ClearWorks to Offer BDS to Stone Gate, Projects Revenue Increase of $105 Million.

HOUSTON--(BUSINESS WIRE)--Aug. 24, 1999--

ClearWorks.net (OTC BB:CLWK) announced today that it will provide Bundled Digital Services (sm) to the Stone Gate community located in Houston, Texas. The Company anticipates that the subscriber base will increase its long term revenues by $105 million over the life span on the project. The Stone Gate community is an "Intelligent Community Powered by IBM", and represents a state of the art community which incorporates the integration of IBM (NYSE:IBM) Home Director technology into all homes. ClearWorks is an authorized IBM Home Systems Integrator, which is a key component in the effective delivery of Bundled Digital Services (sm). ClearWorks is the nation's leading provider of Fiber To The Home (FTTH) for the delivery of Bundled Digital Services (sm) including high speed Internet connectivity, dial-tone, digital multi-channel video, on-demand video rental and other digital services.

"This project represents expanding Bundled Digital Services (sm) into a new part of the Houston metropolitan area," stated Mr. McLeroy, the Company's president. "We believe that Stone Gate, as an IBM Powered Community represents the trend nationwide of master planned communities adopting technology. IBM has been proactive in recognizing this potential in the market, and ClearWorks has been successful in utilizing IBM Home Director technology as part of our key delivery mechanism," continued Mr. McLeroy.

The Stone Gate community is a master planned community which has incorporated technology as a part of its master planned development. The community includes Bundled Digital Services (sm) from ClearWorks as well as homes that include the Advanced Power Center from Cutler Hammer which allows homeowners to efficiently manage the home's power consumption.

ClearWorks.net pre-wires or retrofits new or existing homes, multifamily developments and commerical buildings with fiber-optics networks, enabling them to receive the latest computing and telecommunications technology. The Company also works in conjunction with developers and builders to build state-of-the-art technology into new subdivisions, multifamily dwelling units and homes for providing Bundled Digital Services (sm). The Company is an authorized IBM Home Systems Integrator and pre-wires every house or unit with IBM Home Director technology to accept a full compliment of digital services. The Company also provides cabling, networking and consulting services to schools and school districts, enabling them to take advantage of the latest computing and communications technologies. Additional information on IBM Home Director can be found at http://www.ibm.com/homedirector.

The statements made by ClearWorks.net are forward-looking in nature. Although ClearWorks.net believes its expectations are based on reasonable assumptions within the bounds of its knowledge of its business and operations, there can be no assurance that actual results will not differ materially from its expectations. ClearWorks.net believes that its primary risk factors include, but are not limited to: the need for substantial financial requirements; the need to develop effective internal processes and systems; the ability to attract and retain high-quality employees; changes in overall economy; regulatory policy; and the mix of product and services offered in the Company's target markets.