Multiband Enters Into Ten-Year Exclusive Service Agreement with Growing Residential Community in Central Florida 1/24/2005 10:10:00 AM
MINNEAPOLIS, Jan 24, 2005 (BUSINESS WIRE) -- Multiband, Inc. (MBND) announced today that it has signed an exclusive ten-year Service Agreement with Southport Springs, located in Central Florida. This manufactured home community has 350 residential units and is scheduled to expand to 900 over time. Multiband acquired the cable distribution system servicing the community in July, 2004 and intends on upgrading the existing video system to include its digital tier of service with DirecTV and a High Speed Internet service over the cable lines.
Multiband currently generates positive cash flow from the community and expects revenue to grow dramatically with the addition of High Speed Internet and Digital Video services. The Company anticipates significant increases in both the number of subscribers and average revenue per customer due to the additional services.
"This transaction represents an excellent example of the opportunities created by our acquisition strategy," said James L. Mandel, Multiband's CEO. "We believe that by acquiring properties and enhancing the service offerings that we can generate significant revenue growth. Our ability to enter into long-term agreements with these property owners reflects the confidence that they have in our ability to deliver a bundle of quality communication services. The long-term nature of these arrangements provides Multiband with a predictable revenue stream, which will only grow as we provide additional services. We are very pleased with our relationship at Southport and look forward to serving them well for years to come."
About Multiband Corporation
Multiband Corporation, formerly Vicom, Incorporated, formed in 1975, provides voice, data and video systems and services to business and government clients, and to multiple dwelling units (MDUs), including apartment buildings and time share resorts. The Company's products and services are sold to clients located throughout the United Sates. The Company has two operating divisions, Multiband Business Solutions and Multiband Subscriber Services, which encompasses the wholly owned subsidiary corporations Multiband USA, Inc. and URON, Inc.
In July 2004, the Company acquired Rainbow Satellite LLC, a private cable operator. Rainbow, with locations throughout the United States, has subscriber concentrations in California, Colorado, Illinois, Texas, Florida and New York. In August of 2004, Multiband acquired assets from 21st Century Satellite LLC, adding 23 upscale RV and Mobile Home Parks to its portfolio and raising it's owned and serviced subscriber base to over 70,000. Multiband has offices in Fargo, Minneapolis, Rochester, Los Angeles, San Francisco, Denver, Chicago and Tampa with satellite facilities through subcontractors in St. Louis, Dallas and New York. For additional information, please go to www.multibandusa.com.
SOURCE: Mutliband, Inc.
Mutliband, Inc.
James L. Mandel, 763-504-3000
or
CEOcast, Inc. for Multiband, Inc.
Ed Lewis, 212-732-4300
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