Bermuda-based Global Crossing Ltd. yesterday reported that commitments for purchases of capacity on its fibre optic network totalled $1.052 billion at the end of 1998.

The company reported revenue of $205.1 million, and net income of $56 million for the fourth quarter ended December 31, 1998. The company made contract sales of $285 million.

For the 12 months ended December 31, the company had revenues of $424.1 million and a net loss of $134.7 million. The company had a loss per share of 75 cents. Net income, before preference share dividends, and excluding non-recurring items, was $71.5 million.

Company chief executive officer Jack Scanlon said the company plans on introducing virtual private networks, leased private lines and internet transit services this year.

He expects continued strong growth in sales, customers, and cash flow.

"The continuing demand from telecommunications and Internet service providers for global high-speed bandwidth exceeds forecasts and fuelled our growth to $1 billion of contract sales,'' Mr. Scanlon said in a statement. "To meet the demand we're aggressively rolling out our global network, moving from the sea onto the land with our announcements of terrestrial networks in Europe and Japan. Our announced network, when completed, will span three continents and address 80 percent of the world's international traffic.'' Of the $1.052 billion in sales, Global Crossing recognised $418 million as 1998 revenue. The rest will be recognised as revenue over then next three financial years.

The sales reflect demand for capacity on Atlantic Crossing 1, the company's fibre optic cable from the US to Europe. About $100 million of the sales were commitments to buy capacity on the Pan-European Crossing.

The company is in the process of establishing a network operations centre in London, expected to be operational this year. The company is also in the process of building a fibre-optic network connecting Tokyo, Osaka and Nagoya to the US. The network is a 49 percent owned joint venture with Marubeni Corp.

of Japan.

Construction started in September last year and is expected to be operational by December this year.

During 1998 the company raised $3.5 billion in funding for planned network construction.