RANCHO MIRAGE, CA, Nov. 24, 2011 /CNW/ - Craig Wireless Systems Ltd. ("Craig Wireless" or the "Company") (TSX: CWG), today released its financial results for year ended
August 31, 2011. All dollar figures are reported in Canadian currency.
As at August 31, 2011 the Company had cash reserves of approximately
$21.6 million and no debts. The Company intends to utilize the cash
reserves to continue to execute on its strategies as outlined in the
Company's most recently filed management discussion and analysis dated
November 23, 2011.
Spectrum Lease Extension - Coachella Valley
Negotiations through the fourth quarter culminated in an agreement for
an early renewal to extend the previous 15-year lease to a new 30-year
lease for spectrum rights in the Coachella Valley, solidifying the
Company's presence in the larger Palm Springs (Coachella Valley) area
for the foreseeable future.
Consolidated Operating Results
The Company reported a net loss of $9,901,141 ($0.20 per share) for the
year ended August 31, 2011 compared to net income of $52,612,600 ($1.05
per share) reported for the year ended August 31, 2010. The Company
continues to fund network, spectrum and operations growth throughout
the world. Last year, the Company sold its Canadian operations and
spectrum assets and received aggregate proceeds of $80.0 million from
the sale, realized a pre-tax gain on the sale of $77.4 million, repaid
all debts and paid a dividend to all shareholders totalling over $20.0
Boyd Craig, the Company's President and Chief Executive officer
commented; "As demonstrated during the recent past, the Company
continues to work hard to deliver on its long term strategy of (i)
complying with all regulatory requirements in our existing markets;
(ii) building and operating limited "phase one" deployment
fixed/portable 4G networks and strategically targeting unserved or
underserved business and residential customers in certain of its
existing markets; (iii) pursuing opportunities to realize the accretive
value of network deployments by considering the potential for sale,
merger, partnership, joint venture or other business arrangement that
meets the strategic goals of the Company to maximize spectrum value;
and (iv) acquiring or leasing licenses for the rights to operate on 4G
compatible spectrum throughout the world."
About Craig Wireless Systems Ltd.:
Craig Wireless and its affiliates (collectively, the "CWS Group") offer a broad range of telecommunications services, including,
broadband internet access, business connectivity solutions, hosting,
security and telecommunications solutions. Through certain members of
the CWS Group, Craig Wireless holds or leases licenses for spectrum in
the 2.5 GHz, 2.6 GHz or 3.5 GHz bands in Riverside County in Southern
California, United States and in Greece. The CWS Group also has
spectrum interests in Norway and New Zealand. Spectrum in these ranges
is effective for delivery of point-to-multipoint signals, possesses
robust bandwidth capability and supports emerging 4G-based
applications, including portable and mobile applications.
The Toronto Stock Exchange does not accept responsibility for the
adequacy or accuracy of this release.
Notice on forward-looking statements
This release includes forward-looking statements regarding Craig
Wireless and its business. Such statements are based on management's
current expectations. The forward looking events and circumstances
discussed in this release may not occur and actual results could differ
materially as a result of known and unknown risk factors and
uncertainties affecting Craig Wireless and its business. No
forward-looking statement can be guaranteed. Forward-looking statements
speak only as of the date on which they are made and Craig Wireless
does not undertake any obligation to publicly update or revise any
forward-looking statement, whether as a result of new information,
future events, or otherwise.
SOURCE Craig Wireless Systems Ltd.
For further information:
Boyd Craig, Chief Executive Officer, Craig Wireless Systems Ltd., email: firstname.lastname@example.org