360networks Gets Reprieve on Bankruptcy Plan

VANCOUVER, British Columbia, Dec. 21 -- 360networks Inc. has won more time to pursue its restructuring. The US Bankruptcy Court for the Southern District of New York has agreed to extend its cash collateral order until July 2, 2002. 360networks' bank lenders and unsecured creditors had supported the extension. The company is asking a Canadian court for a similar order extending its protection from creditors.

The company hoped to be able to sell off much of its network and reorganize as a North American-based system, but now said it is considering other options. It said 360networks "continues to explore all reorganization options, including a potential acquisition or strategic investment, as well as a stand-alone business."