CrossWave Communications (fka CWCI)

[Renee]

CWCI revoked:

http://www.sec.gov/litigation/admin/2013/34-69004.pdf

[sidedraft]

ORDER INSTITUTING
ADMINISTRATIVE PROCEEDINGS
AND NOTICE OF HEARING
PURSUANT TO SECTION 12(j) OF
THE SECURITIES EXCHANGE ACT
OF 1934

5. Crosswave Communications, Inc. (CIK No. 1119174) is a Japanese
corporation located in Tokyo, Japan with a class of securities registered with the
Commission pursuant to Exchange Act Section 12(g). Crosswave Communications is
delinquent in its periodic filings with the Commission, having not filed any periodic
reports since it filed a Form 20-F/A for the period ended March 31, 2002, which reported
a net loss of over $100 million for the prior year.

http://www.sec.gov/litigation/admin/2012/34-68321.pdf

[blueskywaves]

This is one of the most advanced IP networks in the world....

Crosswave Expands Access to Wide-area Ethernet Platform Service
Monday July 7, 10:00 pm ET

TOKYO--(BUSINESS WIRE)--July 7, 2003--Crosswave Communications, Inc. (Crosswave, Nasdaq: CWCI) today announced it will expand its access options, starting July 10, 2003. The Ethernet access service area for the Wide-area Ethernet Platform Service will be broadened, and Powered Ethernet service by PoweredCom, Inc. will also be available.

Crosswave has added several services since the beginning of 2003, including OMP High-speed Ethernet Access, Dedicated Ethernet (KVH), Ethernet Access, and other access options. These combine to give customers a broader range of access options in various service areas, enabling the construction of end-to-end Ethernet networks nationwide.

Crosswave pioneered the Wide-area Ethernet Platform Service in October 1999, and has been employing the latest technology ever since to expand and promote the new wide-area network service. Crosswave will continue to expand access line options as well as new products and mobile access service areas. The Company will continue to offer lower prices to enable customers to flexibly build advanced, reliable, and cost effective networks with a mixture of high-speed and low-speed lines to suit any situation.

About Crosswave

Crosswave Communications Inc. (Crosswave, Nasdaq:CWCI) is a data communications carrier offering customers reliable and versatile broadband networks and network services, enabling them to streamline and innovate their business infrastructure. Founded in 1998 by Internet Initiative Japan (Nasdaq:IIJI - News), Sony Corporation (NYSE: SNE - News) and Toyota Motor Corporation (NYSE: TM - News), the Company has made groundbreaking changes in the Japanese telecommunications market by offering a completely data-centric network.

Currently, 90% of the traffic on Crosswave's nationwide network infrastructure is Ethernet-based, provided mainly through its flagship, Wide-area Ethernet Platform Service. Launched in 1999, the Wide-area Ethernet Platform service introduced a brand new type of network service to the market. The Company's fully integrated data centers and other services have redefined the role of carrier services by accommodating entire corporate system requirements. With the quality of its networks and its wide-ranging value-added features, the company has been a pioneer in the development of the data communications market in Japan. The Company offers its services to a diverse base of over 400 customers including many blue-chip companies in Japan.

The statements within this release contain forward-looking statements about our future plans that involve risk and uncertainties. These statements may differ materially from actual future events or results. Readers are referred to the documents filed by Crosswave Communications Inc. with the SEC, specifically the most recent reports on Forms 20-F and 6-K, which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements.

Contact:
Crosswave Communications Inc.
Media/Investor Relations:
Hiroaki Tsuno, [phone]
Fax: [phone]
[e-mail]

[blueskywaves]

Broadband Market to Top 10 Trillion Yen in '07: Govt White Paper

July 5, 2003 (TOKYO) -- Japan needs to promote the use of broadband products and services by bolstering protective measures against computer viruses and other types of cyber attacks, the Posts and Telecommunications Ministry said in its annual white paper.

The report forecasts that the broadband-related market will grow to 10.2 trillion yen in 2007, from 2 trillion yen in 2002.

Posts and Telecommunications Minister Toranosuke Katayama submitted the report to the cabinet on July 4.

The annual report, titled "Pursuing the Creation of a Japanese-Led New IT Society," states that if Japan takes advantage of its cellular phone and other technologies, it will be able to become a global leader of the next-generation IT industry. The white paper also analyzes the actual status of Japan's IT society and the tasks it faces in order to develop further.

