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9/14/99 - GLOBALSTAR CANADA SIGNS DISTRIBUTION AGREEMENT WITH CELLSTAR
CARROLLTON, Texas, Sep 14, 1999 /PRNewswire via COMTEX/ -- CellStar Corporation (Nasdaq:CLST ) today announced that it has
completed an agreement to distribute wireless handsets, fixed terminals, and accessories for Globalstar Canada Satellite Co., the
Globalstar satellite communications licensee that will serve Canada.
Under the three-year agreement, CellStar will also provide equipment acquisition, procurement, assembly, programming, fulfillment,
packaging, sales of equipment to Globalstar Canada"s points of sale, and returns management services. As one of the world"s premier
value-added telecommunications distributors, CellStar has the expertise to implement efficient and cost- effective processes. CellStar
also plans to provide an activation data interface to track the growth of subscribers in the region.
CellStar will distribute Globalstar-compatible wireless phones manufactured by Qualcomm for Globalstar Canada, which is scheduled
to launch commercial service in the fourth quarter of 1999.
The Globalstar system will provide high quality, affordable mobile satellite voice, fax, and data service via a small hand-held phone. The
multi-mode phone will operate in traditional cellular modes (using the local cellular network), or satellite mode when beyond cellular
coverage. When in satellite mode, the phone will communicate with one of 48 Globalstar satellites circling the earth which will relay the
signal back down to the nearest earth station and inter-connect to the local telephone system (PSTN) or private networks.
Along with Globalstar Canada, CellStar has signed distribution agreements in the last six months with Globalstar founding service
providers that are licensed to serve customers in the United States and the seven countries of Central America. The Company is
actively pursuing similar agreements with Globalstar service providers in other major international markets.
Globalstar Canada is a partnership of Canadian Satellite Communications (CANCOM), Loral Space and Communications and Vodafone
Airtouch Communications. Globalstar Canada will be supplying Globalstar services to Canadian and worldwide subscribers through
earth station gateways located in Smiths Falls, Ontario and High River, Alberta. Globalstar Canada will begin providing phased service
in the fourth quarter of 1999. For more information, visit Globalstar Canada"s web site at www.globalstar.ca.
Globalstar, led by founding partner Loral Space & Communications, is a partnership of the world"s leading telecommunications service
providers and equipment manufacturers, including Alenia, China Telecom (HK), DACOM, DaimlerChrysler Aerospace, Elsacom (a
Finmeccanica Company), Hyundai, Qualcomm Incorporated, TE.SA.M (a France Telecom/Alcatel company), Space Systems/Loral,
and Vodafone AirTouch. For more information, visit Globalstar"s web site at globalstar.com www.globalstar.com.
CellStar Corporation is a global company focused on providing value-added services to wireless carriers and manufacturers in direct
relationships. CellStar is one of the world"s largest non-carrier wholesale distributors of wireless handsets for major manufacturers, with
operations in North America, the Asia-Pacific Region, Latin America and Europe. For the year ended November 30, 1998, the Company
reported sales of approximately $2 billion. Additional information about CellStar may be found on its web site at www.cellstar.com.
This press release contains forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. A variety of
risk factors, including changes in foreign laws, regulations and tariffs, new technologies, system implementation difficulties, competition
and other risk factors, are discussed in the Company"s Annual Report on Form 10-K and most recent Quarterly Report on Form 10-Q,
which are on file with the SEC. Any combination of these could cause CellStar"s actual results to vary materially from anticipated
results or other expectations expressed in the Company"s forward-looking statements.
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