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Coyote Network Systems Receives Order For Equipment and Network Carrier Services
Coyote Technologies Receives $1.3 Million Equipment Order; American Gateway Telecom Signs Three-Year Agreement To Route International Long Distance Traffic To India, Pakistan and Bangladesh
Westlake Village, CA – December 22, 1998 – Coyote Network Systems (Nasdaq: CYOE) today announced it received an equipment order from a third-party leasing company that will take title to the equipment and provide financing to Mercury Telecom (USA), Inc. In addition, the Company announced it signed a three-year long distance services agreement with Mercury Telecom (USA), Inc. The equipment order is valued at approximately $1.3 million and includes a Coyote Technologies DSS 10,000 Switch, a debit card platform and a billing system. The equipment is to be delivered this month to a telecom co-location site in New York City. Mercury Telecom (USA), Inc. has plans for additional switches to be located in Miami, Los Angeles and Toronto.
Coyote's wholesale international long distance company, American Gateway Telecommunications, signed a three-year agreement with Mercury Telecom (USA), Inc. to carry international long distance traffic to India, Pakistan and Bangladesh. Following a four-month ramp-up period, the contract calls for a minimum of 36 million minutes annually with no cap on the volume available.
"I selected Coyote because they understand my business requirements and provided a solution that includes all aspects of building and managing a telecom network," said Khandoker T. Kader, chief executive officer, Mercury Telecom (USA), Inc. "Coyote provided the communications equipment, helped attain third-party financing, and provided international long distance facilities. With Coyote managing the network operations, I can focus on building my customer base and revenue stream."
"We are pleased to provide Mercury Telecom with an integrated equipment and network services solution," said Daniel W. Latham, president and chief operating officer, Coyote Network Systems. "Coyote is leveraging its telecom switching technology to deliver international long distance services and back room operations, primarily to new, emerging carriers and affinity groups. Mercury Telecom is an example of our strategy at work."
About Mercury Telecom (USA), Inc.
Mercury Telecom (USA), Inc. is a new, emerging international long distance carrier, with a focus on India, Pakistan and Bangladesh. Mr. Kader is the founder of Mercury Telecom (USA), Inc. Mr. Kader was one of the first to design, plan and install a telecom center with a PC-based debit card platform for telecom services to the Sub-continent of India, Pakistan and Bangladesh. For more information about Mercury Telecom (USA) Inc., please contact Mr. Kader at 1-212-880-2601 or fax at 1-888-672-9270 or please visit Mercury Telecom (USA), Inc.'s Website at mercurytelecom.com. Mr. Kader's office is located at 100 Park Avenue, 16th Floor, New York, NY 10017.
About Coyote Network Systems
Headquartered in Westlake Village, CA, Coyote Network Systems (Nasdaq: CYOE) is a growing telecom provider of equipment and international long distance services. The Company has more than 100 employees and had revenues of more than $22 million for the first six months of fiscal '99. Coyote Technologies provides scalable Class 4/5 telecom switches and IP (Internet Protocol) gateway systems. Headquartered in Houston, TX, American Gateway Telecommunications provides international long distance services to carriers. Headquartered in Los Angeles, CA, Interactive Network Systems markets international long distance services, primarily to affinity groups. CNS is authorized to provide competitive local exchange carrier services in California. For more information, please visit the Company's Web site: cyoe.com, or call 1-818-735-5385.
The statements in this news release may be considered "forward looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to be materially different from any future performance suggested in this news release. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof. For more complete information, please refer to the Company's Form 10-K and Form 10-Q filings with the SEC.
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