Because charges for high-speed, high-capacity broadband services in Japan are now among the cheapest in the world, the report predicts that the number of subscribers will increase to 59.67 million at the end of 2007, from 19.55 million at the end of 2002.

The spread of broadband services will expand the market for distributing music and other data to about 600 billion yen from about 250 billion yen over the same five-year period, the report says.

The document also points out Japanese companies suffered about 350 billion yen in damages from computer viruses last year.

(The Nihon Keizai Shimbun)


Japan's Broadband Users Reach 10 Million

July 1, 2003 (TOKYO) -- Japan's broadband users increased 528,892 from the end of April 2003 to reach 10,488,773 million, according to the Ministry of Public Management, Home Affairs, Posts and Telecommunications in its primary report on the number of broadband subscribers.

It took approximately 10 months since the end of July 2003, when the number of broadband users broke the 5 million mark, to pass another 5 million.

Fiber-to-the-home (FTTH) users increased 51,400 during the month of May to 398,336. It is the first time to see more than 50,000 users signing up for FTTH services in a month alone, the report said.

The number of subscribers to digital subscriber line (DSL) services was already announced by the ministry on June 9. At the end of May, the number grew 429,492 in the preceding month to 7,907,437.


Japan's Broadband The World's Fastest, Cheapest: ITU

May 8, 2003 (TOKYO) -- Japan offers the fastest, most inexpensive broadband communications services in the world, according to a survey by the International Telecommunication Union (ITU), an United Nations organization that coordinates telecom policy.

But even as the ITU named it the pioneer of the ubiquitous society, where users can connect to the Internet from anywhere anytime, Japan ranked No. 12 in terms of the percentage of people connected to broadband services. This shows that despite the availability of a broadband infrastructure, the nation still lacks content compelling enough to attract users.

The ITU first compared broadband Internet connection fees as a percentage of average household income in various nations. At 0.8%, Japan had the lowest and thus ranked No. 1. Switzerland and Iceland tied for second place at 1.3% each. South Korea ranked 18th with 3%, despite winning the top spot for the highest percentage of those connected to broadband services, with 21.3 out of 100 people connected. But these comparisons do not take transmission speed into consideration.

When comparing the monthly cost per 100kbps of service, Japan again topped the list with the cheapest, 0.18 dollars, followed by South Korea with 0.29 dollars. Iceland and Switzerland fell to 13th and 16th, respectively, in this category. South Korean services are of high quality but are costly for its citizens, who earn less than their European and Japanese counterparts. On the other hand, communications fees constitute a small portion of average Swiss household income, thanks to high earnings, but the transmission speeds of Swiss services are only 256kbps.

Based on these comparisons, ITU designated Japan, which competes with South Korea for the fastest speed of 12Mbps, as the nation boasting the best overall broadband service in the world.

(The Nihon Keizai Shimbun)

[blueskywaves]

Japanese Firms' Spending Plans Up 6.7% This Fiscal Year - METI
Monday July 7, 4:51 am ET
Dow Jones Business News

TOKYO -(Dow Jones)- Japanese companies plan to increase capital expenditures by 6.7% on year this fiscal year through March 2004, a government poll showed Monday, in another sign business sentiment in Japan is improving.

This would mark the first rise in firms' planned capital expenditure in two years. Companies cut investment 9.8% in the fiscal ended March 31 and reduced such outlays 1.4% the year before.

Manufacturers plan to spend 17.1% more on plant and equipment this fiscal year, while non-manufacturers project a 1.5% rise, according to the annual survey carried out by Japan's Ministry of Economy, Trade and Industry.

The figures are largely in line with last week's Bank of Japan tankan survey, in which large companies said they planned to boost capital expenditure by 4.9% on average this fiscal year.

The METI survey said manufacturers in all industries plan to raise spending this fiscal year, with steel and nonferrous metal makers expecting expenditures to be 33.0% and 43.3% higher, respectively, than last year.

Automobile makers plan to increase outlays by 24.3% this fiscal year, while electronic machinery makers plan to boost spending 20.1%.

Non-manufacturers appeared less optimistic about business conditions, with fitness-related firms planning to slash capital spending by 90.4%, the biggest such cut among non-manufacturers. Heat suppliers and holiday resort developers were the most upbeat, expecting increases of 144.1% and 51.0% respectively.

The ratio of spending on upgrading or maintaining plant and equipment to total expenditure rose to 23.6% this year from 21.9% last year, the survey showed.

