January 15, 2003 — (WEB HOST INDUSTRY REVIEW) — Managed Web and application hosting provider Digex Inc. (Digex.com) announced on Wednesday that it has released preliminary fourth quarter cash and borrowing metrics for the period ended December 31, 2002.
The company says it did not require any external funding during the fourth quarter, growing its available cash base to approximately $21 million, up from $16 million in the previous quarter.
“We expect full fourth quarter results will reflect the financial benefits we have achieved from all of the work we have done over the last six months to properly align our expense levels with our recurring revenue,” said George Kerns, president and CEO of Digex. “In the quarter Digex was able to cover its operating and capital expenses with no external funding. As we detailed previously, had WorldCom been in a position to pay Digex the re-seller receivables owed from periods prior to their bankruptcy filing, Digex would not have required any borrowing in the third quarter as well.”
