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EXHIBIT 99.03
FOR IMMEDIATE RELEASE
Contact:
Maureen O'Connell (media)
Exodus Communications, Inc.
(408) 346-2218
[email protected]
Damon Wright (investors)
Allen & Caron Inc., for Exodus
(949) 474-4300
[email protected]
EXODUS COMMUNICATIONS, INC. ANNOUNCES ANTICIPATED CREDIT FACILITIES
SANTA CLARA, California, June 20, 2000 - Exodus Communications(TM), Inc.
(Nasdaq: EXDS) today announced that it expects to receive a commitment from a
syndicate of banks under which it may obtain up to $750 million of financing
under secured revolving credit and term loan arrangements. Under these
facilities, Exodus(R) would be permitted to borrow up to $250 million over the
next five years on a revolving basis, and a wholly-owned subsidiary of Exodus
could borrow up to $500 million in two tranches under secured term loans due in
five and seven years, respectively. Specific terms of the facilities are
subject to negotiation and the availability of the facilities will be subject to
satisfaction of material conditions.
Chase Securities Inc. will act as sole book manager and joint-lead arranger,
Goldman Sachs Credit Partners L.P. will act as joint-lead arranger and
documentation agent, Morgan Stanley Senior Funding, Inc. will act as
documentation agent, and Merrill Lynch, Pierce, Fenner & Smith Incorporated will
act as syndication agent. Chase Manhattan Bank will act as administrative and
collateral agent for both facilities.
Exodus expects to use the net proceeds of the revolving credit facility to fund
working capital and general corporate needs, and to use the net proceeds of the
term loans to purchase or construct telecommunications assets.
The specific terms of each facility are subject to change as Exodus negotiates
final loan agreements. Exodus cannot provide any assurance as to whether, or on
what terms, it will obtain the revolving and term credit facilities.
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About Exodus Communications
Exodus Communications is a leading provider of complex Internet hosting for
enterprises with mission-critical Internet operations. The Company offers
sophisticated system and network management solutions, along with technology
professional services to provide optimal performance for customers' web sites.
Through its subsidiary, Service Metrics(TM), Exodus is a leading source of Web
site performance monitoring and measurement services. Exodus manages its
network infrastructure via a worldwide network of Internet Data Centers (IDCs)
located in the North America, Europe and Asia Pacific. More information on
Exodus can be found at www.exodus.net.
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Forward Looking Statements
This press release contains forward-looking statements. Exodus cannot give any
assurance that the plans, intentions or expectations reflected in those
statements will be achieved. The matters discussed in this press release
involve risks and uncertainties described from time to time in Exodus' filings
with the Securities and Exchange Commission. In particular, the Exodus' short
operating history and fluctuating operating results make its business difficult
to evaluate, and the substantial indebtedness represented by existing and
anticipated debt may adversely affect its cash flow. Furthermore, there is no
assurance that it will obtain the anticipated new facilities, that the closing
conditions for the credit facilities will be satisfied or that the anticipated
amounts of borrowings will be available. Exodus does not assume any obligation
to update the forward-looking information contained in this press release except
as required by law.
. . . end . . .
Exodus, Exodus Communications and Service Metrics are trademarks of Exodus
Communications, Inc. and may be registered in certain jurisdictions. All other
trademarks mentioned in this document are the property of their respective
owners.
