CableMaxx announces third quarter results; subscriber base increases 46 percent.

AUSTIN, Texas--(BUSINESS WIRE)--May 12, 1995--CableMaxx, Inc. (Nasdaq: CMAX) today announced its financial and operating results for the third quarter of fiscal 1995 ended March 31, 1995.

Cablemaxx reported that its revenue for the third quarter of fiscal 1995 was $3.4 million, a 61 percent increase over the $2.1 million reported in the same period last year. The company reported a net loss for the quarter of $2.4 million or $0.27 per common share, versus a net loss of $1.9 million, or $0.22 per common share, last year. The average number of shares outstanding for the third quarters of 1995 and 1994 were 8.9 million shares and 8.6 million shares, respectively.

For the nine month period ended March 31, 1995, the company reported revenues of $9.9 million, compared to $5.0 million reported for 1994's comparable period. Net loss for the nine month period was $6.8 million, or $0.78 per common share, compared to net loss of $4.7 million, or $0.71 per common share reported for 1994's comparable period.

On March 31, 1995, CableMaxx had 32,656 subscribers, a 46 percent increase over the 22,347 subscribers at the end of the third fiscal quarter of last year, and represents a net gain of approximately 1,100 versus the number of subscribers at the end of the second fiscal quarter 1995.

Tommy Gleason, Jr., President and Chief Executive Officer of CableMaxx, commented, "We finalized the previously announced Salt Lake City acquisition, thereby adding approximately 430,000 line-of-sight homes and businesses." Mr. Gleason continued, "CableMaxx generated positive cash flow at the system level for the third consecutive quarter. For the current quarter, system level cash flow improved to approximately 15% of revenue, while average monthly churn was reduced to under 2.5%."

Mr. Gleason further added, "Recent investments into wireless cable systems by several operating telephone companies have increased investment interest in the wireless cable industry. CableMaxx views these positive events including the successful placing of high yield securities by other wireless cable companies as beneficial to future fundraising activities."

CableMaxx, Inc. develops, owns and operates wireless cable television systems. It currently provides service to over 33,300 subscribers in its Austin, San Antonio, Temple/Killeen, and Waco, Texas systems. The company also has certain channel rights to broadcast wireless cable in Salt Lake City, UT, and several other Texas communities. The company estimates that its service can be received by approximately 1,614,000 households and businesses. CableMaxx is traded on Nasdaq under the symbol CMAX. -0-

                             CableMaxx, Inc.
                  Consolidated Statements of Operations
                        Third Quarter Fiscal 1995

                          Three Months Ended     Nine Months Ended
                          3/31/95    3/31/94     3/31/95    3/31/94

Revenues              $ 3,443,641 $ 2,132,883  $ 9,918,532 $ 5,033,476

System operations and
  selling general and
  administrative        3,634,296   3,127,900   10,840,035   6,880,695

Earnings before interest
  depreciation and
  amortization           (190,655)   (995,017)    (921,503) (1.847,219)

Depreciation and
 amortization           1,996,426   1,050,870    5,533,766   2,721,208

Operating loss         (2,187,081) (2,045,887)  (6,455,269) (4,568,427)

Interest expense         (322,764)    (80,678)    (563,567)   (411,746)

Other income (expense)     66,195     230,782      216,695     269,116

Net loss             $(2,443,650) $(1,895,783) $(6,802,141) $(4,711,057)

Loss per share       $     (0.27) $     (0.22) $    (0.78)  $     (0.71)

Average number of shares
  outstanding          8,902,437    8,600,000   8,700,812     6,655,556

Subscribers at
 period end               32,656       22,347

CONTACT: CableMaxx Inc., Austin

Tom Gleason, Jr., President and CEO, 314/471-5022

Ralph Kelly, CFO, 512/345-1001