Companies plan to keep the ratio of expenditure on increasing production unchanged at 43.2%, and raise research and development expenses to 5.9% of the total from 5.0% last year.

Information technology-related spending is also forecast to rise 13.3% in fiscal 2003, compared with a fall of 22.5% last year.

The survey covered 2,204 companies with capital of more than Y100 million and had a response rate of 60.9%.

-By Joseph Quini, Dow Jones Newswires; 813-5255-2929; [e-mail]
-Edited by Hugh Lawson

[blueskywaves]

Small / Mid Cap Overview
03-Jul-03 09:47 ET

[BRIEFING.COM -- Robert J. Reid] Briefing.com has been highlighting small cap ideas on In Play nearly daily for the past six months. In this column, we will provide a more in-depth analysis of ideas. We are changing our strategy on the sector as a whole. The breakout strategy has worked well, but appears to have mostly run its course. While we are not abandoning those names, we recommend investors consider some value small caps.

Solid Second Quarter

Q2 was a heck of a quarter for the small cap space. The Russell 2000 and the S&P 600 Small Cap Index were up +23.0% and +19.6%, respectively. This compares to +14.9% for the S&P 500 and +12.4% for the Dow.

In the first half of 2003, Briefing.com highlighted some breakout / strong story opportunities in the In Play section.

For example, MetroLogic was profiled in January as a play on increased demand for airline security services.

Example (Jan 21): New High Profile -- Metrologic Inst (MTLG) 9.41 +1.86: Issue moves to a new 52-wk high. While volume today is 8.6x avg turnover, the 24% advance is occurring on just 33,000 shares traded. MTLG is a manufacturer of laser and holographic bar code scanners used by grocery stores, package handlers, and libraries. Co also offers airport baggage scanning systems. MTLG's 'scanning tunnel' system is used by airports to direct bags to the appropriate aircraft loading ramp by interpreting bar codes attached to luggage at the the time of check-in. Baggage that has not been properly entered into the system or identified as being searched is rejected and sent to a separate claim line to be investigated... MTLG is expected to grow EPS by 78.5% in 2003 to $0.50 (p/e 18.8). Stock higher today after MTLG raised Q4 outlook to +$0.25 from $0.10. Mkt-cap $52 mln.

MTLG is up 287% since then. Other winners include: ASKJ +194% (Jan 29); CNQR +145% (Jan 10); EELN +111% (Apr 3).

Stratasys is an example of a stock that appeared to be under accumulation based on its strong volume. Valuation helped to confirm that this was probably the case.

On March 21, we wrote: Stratasys, Inc. (SSYS 12.50) -- New High Profile (SSYS) 12.50 +0.75: Stratasys (SSYS) hit a new 52-week high today on almost 5x avg volume. Co makes prototyping devices that allow engineers and designers to create models and prototypes from computer-aided design (CAD) workstations; customers include GM, Intel, Boeing, Lego, Honda, Lockheed Martin, and Ford. Analysts expect 2003 EPS to grow 48% to $0.83 (P/E 15x) and 2004 EPS to grow 18% to $0.98 (P/E 13x). Mkt cap $66 mln, float 4.5 mln, avg daily volume 70k shares.... The stock is now above $35.

Our Current Strategy

We are now concerned that streteched valuations and over-extended technicals leaves previously compelling names such as MTLG and SSYS vulnerable to major price corrections.

The breakout strategy appears to be on its last leg. Lately, we have been focusing more on small cap value names for our readers. With the run-up, we are a bit more cautious on the small cap space and recommend investors may want to cash in some winning chips.

We are not abandoning our bullish views on the breakouts. We just like them at lower levels and would wait for a pullback to support levels. We prefer a p/e in the 18-20x range, rather than the current 25-35x level that many of these names now trade.

Recent price action has shown that small cap managers are beginning to rotate into value names in more mundane spaces. The sexy names appear to have had their run, leaving investors to look at metrics such as discount to book value as a catalyst to put money to work.

Value may not be a sexy area, but we believe that's where the emphasis should be. Some of the value names have made decent moves, but as long as their valuation is reasonable, they are worth a look.

Please email any comments or suggestions to [e-mail].

http://www.briefing.com

[blueskywaves]

Rotation, Rotation, Rotation<g>

Have a good 4th, Raymond.

