California Microwave Wins Contract to Supply Microwave Radios for Brazilian Operator.

REDWOOD CITY, Calif.--(BUSINESS WIRE)--Oct. 2, 1996--California Microwave Inc. (Nasdaq National Market:CMIC) announced today that it had won a contract in excess of $4 million to supply digital microwave radios for Telecomunicacoes de Rio de Janeiro S.A. (Telerj), a regional operator within Brazil's national telephone system.

The 15 and 23-GHz radios, from the company's Microwave Network Systems (MNS) division, will be used to expand Telerj's cellular infrastructure. This is part of a plan announced by Telerj to add 300,000 cellular lines in the Rio de Janeiro area in 1996 and 1997.

Expanding Sales in Brazil

This is the second contract awarded by Telerj to MNS' Brazilian partner, Infranav, in 1996. The first contract was valued at approximately $2 million. Chris Brown, vice president of MNS International, voiced optimism about California Microwave's prospects in Brazil. "We are honored that Telerj has selected our products again. We plan to aggressively pursue further opportunities in Brazil and establish California Microwave as the microwave standard in the market. Our partnership with Infranav is helping us to accomplish that."

A Growing Communications Market

Brazil's telecommunications infrastructure has doubled in size in the last decade. Telecommunications traffic increased four-fold in the same timeframe and there appears to be no end in sight to the growth. This is particularly encouraging for wireless providers like California Microwave, because the nation's diverse topography lends itself more easily to microwave and satellite applications than to fixed cable-based systems.

Infranav is a Rio de Janeiro-based limited partnership which specializes in the installation and maintenance of telecommunications systems. In addition to these Telerj contracts, Infranav is involved in projects with four other regional operators in Brazil.

California Microwave Inc. is a leader in wireless communications. It is the number one U.S. supplier of microwave radios and telecommunications satellite earth stations used in wireless communications. The company operates facilities in seven states and sells into more than 110 countries.

Its MNS division designs and manufactures microwave radio systems for cellular, personal communications services, and public and private communications networks. With total implementation capabilities, MNS offers system design, path engineering, program management, installation, training, and maintenance. All of California Microwave's commercial facilities are certified to the ISO 9001 quality standard.

CONTACT: California Microwave Inc.

Stephanie M. Day, 415/596-6629 (Corp. Communications)

Investor Information Line, 888/225-6789 (toll-free)

http://www.calmike.com

or

William Dunk Partners Inc.

Deborah Passik, 214/960-9611