This ran very late yesterday...after 6p..I think it is very significant for USWC...stock around 1 5/8:
Interactive Flight Technologies Leads Investor Group
Which Makes Investment in U.S. Wireless
Corporation
PHOENIX--(BUSINESS WIRE)--March 18, 1999--INTERACTIVE FLIGHT
TECHNOLOGIES, INC. (NASDAQ NMS: FLYT - news) announced today that, effective March 4, 1999, together with
certain other investors including Liberty Advisors, a Philadelphia based emerging growth venture capital fund, it had made an
investment in U.S. Wireless Corporation (NASDAQ: USWC - news) which provides wireless network infrastructure add-on
systems for the emerging wireless geo-location services marketplace. The investor group led by IFT purchased 50,000 shares
of Series B Preferred Stock for $5 million, of which IFT purchased 30,000 shares of the Series B Preferred Stock for $3
million. IFT paid $1,620,000 at the closing and the balance was deposited in escrow pending approval of the issuance of such
additional shares by the stockholders of U.S. Wireless. Each share of the Preferred Stock is convertible into 100 shares of the
Common Stock of U.S. Wireless which is the equivalent of $1 per Common share of U.S. Wireless.
U.S. Wireless is a company which has developed patented technology that allows cellular phone companies to locate a caller
within specified parameters and give that location to 911 emergency call center operators. With the increase in the number of
cellular phone users, the 911 emergency call centers are having an increasingly difficult time locating the caller in the event of an
emergency. In order to deal with this problem, the Federal Communications Commission has issued a regulation that requires
cellular system operators to provide the location of their subscriber who calls the 911 center to the 911 center operator. This
capability is required by regulation by October, 2001. U.S. Wireless has developed a unique and patented system, currently
under testing in three locations, with three different cellular operators, to provide this information.
The number of cellular phone users in the U.S. is estimated to grow to 115 million by 2001, up from 57 million in 1997. It is
anticipated that the market for cellular caller location services will grow in revenues to in excess of $8 billion a year. U.S.
Wireless Corp. is now in the process of negotiating with carriers to provide this service in time for the year 2001 effective date.
Interactive Flight Technologies, Inc. led a small group of investors to provide the current round of financing which will enable
U.S. Wireless to continue its technology development and expand its marketing opportunities. Irwin Gross, Chairman of
Interactive Flight Technologies, Inc. will join the Board of Directors of U.S. Wireless, and IFT will provide strategic planning
and assistance to U.S. Wireless. Said Mr. Gross: ''This is a ground floor opportunity to enter an explosive market with what,
we believe, is the company that is the technology leader for the industry. Our goal will be to have a significant market share of
the cellular location industry, as well as to provide other important revenue generating services to cellular carriers and their
subscribers.''
Mr. Gross further stated, ''This investment allows us to advance our corporate goal of diversifying our business into other areas
outside of the In-flight Entertainment industry, including telecommunications. By working closely with U.S. Wireless, we believe
that in addition to its intrinsic interest as an investment, IFT can bring significant added value to the Company over and above a
straight financial investment. At the same time we will also be enhancing the value of IFT's shareholders' equity interest in U.S.
Wireless.''
Except for historical matters contained herein, the matters discussed in this press release are forward-looking statements and
are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking
statements reflect assumptions and involve risks and uncertainties which may affect Interactive Flight Technologies, Inc.'s
business and prospects and cause actual results to differ materially from these forward-looking statements.
Contact:
The Wall Street Group, Inc.
Jeff Sarnoff, 212/888-4848
or
Interactive Flight Technologies, Inc.
Irwin L. Gross, 215/972-8191 |
