StarHub Modifies Deal with Asia Global Crossing

Asia Global Crossing, whose largest shareholders include Global Crossing, Softbank and Microsoft, has agreed to modify its partnership with StarHub to better reflect the needs of each business in relation to their respective capacity needs. Both partners are expected to continue their mutually beneficial alliance on a preferred provider basis.

Said Mike Reynolds, senior vice-president of Business Markets at StarHub:
“The change in StarHub’s partnership with Asia Global Crossing reflects a
structural modification only. The new arrangement is a better way to
accomplish the original objectives of the joint venture, and it still meets the
needs of both companies. We are going about the same activities, albeit in a
different form.”

Under the terms of the agreement, Asia Global Crossing will continue to
utilize the StarHub terrestrial network for its Singapore backhaul.
Similarly, StarHub will continue to access the Asia Global Crossing network
for its international capacity needs.

However, the new arrangement is a purely commercial agreement between both parties, which renders the requirement for a separate vehicle unnecessary.

“As part of our ongoing restructuring effort, Asia Global Crossing is
actively capitalizing on opportunities to save cash while ensuring that our
business needs are met. We are pleased that this amended agreement will
allow us to improve our economics and maintain our strong alliance with
StarHub, and at the same time ensure that our customers, as part of our
unparalleled pan-Asian network, will continue to enjoy the most extensive
connectivity within Singapore,” said Mark Simpson, senior vice president of
Customer Service and MIS at Asia Global Crossing.

Asia Global Crossing partners with leading companies in each country to provide backhaul networks. In combination with the Global Crossing Network, it provides access to more than 200 cities worldwide. And through a combination of undersea
cables, terrestrial networks, city fiber rings and Web hosting data
centers, the company offers seamless connectivity to the region’s major business centers via its pan-Asian networks.