losses $358.2 million or $6.62 per common share for last year.

The company published the fact that it had net losses of $219.2 million or $4.99 per common share for the year ending 31 December 1999.

Despite these figures, the company said it had recorded record results for the fourth quarter with revenues of $393.0 million, up 7 percent on last year.

The company stated that for the year ended December 31, 1999, revenues of $1.47 billion grew 66 percent over 1998.

Itzhak Fisher, President and Chief Executive Officer of RSL COM said, "We had an excellent quarter, with revenues from our European operations up 17 percent sequentially and now representing 56 percent of consolidated revenues and rapidly growing.'' He said the company now had 75 percent of its consolidated revenues from high margin end users.

He added the company had moved away from wholesale and prepaid card products.

Mr. Fisher said: "Our gross margin at 31.4 percent (excluding deltathree.com) shows continued improvement, with RSL COM USA's margin growing to 21.4 percent, up from 19.2 percent in the third quarter.

`We successfully completed a major financing, raising approximately $300 million from the sale of equity and debt securities.'' He said the IPO of deltathree.com in November was a tremendous success and said RSL COM still owns approximately 68 percent of deltathree.com's shares.

Donald R. Shassian, Chief Operating Officer of RSL COM said, "We continue to add owned fiber optic transmission facilities and switches to our network, which lowers our cost basis and improves margins.

"With the addition of our STM-16 Pan European broadband network and the existing networks in Finland, France and Germany, and the national networks under construction in Spain and the UK, we expect to have approximately 188,000 fiber kilometres in place worldwide by year end 2000, up from 108,000 km currently installed.''