 
                   TTM    Mkt.   TTM    Stock Return      Stock 
            O/S   Sales   Cap    PSR  Week ending 7/3   Close-7/3  
 . 
 . 
 SOHU      35.1M  $ 39M  $1.2B  30.8x       +  7.8%      $33.84 
 NTES      31.0M  $ 27M  $1.2B  43.7x       + 10.7%      $37.63 
 IIJI      45.0M  $362M  $392M   1.1x       +110.1%      $ 8.70 
 CWCI      10.0M  $155M  $ 73M   0.5x       +134.0%      $ 7.30 
 . 
 . 
 CWCI - Each ADS is equal to 1/20th of a share of common 
 stock. The ADR ratio was changed to 1/20th on February 18, 2003. 
 . 
 . 
  
  
  
  
  
  
 

                            

[blueskywaves]

Check your email, Raymond.<g>

[arthritis65]

blue...tell me about this stock..looks like a stock i should own.....best raymond

[arthritis65]

blue...tell me about this stock..looks like a stock i should own.....best raymond

[blueskywaves]

Extremely low PSR. High Sales Growth.

IIJI owns 38%. Sony owns 24%. Toyota owns 24%


Overview of 4Q02 and FY2002 results

"We attained satisfactory performance in FY2002. Profitability continued to improve throughout the year," said Akio Onishi, CEO of Crosswave. "Crosswave achieved sales figures in FY2002 that almost doubled those of FY2001. We believe that corporate demand for network reconstruction remains strong despite the fact that, due to the general economic conditions, decision making for investments tends to take longer than before and the timing of investment has been slightly delayed."

"In 4Q02, Crosswave, aimed to differentiate its services from its competitors by expanding its service line-up for the Wide-area IP Platform Service and access line availability," continued Mr. Onishi. "We expanded the reach of our service through the launch of our "Private IP Service" which targets mid-size companies through our partners' sales channels. In addition, we put two new large-scale data center facilities into operation, further positioning Crosswave as the premier total network provider for corporate customers."

Forecast - financial performance for FY2003

"We are targeting FY2003 revenue to grow more than 50% from FY2002 revenue," said Yasuharu Fushimi, CFO of Crosswave. "We intend to improve profitability to turn adjusted EBITDA positive in FY2003, and to reach the break even point for net profit in FY2004."

http://www.cwc.co.jp/en/index.html

JAPAN STATS

 
 Population                 126.8 million  
 Working                     67.7 million  
 Literacy Rate               99%  
 E-Commerce Volume          $18.7 million 
 Wireless Internet Users    50.34 million 
 Registered Internet Sites      7 million 
 

e-Japan

In an effort to help close the Internet-adoption gap between Japan and its economic peers, the Japanese government launched its e-Japan initiative last year. The program is designed to provide Japanese consumers with high-speed Internet access, encourage competition among telecommunications providers, and provide tax incentives for the private sector to build high-speed optical, cable, and mobile Internet networks.

The government has earmarked $16.7 billion annually to fund the e-Japan initiative, which also includes provisions to encourage 30,000 Internet experts from other countries to work in Japan, enable Japanese citizens to pay their national taxes online by 2003, train schoolteachers on desktop computers, and modify legislation to encourage expanded e-commerce.

Although e-Japan is a government program, the initiative’s goal is to encourage Japan’s private sector to help raise the country’s Internet capabilities.—Ewan Morrison


http://business.cisco.com/prod/tree.taf%3Fpublic_view=true&kbns=1&asset_id=87206.html

Developing Infrastructure

In the past, a heavily regulated telecommunications industry made the introduction of fixed-line telecommunications infrastructure systems slow and costly in many areas, limiting availability and hampering Japan’s Internet-business readiness. But recent regulatory reforms, direct foreign ownership of Japanese service providers, and increased competition are resulting in rapid, significant improvements.

For the past few years, the government has spent $35 billion annually to improve its telecommunications infrastructure. Through its recently launched Fiber to the Home and e-Japan initiatives, it intends to provide all Japanese businesses, government offices, schools, and homes with high-speed Internet access by 2010.

Through these initiatives, businesses and consumers alike are embracing the Internet, and they are experimenting with high-bandwidth multimedia applications. IDC Japan predicts that the number of Japanese broadband users will increase 81% each year until 2005, when the number will reach 12.42 million. eMarketer predicts that Japanese business-to-consumer e-commerce will grow to $24.6 billion in 2004 from $5.9 billion in 2001.