AB Liquidating Corp. Settles Litigation.

SAN JOSE, Calif. -- AB Liquidating Corp. f/k/a Adaptive Broadband Corporation (Pink Sheets:ADAPQ) announced today that the settlement stipulation it entered into with certain of its former directors and officers and executed by all parties as of January 21, 2004, to settle, among other things, a derivative lawsuit under the caption Elders v. Denend, et al., Civ. No. 798386, became effective in the first half of September, 2004.

Based on the results of AB Liquidating Corp.'s Chapter 11 case, including the settlement referred to herein, and pursuant to AB Liquidating Corp.'s First Amended Plan of Reorganization dated January 18, 2002, filed and confirmed in AB Liquidating Corp's voluntary bankruptcy case under Chapter 11 of Title 11 of the United States Code, AB Liquidating Corp. will be able to pay its creditors in full on account of their allowed claims in AB Liquidating Corp.'s Chapter 11 case and believes that funds will be available for distribution to its equity holders; however, the amount and timing of any such distributions to its equity holders cannot presently be determined.

Forward Looking Statement Disclosure: This press release may contain forward-looking statements that are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, as amended. Such statements are subject to significant risks and uncertainties, which may cause actual results to differ materially. AB Liquidating Corp. disclaims any intention or obligation to update or revise any such forward-looking statements, whether as a result of new information, future events or otherwise. No assurance can be given that distributions will be made to the equity holders of AB Liquidating Corp. Accordingly, the value of AB Liquidating Corp.'s stock is highly speculative and AB Liquidating Corp. urges that appropriate caution be exercised with respect to existing and future investments in such securities.