Capital Growth Systems Inc. announced that it has been awarded a contract to optimize the network of a major global carrier in three European markets. Under the terms of the agreement, Global Capacity will offer its systems and tools to identify opportunities to reduce the operating costs of the network. This contract follows an earlier contract with the same Tier 1 client in which Global Capacity utilized its network optimization tools and global pricing applications to identify historical overcharging in 32 countries across Europe, Middle East, and Africa (EMEA). Global Capacity has built and maintains a unique database of market intelligence regarding global communications infrastructure and pricing that provides much needed market transparency to the highly-fragmented global access network market. On top of this market intelligence, the Company has built systems and tools that leverage this data to enable the efficient design, pricing, provisioning, management, optimization, and billing of complex access networks globally. The ability to deliver automated execution of network modifications across the entire telecom supply chain, informed by global market intelligence, enables Global Capacity to reduce the cost and improve the efficiency of connectivity portfolio management. In this engagement, Global Capacity will utilize its automated pricing system that contains customer proprietary pricing data, blended with real-time quotation of competitive market rates, as a basis to conduct the optimization analysis. Global Capacity will cleanse and upload customer network data into a network optimization tool that uses the automated pricing system to identify least cost solutions, alternative providers, and more efficient network designs. The results are stored and displayed in a web-based application that allows the client to execute 'what if' analysis and identify the optimal solution based on their specific business objectives.

Capital Growth Systems Inc. (Global Capacity) announced revenue results for the third quarter and nine months ended September 30, 2009. For the quarter, the company reported revenues of $16.5 million compared to revenues of $5.8 million in the third quarter of 2008, an increase of 184% driven by the acquisition of VDUL in the fourth quarter of 2008. For the nine months ended September 30, 2009, the company reported total revenues were $48.6 million compared to $24.0 million for the same period in 2008, representing a 103% increase.

Capital Growth Systems, Inc., Q3 2009 Earnings Call, Nov-16-2009