emerge from Chapter 11 bankruptcy proceedings. Global Crossing also reported that it, together with its independent auditor, Grant Thornton, LLP, had finalized its audit of financial results for the years ended December 31, 2001, and December 31, 2002.

On January 22, 2004, Global Crossing announced that its new common stock would begin trading on the NASDAQ National Market, under the trading symbol GLBC. On March 10, 2004, Global Crossing reported its preliminary financial results for the fourth quarter and year ended December 31, 2003. In addition, the company announced several key milestones in 2003 and offered an outlook for 2004. "Today Global Crossing is a company with a clean balance sheet, minimal debt, strong corporate governance and a seasoned management team that will steer the company into a leadership position within the telecommunications industry," said John Legere, Global Crossing's chief executive officer. On March 26, 2004, Global Crossing filed its 2003 annual report on Form 10-K with the Securities and Exchange Commission.

On April 27, 2004, Global Crossing shocked the investing public by announcing that it plans to restate results for 2003 because it understated costs by at least $50- to $80 million. The company said in the statement that its previously reported results for 2002 and 2003, and its 2004 forecasts should be disregarded pending the outcome of its review. It also said that it is reassessing internal control issues that may constitute a material weakness in its structure. Finally, the company said that it is postponing its June 2004 shareholders meeting, the filing and mailing to shareholders of its proxy statement, and its earnings release and quarterly report on Form 10-Q for the first quarter of 2004 pending the ongoing review and the restatement.

The market's reaction to Global Crossing's disclosures was swift and severe. Following these disclosures, shares tumbled $5 to close at $13.20. Volume, at 4.19 million shares, was more than six times the three-month daily average.

If you purchased securities issued by Global Crossing during the applicable period, you may request appointment by the court as a lead plaintiff if you do so by July 2, 2004. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the court must determine that your claim is typical of the claims of other class members, and that you will adequately represent the class. Under certain circumstances, one or more class members may together serve as lead plaintiffs. Your ability to share in any recovery is not affected by the decision whether or not to serve as a lead plaintiff. You may retain any counsel of your choice to serve as you in this action, or you may choose to do nothing, and remain in the class as a silent member.