Cabletel Announces Receipt of Default Notice and Demand for Payment from CommScope; Also Announces Extension of Date for Submission of Bids for the Company.

Business Editors/High-Tech Writers

MARKHAM, Ontario--(BUSINESS WIRE)--Feb. 18, 2004

Cabletel Communications Corp. (AMEX: TTV; TSE: TTV), the leading distributor of broadband equipment to the Canadian television and telecommunications industries, announced that it has a default notice and a demand for payment from CommScope, Inc. of North America, one of the Company's largest suppliers and the holder of a senior subordinated unsecured promissory note in the Company. In the notice, CommScope has demanded payment in full of approximately U.S. $1.2 million in amounts due under that note. In addition, CommScope has demanded payment in full of approximately U.S. $0.9 million in open accounts receivable owed by the Company to CommScope.

Cabletel also announced that it has extended the previously announced deadline for submission of bids for the Company and/or any of its subsidiary companies or operating segments until 5:00 P.M. EST , Thursday, Feb. 19, 2004. Bid instructions can be obtained by contacting Mr. Calvin Iwata at [phone] or by email at [e-mail]. In connection with the solicitation of bids, the Company has not committed to sell itself or any of its assets and reserves the right, in its sole discretion, to reject or modify any or all bids submitted.

The amounts owed by the Company to CommScope under the promissory note are unsecured and fully subordinated to the rights of the Company's senior secured lender, LaSalle Business Credit, a division of ABN AMRO Canada N.V., Canadian Branch, under the Company's senior credit facility. In that regard, the senior lender has exercised its entitlement to restrict the Company from making any payments to CommScope. As previously announced, subject to certain conditions which the Company has or currently believes it will satisfy, the senior lender has agreed to forebear from taking any immediate action under the rights and remedies afforded to it in the credit agreement and related documents until February 20, 2004.

As previously announced, the Company is currently facing liquidity issues and, as a result, the Company does not currently have adequate working capital to meet its current obligations (including repayment of the amounts owed to CommScope), thereby putting into doubt the Company's ability to continue as a going concern. To address these issues, the Company has been in continuing discussions with its senior lender and is actively exploring various options including (i) raising additional financing through the issuance of debt or equity securities, (ii) the restructuring of existing obligations and (iii) selling the Company or certain of its assets. There can be no assurances that any of these efforts will be successful and the Company may be required to consider alternative courses of action including filing a voluntary petition seeking protection under applicable Canadian and/or U.S. restructuring laws.

As part of those restructuring efforts, on February 9, 2004, the Company announced that it would consider proposals for the sale of the Company and/or any of its subsidiary companies, Allied Wire and Cable Ltd., Stirling Connectors USA and Stirling Connectors Israel, or operating segments and set 5:00 P.M. EST, February 17, 2004 as the deadline for submission of bids. Today, the Company announced it has extended that deadline for submission of bids until 5:00 P.M. EST, Thursday, February 19, 2004.

Cabletel Communications offers a wide variety of products to the Canadian television and telecommunications industries required to construct, build, maintain and upgrade systems. The Company's engineering division offers technical advice and integration support to customers. Stirling Connectors, Cabletel's manufacturing division supplies national and international clients with proprietary products for deployment in cable, satellite and other wireless distribution systems. More information about Cabletel can be found at www.cabletelgroup.com.

This press release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements. Actual results may differ materially from those indicated by these forward-looking statements as a result of risks and uncertainties impacting the Company's business including its current liquidity crisis, its restructuring efforts, weakness in the Company's market, more restrictive payment terms from suppliers, requirements imposed by the Company's creditors, increased competition; the ability of the Company to expand its operations through either acquisitions or internal growth, to attract and retain qualified professionals, and to expand commercial relationships; technological obsolescence; general economic conditions; and other risks detailed time to time in the Company's filings with the Securities and Exchange Commission.