The long-running disputes between two Bermuda-based telecommunications giants have finally been settled, both companies announced yesterday.

Global Crossing and TyCom, a subsidiary of Tycom, said they have "amicably" agreed to settle all outstanding disputes and outstanding claims against each other.

The companies have been wrapped in a number of expensive and lengthy legal disputes over fibre optic cable being laid by TyCom for Global Crossing to create high-speed telephone connections to allow faster internet access.

The race was on for the first company to complete the link around the world, but due to the slump telecommunications and e-commerce stock, the race appears to have stalled.

The deal comes just two weeks after John Legere took over the position of Chief Executive Officer from Mr. Thomas J. Casey (Mr. Casey will remain with the Company as Vice Chairman of the Board).

The claims, which had been brought in both Federal Court and arbitration proceedings, were about agreements between the companies about the construction and operation of Global Crossing's Atlantic Crossing-1 and South American Crossing fibre-optic cable systems, which flow through Bermuda.

"We are very happy with this win-win agreement with TyCom, a supplier who has built many of our systems and with whom we have continued to work closely and productively, even in the face of these disputes. With this settlement behind us, we will be better able to move forward quickly to focus on the business of achieving operational excellence and serving our customers and we will have an even better relationship with a valued partner," said John Legere, chief executive officer of Global Crossing.

Neil Garvey, President and CEO of TyCom said: "TyCom is very pleased to have reached a mutually satisfactory resolution of these issues with one of our key customers."

He added: "During the course of these proceedings we have continued to work together to provide system upgrades and support, which is a testament to the professionalism of both companies. With these matters now settled, we look forward to a stronger and more productive relationship with Global Crossing."

Global Crossing Ltd. provides telecommunications solutions over the world's first integrated global IP-based network, which is in 27 countries and more than 200 major cities around the globe.

Global Crossing serves many of the world's largest corporations, providing a full range of managed data and voice products and services. For more information see www.globalcrossing.com.