Level 3 Jumps on AOL Deal

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Level 3 Communications

(LVLT)

was climbing 21.1% to $6.90 in Instinet action before Tuesday's opening bell on news the company signed a services deal with America Online, a division of

AOL Time Warner

(AOL)

.

America Online will purchase Level 3's (3)Link Global Wavelength and (3)Center Colocation services in North America. The Internet service provider will also purchase (3)Link Private Line services connecting North America to several cities in Europe.

Financial terms of the deal weren't disclosed, but Level 3 described the arrangement as a multiyear pact.