Exhibit 99.2
Global Crossing / U S WEST
The New Premiere Global and
Local Service Provider
Bob Annunziata Sol Trujillo
CEO CEO
2
Regarding Forward-Looking Statements
Statements made in this presentation that state the Companies' or management
intentions, beliefs, expectations or predictions for the future are forward-
looking statements. It is important to note that the Companies' actual results
could differ materially from those projected in such forward-looking statements.
Information concerning factors that could cause actual results to differ
materially from those in the forward-looking statements is contained from time-
to-time in the Companies' SEC filings. Copies of these filings may be obtained
by contacting the Companies or the SEC.
3
Global Crossing / U S WEST / Frontier
. Creates Leading Global and Local Service Provider
. Customer-to-Customer Connectivity and Service Around the World
. Financial Structure Highlights Value and Promotes Growth
4
The New Global Crossing
Global Crossing Frontier U S WEST
Communications
International
Fiber Optic . US Fiber . Local Voice,
Network Optic Network Data,
. Data and Internet,
. Connecting Continents Internet and Wireless
. European Terrestrial . Long Distance Services
. Japanese Terrestrial . Local . Broadband
. South American Connectivity Access
Terrestrial . CLEC . Wireless and
Wireline
Network
. All-Digital
Data-Centric
Core Network
World's Leading Global and Local Service Provider
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Global Reach/Local Service
Global Connectivity Cities Customers
. Voice
Global House . xDSL
. Private Line
Cable . Switching . Integrated
. Routing Services
. Bandwidth Management
. Web Hosting
. Data Centers
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Global Reach / Local Service
[right [right
LOCAL arrow] NATIONAL arrow] GLOBAL
IP / HOSTED APP U S WEST Frontier Global Crossing
DATA NETWORKS U S WEST Frontier Global Crossing
LONG DISTANCE NA Frontier Global Crossing
BACKBONE U S WEST Frontier Global Crossing
ACCESS U S WEST Frontier Global Crossing
Frontier CLEC Europe/Japan/
South America
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Financial Structure Highlights Value
Business Financial Structure
Global Reach [right and left arrow] GSP - Global Service
Provider
Local Services LSP - Local Service
Provider
Value
Enhanced growth in GSP
Enhanced service in LSP
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The Transaction
Initial Tender Offer [right arrow] Corporate Alliance
. U S WEST to Tender Immediately for 9.5% of Global Crossing Shares
. $62.75 Per Share
. Cash Tender Commences Within Five Business Days
9
The Transaction
The Merger
. Stock-for-Stock Merger of Equals - Following Global Crossing/Frontier
Merger
. Global Crossing/Frontier and U S WEST Shareholders Each Will Own 50%
. Each Global Crossing Share Will Represent 1.0 Shares and Each U S WEST
Share Will Represent Approximately 1.2 Shares in the New Company
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The Transaction
The Merger
. Each Share of the New Company Entitles the Shareholder to Elect a Mix of
GSP and LSP Tracking Stocks Subject to Proration If Either Is
Oversubscribed
. Tax-free, Purchase Accounting
. Closing Expected Mid-2000
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Amendment to Global Crossing/Frontier Merger Agreement
. Frontier Board of Directors has Consented to Global Crossing/ U S WEST Merger
. Assuming Completion of U S WEST Tender Offer for 9.5% of Global Crossing
Shares:
- Minimum Value to Frontier Shareholders Increased to $63
- Changed Exchange Ratio Range,
. Previous: 1.0919 - 1.7939
. Revised: 1.1095 - 1.8229
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U S WEST Special Dividends
. Until the Merger Closes, U S WEST Intends to Pay a Special Dividend of $0.215
Each Quarter Increasing the Quarterly Payment to $0.75 Per Share
. Immediately Prior to Closing, U S WEST Intends to Pay a Special Dividend of
$1.00 Per Share
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Two Tracking Stocks
Global Service Provider Local service Provider
(GSP) (LSP)
. Global Crossing Subsea . US WEST Local Exchange
and Terrestrial Global
Fiber Network . US WEST In-Region Long
Distance
. U S WEST !NTERPRISE Data
Activities . US WEST Private Lines and
Directory Operations
. Frontier US Fiber
Network, Internet, Data, . Frontier Local Exchange
and Long Distance
. Frontier CLEC Operation
. U S WEST Wireless and
Internet Yellow Pages
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Two Tracking Stocks
Proforma 2000 Estimates*
Class G Class L
Global Service Local Service
Provider Provider
Revenue $ 6.0B $13.5B
Adjusted EBITDA $ 1.4B $ 6.7B
Proforma Growth Accelerates Global Enhanced Earnings
Profile Crossing EBITDA Visibility with
Growth to less than Stable Growth
40%
* Proforma as if merger closes January 1, 2000
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Local Service Provider Assets
. Distribution Channel for DSL and other Global Service Provider Products
. 17 million Local Access Lines
. Local Service in 25 States
. 7,800 SONET Rings
. $1.2 billion Vertical Services Revenue Stream
. $1.2 billion Revenues from Print Yellow Pages
. Attractive Demographics, Rapid Growth Region
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U S WEST Local Network
[Map showing the states of Washington, Oregon, Montana, Idaho, Utah, Arizona,
Wyoming, Colorado, New Mexico, North Dakota, South Dakota, Nebraska, Minnesota
and Iowa]
. 21 SONET ring network
. 94% digital switching
. Data switches
- 417 frame relay
- 133 ATM
. 40,444 miles of fiber cable across 14 states
. DSL in 215 wire centers
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Frontier Local Network
Local Access Lines
[Map showing the states of Florida, Georgia, Alabama, Missouri, Pennsylvania,
New York, Ohio, Minesota, Indiana, Illinois, Wisconsin, Louisiana and Montana as
Frontier services territory.]
