Universal Communications Systems Inc Announces Corporate Plans for 2003/4.

Business Editors

MIAMI--(BUSINESS WIRE)--June 2, 2003

Management Announces General Updates,

and Major New Business Direction

Universal Communications Systems Inc (OTCBB:UCSY), company chairman Michael J Zwebner has provided the following open letter to all shareholders and the investment community.

"I am taking this opportunity to address our shareholders and the investment public in general. Our company has gone through several years of can only be regarded as a difficult period, and we have spend a considerable amount of time and funds in cleaning up some of our past legacy, and building a new base for the future.

We currently have focused our attention and activities in three spheres of operations. Digital Way SA. in Lima Peru, AirWater Corporation and CinemaElectric Inc.

In this open letter, I will address and report the activities of each of these companies, and each entity's own plans for the future.

Digital Way SA.

This company is based in Lima Peru. The company's primary activities are in the arena of Internet Broadband Wireless Telecommunications. Over the past few years, several millions of dollars have been invested in developing a unique Wireless Broadband System, customized for the Peruvian Market, and the company currently offers and supplies Broadband Internet on a Wireless basis to hundreds of Key Customers throughout Lima.

The company has constructed an MMDS Tower and Base Station as well as a Teleport in Morro Solar, Chorrillos, and a network control and management center in San Isidro. Using Line Of Sight Wireless technology and utilizing calibrated Transverters, the company offers wide bandwidth wireless Internet access to corporate users, thus filling a niche market need.

The company has plans to now expand the Wireless Broadband service to residential customers, and a test trial in an apartment building in Lima is currently under way.

Digital way, is also the owner of government issued telecommunications licenses, including a CIC Code "1910". The company is in the process of finalizing an agreement with YAK Communications Inc, (NASDAQ symbol "YAKC") (http://www.yak.ca) to provide local services for the establishment of YAK DIGITAL PERU, a new entity that will offer "casual dialing" program to provide discount telecom rates for both local, domestic and international calls for the Peruvian market. The company expects to launch the service in Q3 of this year. For further information visit the company's web site at http://www.digitalway.com.pe

AirWater Corporation

An exciting new business. The business of AirWater Corporation is that of extracting (drinkable /potable) water from the atmosphere / air, the manufacturing of the machines and systems that facilitate this, and the global marketing and distribution of the patented technology, systems and products.

Obtaining refreshed water from the atmosphere is nothing new. In fact, it has been going on since the beginning of time in nature's continuous cycle of evaporation and condensation in the form of rain or snow the Hydrologic Cycle).

At any given moment the earth's atmosphere contains 4,000 cubic miles of water, which is just .000012% of the 344 million cubic miles of water on earth. Nature maintains this ratio by accelerating or retarding the rates of evaporation and condensation, irrespective of the activities of man. It is the sole source and means of regenerating wholesome water for all forms of life on earth.

Man has been extracting water vapor from the air for generations. Most often it is intentional and the water collected is treated as wastewater, such as with dehumidifiers and air conditioners. The common mechanics include traditional refrigerant systems, but other technologies are available such as thermo-electrics (Peltier) and thermo acoustics.

While all these technologies are used for extracting water vapor from the air and are common knowledge the subsequent methods employed to produce potable water from tapping into nature's hydrologic cycle are unique and are patented in the USA and in other nations. The technology used in the AirWater Series of variously sized models is the result of 13 years of research and field-testing and involves many United States and a number of international patents.

The availability and safety of drinking water has become a global problem, including the United States as well as countless areas of the world. Current attempts to alleviate these crises have created a $7.1+ billion bottled water market, a $60+ Billion point-of-use water treatment industry, and wherever practical, incredibly expensive desalination plants with huge infrastructures and severe geographical restrictions. All of these methods require traditional sources of water and each has inherent weaknesses and disadvantages. Even existing municipal water systems experience repeated shortages and contamination problems.

In the United States today for example, 85% of the municipal water systems are on EPA waivers for various reasons. Additionally, it is a guarded fact within the drinking water industry that chlorinated water reacts with organic matter found naturally within it to produce carcinogens.

In spite of the above there exists a pent-up, insatiable, world-wide need for new sources of drinking water. The company now has available, developed with patented technology, a new and inexhaustible source of safe and healthy drinking water. Approximately .000012% of the earth's 344 million cubic miles of water is in the atmosphere at any given time. (That's 4,000 cubic miles of water.) Nature continuously recycles this water through precipitation and evaporation and it is unaffected by the activities of man. The company has acquired a patented method to tap into this cycled water using a device or "appliance" currently designated as the AirWater System.

The AirWater System and Products can be made and sold in many sizes, producing from just 1 or to over 2,200 gallons per day.

While extracting water vapor from the atmosphere is not in itself a patent-able idea the method(s) used in successfully handling and treating this water is patent-able. (All past attempts at this concept have failed technically and /or aesthetically in their handling and treatment methods.)

Basically, the AirWater System, regardless of the model size, sterilizes each drop of water within 5-6 seconds of its formation by exposure to ultra-violet light. UV light waves fracture the DNA strands within bacteria, virus, and other microorganisms, which kills them instantly.

This sterilized water is then passed through a unique patented 1-micron activated carbon water filter. (The average size of bacteria is 5 microns). This filter removes any possible solid particles, toxic chemicals, volatile organics, and other contaminates as well as any odors, taste, or discoloration. This filtration is followed by a 2nd UV exposure and sterilization.

