NEW YORK (Bloomberg) - Bermuda-based Global Crossing Ltd., the fiber-optic network operator that survived one of the largest US corporate bankruptcies, said its second-quarter loss widened on severance payments to more than 250 fired workers.

The net loss expanded to $100 million, or $2.73 a share, from $76m, or $2.70, a year earlier, the Hamilton-based company said yesterday in a statement.

Sales rose 19 percent to $547m, exceeding the $544m average of two analysts surveyed by Bloomberg.

Global Crossing, which emerged in 2003 from the fourth- largest US bankruptcy by assets, incurred $14m in severance costs in the quarter. The job cuts will save about $16m this year after severance expenses, the company said.

The company reiterated its forecast for sales of up to $2.25 billion this year and earnings before interest, tax, depreciation and amortisation of a figure as much as $195m.

The shares fell 88 cents, or 4.5 percent, to $18.91 at 9.33am New York time in Nasdaq Stock Market trading. They had fallen 19 percent this year before yesterday.

The stock enjoyed its biggest gain in five months on Wednesday after shareholder Iridian Asset Management LLC said it had increased its stake in the company to 12 percent from seven percent.