REPEAT/ Motorola Completes Strategic Investment in TIW's German ESMR Operations.BASINGSTOKE, U.K./MONTREAL--(BUSINESS WIRE)--Sept. 30, 1999-- Telesystem International Wireless (TIW Tiw (tē` ), Norse Tyr (tür), ancient Germanic god. ) (Nasdaq:TIWI TIWI Telesystem International Wireless Incorporated (Montreal, Quebec, Canada) ) (ME:TIW.) (TSE See Tokyo Stock Exchange. TSE 1. See Tokyo Stock Exchange (TSE). 2. See Toronto Stock Exchange (TSE). :TIW.) is pleased to announce that Motorola, Inc. (Motorola) has made a strategic investment of US$33 million in the German operations (Dolphin Germany) of its subsidiary Dolphin Telecom Dolphin Telecom was a mobile network operator using the TETRA radio access technology. Their initial network was in the UK but also built networks in France, Germany and Belgium. plc (Dolphin). Motorola will hold an approximate 6.8% equity stake in the German operations. Motorola's investment in Dolphin Germany is exchangeable, upon certain events initiated by Dolphin, into an equity interest currently representing approximately 2.3% in Dolphin. Motorola also has an option to double its investment in Dolphin Germany on similar terms until March 31, 2000. In addition to the equity investment, Motorola and Dolphin have agreed to pursue an alliance in Germany to collaborate on the integration of next-generation digital wireless capabilities for digital Enhanced Specialized Mobile Radio See SMR. (ESMR ESMR Enhanced Specialized Mobile Radio ESMR Extended Specialized Mobile Radio (Nextel) ESMR Expert Systems Message Router ESMR Electrically/Electronically Scanned/ing Microwave Radiometer ESMR Engine Starter Motor Relay , also known as digital PAMR PAMR Public Access Mobile Radio PAMR Private Access Mobile Radio PAMR Pennsylvania Military Reserve PAMR Post-Auricular Muscle Reflex PAMR Public Access with Mobile Radio or digital Public Access Mobile Radio) networks using the European TETRA technology standard. "Motorola is an industry pioneer in the successful development of digital ESMR technologies to serve the business communications market in North America and in other regions of the world," said Yves Marois, president Europe of TIW and chairman of Dolphin. "Motorola's equity participation in our German operations is the result of a shared vision for the ESMR business opportunity and we are pleased with its commitment to our success in Germany," added Marois. Dolphin is building a pan-European digital ESMR network. It recently began offering commercial ESMR services nationally in the United Kingdom supported by a national television and printed advertising campaign and expects to initiate commercial ESMR services in France before the end of the year. The proceeds of Motorola's equity investment will be used to help fund Dolphin's ESMR network deployment in Germany where initial commercial ESMR services are expected to begin during the summer of 2000. "The European market for integrated mobile communications for mobile work groups shows great potential," commented Robert L. Barnett, executive vice president of Motorola and president of the company's Commercial, Government and Industrial Solutions Sector. "We are delighted to contribute to Dolphin's success by expanding our strategic and technology alliance with Dolphin in Germany, and expanding our mutual efforts in extending Motorola's product capabilities and Dolphin's service offerings," continued Barnett. Dolphin is a 78%-owned subsidiary of TIW. Dolphin is the largest operator of Specialized Mobile Radio (SMR (Specialized Mobile Radio) The communications services used by police, ambulances, taxicabs, trucks and other delivery vehicles. Throughout the U.S., approximately 3,000 independent operators are licensed by the FCC to offer this service, which provides always-on ) and ESMR networks in Europe, with approximately 290,000 subscribers in service and licenses covering over 220 million people. It has announced plans to deploy ESMR networks in each country where it holds TETRA licenses: the United Kingdom, France, Belgium, Germany and Portugal. In addition, Dolphin provides SMR services in Spain. Motorola is a global leader in providing integrated communications solutions and embedded electronic solutions. Sales in 1998 were $29.4 billion. Motorola has an extensive TETRA client base in Europe. Motorola supplied the world's first commercial TETRA system for Gardermoen Airport in Norway and will be supplying a system for Copenhagen Metro. In addition to receiving public services contracts in Jersey, the Basque Country in Spain and Amsterdam, Motorola also has supplied trial systems in Germany and Hungary. More recently, the company won a contract to implement a system for the Warsaw Police. To date, Dolphin has awarded Motorola two significant TETRA contracts: the first for 150,000 handsets; the second for infrastructure, including a nationwide network for Germany, and an additional 400,000 second-generation handsets. Motorola also has been awarded a contract to supply a TETRA system in Asia. TIW is a global wireless operator. It develops, acquires, owns and operates wireless telecommunications networks in developing and developed markets throughout the world. In addition to SMR and ESMR services provided by Dolphin in Europe, TIW provides digital cellular services in Romania In 2003 services constituted 55% of gross domestic product (GDP), and the sector employed 51.3% of the workforce. The subcomponents of services are financial, renting, and business activities (20.5%); trade, hotels and restaurants, and transport (18%); and other service activities (21.7%). , Brazil, India and China as well as paging services in Mexico and the Netherlands. TIW is listed on the Montreal Exchange Montreal Exchange A Canadian derivatives exchange that facilitates the trading of stock options, interest rate futures and options, as well as index options and futures. Located in Montreal, Quebec, it is the country's main financial derivative market, while the Winnipeg and the Toronto Stock Exchange Toronto Stock Exchange (TSE) Canada's largest stock exchange, trading approximately 1,200 company stocks and 33 options. under the symbol "TIW" and on the Nasdaq Stock Market Nasdaq stock market The first electronic stock market listing over 5000 companies. The Nasdaq stock market comprises two separate markets, namely the Nasdaq National Market, which trades large, active securities and the Nasdaq Smallcap Market that trades emerging growth companies. under the symbol "TIWI." |
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