Clearnet Communications Inc. is awarded 30 MHZ national pcs licence.

PICKERING, Ontario--(BUSINESS WIRE)--Dec. 19, 1995--CLEARNET COMMUNICATION (NASDAQ: CLNTF TSE, ME: NET.A) Clearnet Communications Inc. (NASDAQ - CLNTF: TSE, ME - NET.A) announced today, that pursuant to an announcement by Canada's Industry Minister, the Honourable John Manley, the Company's wholly owned operating subsidiary, Clearnet PCS Inc., has been awarded one of two new national 30 MHz Personal Communications Services ("PCS") licences for Canada.

In making the announcement, Industry Canada commented that "this is the dawn of a new era. More Canadians will have access to small, low-cost, and fully-portable communications systems that will offer them services unheard of now. A personal on-ramp to the Information Highway and a personal phone number - assigned to a subscriber and not to a machine - are some of the many possibilities of PCS."

Clearnet Receives One of Only Two 30 MHz Licences

Robert C. Simmonds, Clearnet's Chairman and Vice President, Regulatory/Technology said that "the decision to award the two new large national 30 MHz licences to non-cellular companies will create a sound industry structure which should facilitate the development of enhanced competition and innovation.

"Moreover, Industry Canada's decision should lead to significant investment, growth and job creation in Canada's wireless telecommunications industry. Clearnet alone is expected to create a total of 4,800 new jobs over the next decade, (1,200 directly, 3,600 indirectly) as a result of receiving the PCS licence."

Clearnet's PCS Vision

Simmonds commented that: "Clearnet's vision of 2 GHz Personal Communications Services consists of:

- A vast array of new, innovative services which deliver value, choice, and personal control in wireless telecommunications services for the greatest number of Canadians;

- An interconnected and interoperable network of networks by which Clearnet's PCS consumer clients conveniently access all new and existing telecommunications networks seamlessly and effortlessly to reach people, ideas, images and information in Canada, North America and around the world; and

- A vehicle for the expansion of Canadian high knowledge - high value jobs in telecommunications and information technology, including product and service development, manufacturing, export and research and development."

Simmonds further said, "Clearnet expects that its PCS vision will drive competition in basic services, both wireless and wireline. It will also drive innovation and the integration of communication and information technologies inherent in the development of Canada's Information Highway.

"Ultimately, PCS is a service concept focused on individuals - their freedom to choose products and services, service providers, and the means by which they use the provided services to benefit their personal lifestyles through increased productivity, convenience, and personal safety and security."

PCS To Complement Clearnet's Business Communications Network

George A. Cope, Clearnet's President and Chief Executive Officer, said "being awarded a national 30 MHz PCS licence, which is more spectrum than was originally awarded to either of Canada's cellular operators in 1985, is a major milestone in Clearnet becoming Canada's third major wireless service operator. Clearnet is already in the process of building a fully digital Business Communications Network ("BCN") which is expected to commence service in mid 1996.

"The first phases of Clearnet's BCN will cover Canada's major traffic network from Quebec City to Windsor, providing service availability to over 14 million people. The Company will now be able to expand its traditional business communications focus by developing fully complementary PCS services directed at the mass consumer market.

"Clearnet has conducted extensive primary market research which indicated that one in two Canadians are interested in PCS services. The decision by Industry Canada to award such an important allocation of wireless spectrum to Clearnet is in part a worthy recognition of the outstanding talent and creativity of our employees."

Clearnet is a Canadian controlled wireless communications company servicing over 40 cities across Canada.

CONTACT: Clearnet Communications Inc.

Robert McFarlane, 905/837-3007

Internet: [e-mail]