yesterday it signed a $700 million contract with Bermuda-based Global Crossing Ltd. to design, manufacture and install a fibre-optic network known as the South American Crossing system.

The 11,000-mile network, to be installed in three phases, will connect the US Virgin Islands, Argentina, Brazil, Chile, Colombia, Panama and Peru.

Lucent Technologies Inc., the New Jersey-based telecommunications equipment maker, will supply fibre and equipment to Tyco for the project and will provide financing to Global Crossing.