Channell Announces New Joint Venture in Mexico With Tele Productos Mexicanos.

Business Editors and High-Tech Writers

TEMECULA, Calif.--(BUSINESS WIRE)--Aug. 23, 2000

Channell Commercial Corp. (Nasdaq:CHNL) Wednesday announced it has established Channell de Mexico S.A. de C.V., a joint venture with Tele Productos Mexicanos S.A. de C.V., a prominent designer and manufacturer of telecommunications equipment products.

Based in Mexico City, the joint venture will focus on the design, assembly and marketing of copper connectivity, fiber optic and enclosure products initially aimed at the Mexican market. The Mexican telecommunications equipment market is one of the largest and fastest growing in the world.

Telmex has announced plans targeting 12 million new access lines over the next three years in Mexico -- a prime growth opportunity for the new joint venture. Channell has a controlling interest in the joint venture. Operations are expected to commence in the third quarter of 2000. Ray Pawley, a vice president of Channell, is executive director of Channell de Mexico.

William H. Channell, Jr., president and chief operating officer, said, "The establishment of Channell de Mexico is consistent with our corporate strategy of providing local operational and service support in key markets with significant growth potential.

"Additionally, we believe Mexico offers significant long-term strategic benefits to Channell in access to skilled labor, logistics within the Americas and cost efficiencies. Tele Productos Mexicanos is a great partner with many years of successful manufacturing and marketing experience. We are honored to be partners with TPM."

About Channell

Channell Commercial Corp. is a global designer and manufacturer of telecommunications equipment primarily supplied to telephone and broadband network operators worldwide. Major product lines include a complete line of thermoplastic and metal fabricated enclosures, advanced copper termination and connectorization products, fiber optic cable management systems and coaxial-based passive RF electronics.

With headquarters in Temecula, Channell currently operates its U.S. manufacturing facilities in California and a distribution facility in North Carolina. International operations include manufacturing facilities in Toronto, London, Sydney, Australia and Kuala Lumpur, Malaysia.

Channell's customers have included telco and broadband service providers such as AT&T, Bell Atlantic, BellSouth, GTE, British Telecom, Singapore Telecom, Telekom Malaysia, Telstra, Cable & Wireless, Rogers Canada, Shaw Communications, Optus, Cox Communications, Time Warner, Media One and TCI.

Corporate Profile

An eight-page Channell Corporate Profile can be viewed at www.channellcomm.com. The Corporate Profile includes illustrations of the Local Loop and typical Channell products in the Local Loop. It also includes a discussion of the company's markets, competitive position and growth strategy.

Forward-Looking Statements

Forward-looking statements contained within this news release are subject to many uncertainties in the company's operations and business environments. Examples of such uncertainties include customer demand, material costs, integration of acquired businesses and worldwide economic conditions among others. Such uncertainties are discussed further in the company's annual report/10K and S-1 filed with the Securities and Exchange Commission.