CHICAGO--(BUSINESS WIRE)--Global Capacity (OTCBB: CGSY.OB):

• Increases total net revenue 32% from the third quarter of 2007
• Improves quarterly gross margin to 31% from 27% in the third quarter of 2007
• Acquires Vanco Direct USA, LLC, subject to regulatory approval

Global Capacity (parent: Capital Growth Systems, Inc. (OTCBB: CGSY.OB)), the world’s first telecommunications logistics company, today announced financial results for its third quarter ended September 30, 2008. The Company reported revenues of $5.8 million compared to $4.4 million in the same period last year, an increase of 32%. Consolidated gross margin was 31% for the quarter, compared to 27% for the third quarter of 2007. Operating loss for the third quarter was $5.1 million.

“We continued to see solid demand for our offerings during the quarter, as we provided a number of international customers with our cost-savings solutions,” said Patrick Shutt, Chief Executive Officer of Global Capacity. “As general market conditions worsen and credit markets remain tight, our customers’ requirement for the dramatic cost savings that we can deliver has intensified. The momentum is clearly building in both our backlog of identified savings now in the process of being implemented, as well as in our pipeline of new contracts, as customers recognize the impact our solutions have on their costs and their margins.”

The Company achieved a major milestone with the recent announcement to acquire the assets of Vanco Direct USA, LLC (Vanco Direct). The addition of Vanco Direct will extend Global Capacity’s leadership position as the first global telecom logistics provider. Vanco Direct’s software and intellectual property assets are complementary to Global Capacity’s unique global pricing and supply chain management systems and strengthen the Company’s intellectual property that forms the core of its logistics business model. The acquisition is expected to be immediately accretive to Global Capacity’s results, beginning in the fourth quarter of 2008 – upon regulatory approval.

For more information, see the press release announcing the acquisition on our website at www.globalcapacity.com.

Commenting on the Vanco Direct announcement, Shutt continued, “We are excited about the opportunity to add Vanco Direct’s customers, products, and employees to the Global Capacity family. Their complementary offerings bolster and strengthen Global Capacity’s current portfolio and their customers can benefit from the breadth of Global Capacity’s logistics offerings.”

Additional Highlights:

• Expanded partnership with a major U.S. telecom leader to provide analysis and deliverables in the EMEA region, as well as Brazil and Asia
• Partnered with a leading European provider of business communications to optimize services to reduce the carrier’s local access costs
• Pipeline continues to gain positive momentum from several major European and North American channels
• The London office, established last quarter, aggressively expanded and diversified the pipeline of new business during the third quarter
• The Company continues to move towards a listing on NASDAQ

Conference Call

A conference call has been scheduled for November 14, 2008 at 9:00 a.m., CT, to review results for the third quarter of fiscal year 2008. To listen to the call over the Internet, visit the Investor Relations portion of the Company’s Web site, www.globalcapacity.com. Please allow at least 15 minutes to register, download, and install any necessary audio software. To listen to the call please dial (877) 718-5106 for North American callers or +1 (719) 325-4753 for international callers; mention Conference ID #2243871. A replay of the conference call will be available through November 21, 2008 beginning one hour after the completion of the live call by phone at (888) 203-1112 for North American callers or +1 (719) 457-0820 for international callers. The conference call contains time-sensitive information that is accurate only as of November 14, 2008, the date of the live broadcast. The call is the property of Global Capacity. Any redistribution, retransmission, or rebroadcast of the conference call in any form without the express written consent of Global Capacity is strictly prohibited.

About Global Capacity

Global Capacity (OTCBB: CGSY.OB) provides a fully-integrated telecommunications supply chain management system that streamlines and accelerates the process of designing, building, and managing customized communications networks. It offers a comprehensive suite of services to enterprises, systems integrators, and carrier customers worldwide. Global Capacity has operational centers in Waltham, MA; Manchester, England; and Houston, TX; with offices in Chicago, IL; New York, NY; Austin, TX; London, England; and Lisbon, Portugal. For more information, please visit www.globalcapacity.com or contact the Company at +1-312-673-2400.

Forward-Looking Statements

Certain information discussed in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and Federal securities laws. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions at the time made, it can give no assurance that its expectations will be achieved. Readers are cautioned not to place undue reliance on these forward-looking statements.

Forward-looking statements are inherently subject to unpredictable and unanticipated risks, trends, and uncertainties such as: the Company's inability to accurately forecast its operating results; uncertainty as to the volume of business or level of profitability of network optimization contracts; the Company's potential inability to achieve profitability or generate positive cash flow; the availability of financing; the risks associated with procuring a listing of its securities on one or more public stock markets; and other risks associated with the Company's business. For further information on factors which could impact the Company and its subsidiaries, and the statements contained herein, reference should be made to the Company's filings with the Securities and Exchange Commission, including annual reports on Form 10-KSB, quarterly reports on Form 10-Q, and current reports on Form 8-K. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.

Customers, Partners:
Global Capacity
Jack Lodge
Chief Operating Officer
+1 781-902-5196
jlodge@globalcapacity.com
or
Media, Analysts:
Patrick Van de Wille
FD-Ashton Partners
+1 312-553-6704
patrick.vandewille@fdashtonpartners.com
or
Investors:
Jeff Salzwedel
Salzwedel Financial Communications, Inc.
+1 503-722-7300
jeff@sfcinc.com