Metromedia Fiber Announces Termination of Fiber Optic Agreements

NEW YORK, April 10 -- Metromedia Fiber Network Inc. has received notices from Verizon Global Networks and Genuity Solutions terminating its respective fiber optic agreements with MFN. These agreements call for the company to lease capacity to Verizon and Genuity on the company's fiber optic network and for Verizon and Genuity to make total payments to the company of $350 million and $200 million, respectively, of which $235 million and $140 million, respectively, have already been paid to MFN.

Verizon is continuing to engage in discussions with MFN concerning their relationship. Metromedia Fibers said it expects to begin negotiations with the holders of its other indebtedness for consensual restructuring.