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MicroTel International's Subsidiary, CXR Telcom, Secures Orders from Verizon Communications

Posted on: Wednesday, 8 October 2003, 06:00 CDT

RANCHO CUCAMONGA, Calif.--(BUSINESS WIRE)--Oct. 8, 2003--MicroTel International Inc. (OTCBB: MCTL) ("MicroTel"), an international manufacturer of electronic components, subsystems and communications equipment, today announced that its CXR Telcom subsidiary, located in Fremont, California, has received an initial contract award from Verizon Communications, (NYSE:VZ), one of the world's leading providers of high-growth communications services and the largest provider of wireline and wireless communications in the United States for delivery of its 704A Integrated Transmission and Signaling Telecommunication Field Test.

The Verizon program the test sets will be used for bundles data, voice and video services into a single platform, delivered to a business customer over the same "T1" transport line utilizing the latest in transmission technology, allows greater flexibility for adding services quickly and easily, in either digital or analog signaling formats and offers highly reliable, cost-effective voice and data service. These services, however, need to be tested to the customer's telephone equipment to ensure full functionality and Verizon has selected CXR's 704A testers to provide these vital installation and test services.

Dan Burch, CXR Telcom Regional Manager, also a former national technical support manager for a major U.S. telecommunications company, stated, "This is a much-needed tool that is by far the friendliest test set on the market, allowing the `first person out' to perform tests quickly with confidence and precision and eliminating costly multiple site visits by higher-skilled technical support personnel. The CXR/Halcyon 704A series test sets provide the remedy for test scenarios encountered daily by technicians for high-value services requiring a multi-functional tester that can perform both digital and analog test functions. The 704A provides simple one-touch solutions, reducing training costs and the headaches associated with such testing needs, improving order due dates and reducing customer irritation."

Graham Jefferies, Executive Vice President of MicroTel International Inc. commented, "This initial contract represents a significant opportunity for CXR to establish its products at the roll out of a major new multi-year strategic program with the dominant player in the U.S. telecommunications market."

About MicroTel

MicroTel International Inc. is an international manufacturer of defense and aerospace electronic components and subsystems and communication equipment. Our electronic components group, which includes XET Corporation and its international subsidiaries, provides custom power conversion products, digital and rotary switches and subsystem assemblies to the global electronic components market and are primarily used for defense, aerospace and industrial applications. Our communications group, consisting of CXR Telcom Corporation and CXR, S.A.S. (France), provides network access, transmission and test equipment to the North American and European communications industry. Founded in 1983, MicroTel operates out of facilities in the U.S., France, the U.K. and Japan. As of August 31, 2003, we had a total of 189 employees in our various subsidiaries and divisions.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995

With the exception of historical information, the matters discussed in this press release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. MicroTel's business strategy and future plan of operations are subject to a number of risks and uncertainties and the actual future results of MicroTel could differ from those statements. Factors that could cause or contribute to such differences include, but are not limited to, those factors contained in the "Risk Factors" Section of the Form 10-K for the year ended December 31, 2002.

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