. NY: 650,000
. Total: 1,034,000
. 34 Cities in 13 States
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Global Service Provider Assets
Fiber: 115,000 Route Miles / 2.85 Million Fiber Miles
Data: 173 ATM Switches
454 Frame Switches with over 70,000 Frame Nodes
35,000 DSL Customers
2,000 VDSL Customers
12 Web Hosting / Data Centers
U S WEST Internet Yellow Pages
$1.8 billion of Long Distance Revenue
less than 200,000 ISP Subscribers
Voice: 230,000 CLEC Lines
220,000 PCS Subscribers
Products: Global Voice, Video, Data and IP Applications
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Frontier DMS 500 Network
[United States map showing terminal sites and switches of Frontier DMS 500
Network.]
[Legend containing the following information:]
. Completed
. By the end of June '99
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Frontier National Network
[United States map showing coverage and routes of the Frontier national
network.]
[Legend containing the following information:]
Network Route Network Miles
------------- -------------
. Base Network - 24 Fibers 13,054 miles
. Southeast Build - 12 Fibers 2,985 miles
. Northwest Network Swap
(WTCI) 1,660 miles
. Western Network Swap
(Enron) 1,896 miles
. Frontier Terminal Site
. Frontier Switch
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From Local to National to Global Reach*
[World map showing the routes of PC-1, GAL, PAC, SAC, AC-1, MAC and PEC with
"Growth" indicated for undeveloped areas of Asia.]
*Based on announced networks
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Pan European Crossing
[Map of Europe showing the route of Pan European Crossing.]
. [Legend containing the following information:]
. Wholesale Switching
. DSL
. Data and Internet Services
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Global Fiber Network*
Frontier New
Communi Global
Global Crossing -cations U S WEST Crossing
Route 54,900 20,000 40,444 155,344
Miles
Fiber 800,900 348,000 1,700,00 2,848,900
Miles
Count- 18 3 1 19
ries On
Network
Cities On 39 120 44 185
Network
Total Invest- $ 4.9 $ 1.1 $ 1.2 $ 7.2
ment in billion billion billion billion
Announ-
ced system
*Based on Announced Networks
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Addressable Market Explodes
New Global Crossing
Global Crossing Frontier Communications US WEST
$100 billion + $100 billion + $35 billion
International National LD Local
Global Bandwidth and Services $ 1 trillion in 2005
Sources: IDC, ITU, Tom Soja & Associates, Yankee Group and Company Estimates
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World's Largest DLEC
Number of Subscribers
1Q99 1999E Reach Market
Value
USW/GBLX 35,000 100,000 Global $ [arrow
pointing
upwards]
billion
Covad 8,6000 35,000 National $ 4.6 billion
North Point 3,200 NA National $ 5.3 billion
Rhythms 1,255 12,000 National $ 5.3 billion
While serving 10% of the U.S. population, U S WEST has captured 40% of the
nation's DSL subscribers and 30% of the nations local frame relay ports. These
capabilities will be unleashed to national and global markets.
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Web Hosting and Internet Services
[Digital Distribution map]
. 12 Hosting / Distribution Centers
. Over 200,000 Dial-up Internet Customers
. 54 billion Hits per Month
. Extensive Line of Network-Based Applications
. Worldwide IP Network - Tier 1 Peering
. less than 100% Growth Rate
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Regulatory Environment
. No Approval Required for U S WEST to acquire 9.5% of Global Crossing Shares
. Combined Companies Prohibited from Originating Long Distance Traffic from U S
WEST Territories Pending Section 271 Approval
. Regulatory Approval for Merger is Expected
. U S WEST Section 271 Approval Efforts Accelerated
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Compelling Financial Profile
New Global Crossing*
Revenues less than $ 19 billion
Adjusted EBITDA less than $ 8 billion
Current Market Value less than $ 75 billion
*2000 Company Estimates - proforma as if merger
closed January 1, 2000
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Combination Offers Substantial Synergies
. Ability to Combine Back Office and Administrative Functions
. Post 271 Approvals - Owned Network Generates Enhanced Long Distance Margin
and Market Share
. Expand Existing GlobalCenter Web Hosting Business to Include Applications
Hosting via Worldwide Network
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Combination Creates New Market Opportunities
. Expansion of Existing DSL Technology to Global Markets With Suite of Existing
Data Products
. Expansion of Existing Voice, Data Transport, Internet Access and Vertical
Services to Global Markets Served by the Global Crossing Global Network
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Combination Offers Synergies and Opportunities
Net Present Value ($ Billions)
Market
Synergies Opportunities
Operating Efficiencies $1
Long Distance $2
Global 1 Hop $4
Loss of Bermuda Tax Benefit ($1)
National DLEC $3-6
International Voice, Data
Transport, Internet Access
and Vertical Services $15-30
------
TOTAL $6 $18-36
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From Local to Global Reach*
[World map showing the routes of PC-1, GAL, PAC, SAC, AC-1, MAC and PEC with
"Growth" indicated for undeveloped areas of Asia.]
*Based on announced networks