RANCHO CUCAMONGA, Calif., Nov 6, 2001 (BUSINESS WIRE) -- Microtel International Inc. (OTC BB: MCTL chart, msgs), an
international provider of telecommunications equipment and electronic components, today announced that its subsidiary, XET
Corporation, anticipates a positive impact from the Joint Strike Fighter Program.
The Joint Strike Fighter is intended to be a stealth-like, supersonic, multi-role fighter for the U.S. Air Force, Navy and Marine Corps,
as well as the U.K. Royal Air Force and Royal Navy. In the U.S. the Joint Strike Fighter, to be known as the F-35, is designed to
replace the A-10, AV-8 Harrier, F-16 and the F/A-18 aircraft.
On Oct. 26, 2001, the Pentagon announced that a team led by Lockheed Martin won the competition to build the fighter, a program
estimated to total more than 3,000 aircraft and to be valued at more than $200 billion through 2040, the end of the new fighter's
planned service life. The initial stage of the program is for 22 aircraft and is valued at $19 billion.
XET Corporation manufactures power systems, switches and other subsystems used in the new European Fighter Aircraft and
Eurocopter. XET also manufactures components used on the Hercules C-130 fixed wing aircraft and the Apache Long Bow, Cobra
and Blackhawk helicopters in the U.S. as well as most other fixed and rotary wing Allied aircraft in the U.S., European and Asian
military markets. XET has supplied components for the Stealth Bomber and the Stealth Fighter and believes it is therefore well
positioned to participate in the Joint Strike Fighter Program.
Carmine T. Oliva, chairman, president and CEO of Microtel International commented, "We are pleased that a prime contractor has
been selected and that the program will soon enter its next stage. As a supplier of components and subsystems on most current
U.S. and Allied military aircraft we expect to see a rise in orders for our electronic components business segment as this aircraft
development expands in scope."
About Microtel International
Microtel International Inc. is an international telecommunications equipment and electronic components company comprising three
wholly owned subsidiaries -- CXR Telcom Corporation in Fremont, Calif., and CXR S.A. in Paris, France -- which comprise the
Telecommunications Group, and XET Corporation in Rancho Cucamonga, Calif., which together with its international subsidiaries,
comprise the Electronic Components Group.
CXR Telcom Corporation and CXR S.A. designs, manufactures and markets field and central office electronic telecommunications
test instruments, voice, data and video transmission and network access equipment.
XET Corporation and its subsidiaries design, manufacture and market electronic components, including digital switches and power
supplies. The company operates out of facilities in the U.S., France, England and Japan.
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
With the exception of historical information, the matters discussed in this news release are "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. The Company's business strategy and future plans 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, the potential for Microtel to not see an increase in
military orders or other revenues from the Joint Strike Fighter Program, the failure of Microtel to deliver on any future orders under
conditions of future contracts, trends in Microtel's financial condition and results of its operations, Microtel's ability to continue to
operate profitably, Microtel's ability to distinguish itself from its current and future competitors, the continued demand for Microtel's
products, changes in worldwide economic conditions, changes in governmental regulations and policies, the emergence of
competitive products and services and unforeseen technical issues and those factors contained in the "Risk Factors" Section of the
Company's Amendment No. 2 to its Form 10-K for the year ended Dec. 31, 2000, and the Company's Form 10-Q for the quarterly
period ended June 30, 2001.
Contact: |