The same bulb bathes the exit port, also patented, in UV light creating a sterile exit. The AirWater System maintains an enclosed sterile environment throughout its water treatment, from the first drop in to the last drop out -- into a water tank or removable container. It is imperative to any marketing success that this water be handled safely and aesthetically, which no other method can do.

The company has just recently entered into agreements with an overseas manufacturer and has signed marketing and distributions with 2 separate industrial groups.

The company has made serious inroads into marketing the systems and machines to the Armed Forces of several nations, and is working closely with the representatives of the UN and several internationally acclaimed Aid Agencies. The company is on the verge of securing substantial orders for its newly designed machines, and systems. For more information on the company and its products and services, see the web site at http://www.airwatercorp.com

CinemaElectric Inc

CinemaElectric is the world leader in creating and distributing multimedia content for mobile phones. The company's digital products include not only an archive of more than 15,000 multimedia content items, and is added to each month by a regular distribution of more than 1300 content items. CinemaElectric multimedia is formatted for multimedia phones made by Nokia, Sony Ericsson, Panasonic, Seimens, Sharp, Motorola and other manufacturers. The company's content is called "PocketCinema(TM)" and includes all popular content types, including Multimedia Messaging templates and content, MMS "Motion Pictures", Wallpaper, CMX "Ringers", Animated Screensavers and five formats of mobile video for download and/or streaming.

The company's digital product is currently being commercially distributed in Japan, Taiwan, Singapore, Hong Kong, USA, Canada, UK, The Netherlands, Belgium, Germany, Finland, Croatia, The Baltic's, Czech Republic, Austria and Turkey. By the end of the Third Quarter of 2003, the company is expected to launch commercial distribution in Spain, Italy, Portugal, Ireland, Norway, Denmark, Sweden, Israel, Greece, Kuwait and Australia. By early 2004 the company expects to expand into Mainland China and other countries in Asia, Eastern Europe and Latin America.

CinemaElectric content is divided into content category channels, including Sports, Models, Greetings, Fashion, Celebrities and decorative screensavers. The company exclusively represents images featuring Elvis Presley and will be adding more banded exclusive content later in 2003.

Distribution is facilitated by both direct distribution agreements with Wireless Network Operators as well as Resellers and Content Portals. Distribution technologies include GPRS, MMS, WAP, CDMA 1X and I-Mode. The company's success is not dependent on the adoption of 3G wireless technologies, but will benefit by the high-speed technology when it is widely adopted. Current technology, referred to as 2.5G, is adequate for successful commercial distribution of the companies content.

The company maintains active technology and distribution partnerships with Nokia, Sony Ericsson, Qualcomm, Packet Video, Emblaze, QuickTime, Atlas Telecom Mobile, Mforma, Buongiorno Group, End2End Mobile, Musiwave and other industry leaders.

Revenue is at an early stage, since most commercial agreements were completed in Q1 &2 2003. In some cases, billing and delivery infrastructure is still being finalized and launched, especially for video downloads and streaming to mobile phones. The company anticipates dramatic growth in the 4th quarter and anticipates a positive cash flow in calendar year 2004.

The company was founded in 1999 by filmmaker and entrepreneur James F. Robinson, and the company developed an exclusive, patent-pending production process called Dense Media Format(TM). The company currently has twelve full time and part time employees, plus contract labor. This process allows for high quality adaptation of raw motion picture and photographic content into all mobile formats, at a modest cost. The company is based at the Los Angeles Center Studios in downtown Los Angeles, Hollywood's newest motion picture studio where TERMINATOR 3, CHARLIE'S ANGELS, PLANET OF THE APES, LEGALLY BLONDE II and many other Hollywood blockbusters are created.

The company has several competitive advantages over potential competition, including a significant archived content library, a rapidly growing distribution network on three continents, an exclusive production process and key technology and distribution partnerships. CinemaElectric is the only company in the industry to offer integrated content offerings in all mobile formats - from simple wallpaper images to mobile video. The company will use these key advantages secure more exclusive branded content deals with media and publishing companies, as well as other global brands, and will expand into sponsored content delivery, or "advertainment" via it's strong global distribution network.

For a detailed description of the company's activities and programs, see the web site at http://www.cinemaelectric.com

The above descriptions of the company's current business activities are as of June 2003. As each of the entities is moving forward, changes are occurring to many aspects of the companies. We at UCSY will continue to bring you updates on a regular basis. For more detailed information, feel free to visit our web address at http://www.UCSY.com

Thank you"

Michael Zwebner

Chairman of the Board

Universal Communications Systems Inc

Safe Harbor.

Caution Concerning Forward-Looking Statements by Universal

Communications Systems Inc.

This document includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations or beliefs, and are subject to uncertainty and changes in circumstances. Actual results may vary materially from those expressed or implied by the statements herein due to changes in economic, business, competitive, technological and/or regulatory factors, and factors affecting the integration of the businesses of Universal Communications Systems Inc. More detailed information about these factors may be found in filings by Universal Communications Systems Inc. with the Securities and Exchange Commission, including their most recent annual reports on Form 10-KSB and quarterly reports on Form 10-QSB. Universal Communications Systems Inc is under no obligation to, and expressly disclaim any such obligation to, update or alter their forward-looking statements, whether as a result of new information, future events, or otherwise.