Corporate | 6 February 2003 23:28

Infonet Services Corp. english

Infonet Reports Fiscal 2003 Third Quarter Results (continuted) Corporate-news announcement sent by DGAP. The sender is solely responsible for the contents of this announcement. ——————————————————————————– Commentary José A. Collazo, Chairman, President and CEO of Infonet, said, “Despite political and global economic uncertainties, demand for Infonet’s services continues to grow. Our new client wins during the quarter prove that the underlying demand for managed data network services continues.” “With a strong balance sheet and no debt other than mortgage indebtedness, Infonet continues to solidify its position as a stable player in an unstable market. We have not, however, been immune to the turmoil surrounding the telecom industry. We continue to face higher than historical pricing pressures, especially when contracts come up for renewal.” “To address these challenges, we’ve undertaken additional initiatives to protect and grow our current client base, to expand our service offerings to existing and new clients and to control and reduce expenses. These programs should increase our competitive advantage and position us well for the future even in the face of continued pricing pressures.” “After paying off our non-mortgage debt, we have approximately $480 million in cash. Our capital expenditures have decreased this year because of our ability to better leverage our existing network.” “In addition, Infonet is still in the process of resolving the final portion of the European outsourcing agreement incentive fee. We expect to collect additional cash in the fourth quarter as a result of our on-schedule and better- than-budget performance on the contract.” “Infonet’s financial stability is of strategic value as multinational companies looking to outsource their mission critical applications are seeking reliable partners to minimize the risk of business interruption. With 30 years of experience, cash on hand to cover potential needs, and positive operating cash flow, Infonet will continue to be a leading player in the global managed data services market.” Regional Highlights Americas Revenue in the Americas of $33 million remained flat in the third quarter of fiscal 2003 compared to the third quarter of fiscal 2002. Sales to new clients in the Americas for the third quarter of this fiscal year include 37 new client contracts: 15 new clients and 22 new contracts with existing clients. This compares with 33 new contracts signed in the third quarter of fiscal 2002. Asia Pacific Infonet’s revenue in Asia Pacific of $22 million remained flat in the third quarter of fiscal 2003 compared to the third quarter of fiscal 2002. Sales to new clients in Asia Pacific for the third quarter of this fiscal include 17 new client contracts: 11 new clients and 6 new contracts with existing clients. This compares to 50 new contracts signed in the third quarter of fiscal 2002. Europe, Middle East and Africa (EMEA) Infonet’s revenue in the EMEA region increased 43% from $100 million in the third quarter of fiscal 2002 to $143 million this quarter. This increase included the positive impact of the incentive fee. Sales to new clients in EMEA for the third quarter of this fiscal include 94 new client contracts: 50 new clients and 44 new contracts with existing clients. This compares to 107 new contracts signed in the third quarter of fiscal 2002. Filing, Web Cast/Conference Call Information Infonet expects to file its 10-Q with the Securities and Exchange Commission for the period ended December 31, 2002 on February 10, 2003. It will be available through www.sec.gov, which can be accessed through Infonet’s investor relations site at www.infonet.com. Infonet will host an investor conference call and audio Webcast to review third quarter results on Friday, February 7, 2003, at 9 a.m. New York time (2 p.m. in London, 6 a.m. in Los Angeles). Participants within the United States should call 1-800-500-0177. Outside the United States, participants should call +1-719- 457-2679. For a replay of the call within the United States, call 1-888-203-1112; outside the United States, call +1-719-457-0820. The replay will be available from noon, Eastern Standard Time on Friday, February 7, through midnight on February 11, 2003. The confirmation code for the replay is 459275. For a full list of investor relations activities and presentations, please visit the investor relations portion of our website: www.infonet.com. About Infonet Infonet Services Corporation, known for its quality of service, is a leading provider of managed network communications services for nearly 3,000 multinational enterprises. Employing a unique consultative approach, Infonet offers integrated solutions optimizing the complex relationship between enterprise applications and the global network. Extensive project management capabilities are the foundation for the services and solution offerings (broadband, Internet, intranet, multimedia, remote and local access, provisioning, application and consulting services) positioning Infonet as a single-source partner for multinational corporations. In particular, Infonet IP VPN solutions offer multinationals a unique combination of Private and Public IP services as well as a full set of Managed Security Services. Rated “Best in Class” overall in Telemark’s survey of Global Managed Data Network Services, Infonet has also won “Best Customer Care” and “Best Carrier” at the World Communication Awards. Founded in 1970, Infonet owns and operates The World Network(R), accessible from more than 180 countries, and provides local service support in over 70 countries and territories. Infonet’s stock is traded on the New York Stock Exchange under the symbol IN. The Company has effected the delisting of its stock from the Frankfurt Stock Exchange, which will become effective on April 14, 2003. Additional information about the company is available at www.infonet.com. Safe Harbor Statement Infonet may have made forward-looking statements in this release. These statements, if any, are based on information available to the company as of the date of this release and Infonet undertakes no duty to update the information to take account of later events. The accuracy of our forward-looking statements will also be affected by the strength of the market for Infonet products and services, competition, the timely transitioning of new business opportunities to Infonet’s network, final auditing of the factors relevant to the European outsourcing incentive fee and the effect of currency fluctuation. Investors should bear these risk factors in mind as well as those elaborated on in Infonet’s 10-K, 10-Qs and other recent filings made with the U.S. Securities and Exchange Commission. These documents are available through the investor relations portion of Infonet’s web site at www.infonet.com. For more information contactlf Morgan Molthrop l+1-310-335-2606 morgan_molthrop@infonet.com end of message, (c)DGAP 06.02.2003 ——————————————————————————– WKN: 931039; ISIN: US45666T1060; Index: Listed: Amtlicher Markt in Frankfurt; Freiverkehr in Berlin, München und Stuttgart 062328 Feb 03