New Date Is Set for Auction of Global Assets

Global Crossing Ltd., the worldwide fiber-optic network builder that is trying to revamp itself under Chapter 11 bankruptcy protection, said Wednesday that it has moved the date for a private auction of its assets to July 31.

The auction, which was to be Wednesday at the New York office of Global’s bankruptcy lawyers, is more a negotiation process in which the company is trying to obtain more-favorable terms for creditors from those that submitted bids earlier this month.

In the process, several bids may be combined, including Global’s plan for emerging from bankruptcy as a stand-alone company. The Bankruptcy Court is scheduled to hear any objections and possibly approve a winning bid on Aug. 7.

Asia Global Crossing Ltd., Global’s 59%-owned unit, is close to a sale to bring in $400 million in financing, an amount its parent promised but failed to deliver last fall. Asia Global is expected to go into bankruptcy with a prepackaged plan and emerge quickly with new investors in charge.

James S. Granelli