StratoComm Executes Agreement With Indonesian Group

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Sep 22, 2010, 08:30 ET

ALBANY, N.Y., EATONTOWN, N.J. and JAKARTA, Indonesia, Sept. 22 /PRNewswire-FirstCall/ -- StratoComm Corporation, (STCO) -- Following months of discussion and information exchange StratoComm and SIMS, an Indonesian based telecommunications service provider, have executed a Letter Agreement defining shared commitments and responsibilities toward formation of a Joint Venture Company to be based in Indonesia.

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SIMS is a broadband service provider presently operating five subsidiary service providers that include Jogja Medianet, Bali Medianet, Kebumen Medianet, Magelang Medianet, Jakarta Medianet, Solok Medianet and Makasar Medianet each serving specific geographic regions of Indonesia. SIMS can be found on the Internet at www.sims.co.id.

"StratoComm is pleased to have successfully negotiated and executed agreement with SIMS which represents its first entry to the expansive Asian broadband market. We look forward to formalization of our working relationship and formation of our Joint Venture operating company." stated StratoComm Chairman, Roger D. Shearer.

According to the terms of the Letter Agreement SIMS and StratoComm agree to the formation of a Joint Venture Company for the purpose of delivery of telecommunications services to the country of Indonesia. The JV will be owned jointly, by SIMS and StratoComm, in proportion to their respective contributions and ongoing commitment to its successful operation.

Robert W. Phillips, StratoComm President, COO stated, "StratoComm and SIMS will now collaborate in the market research required to define the business model and strategy to be employed to achieve their mutual objectives."

"SIMS' interest in StratoComm's technology is tied directly to its profound concept, which potentially could deliver the service to the customers at the right cost , faster time to implement and could answer the ever increasing customer requirement for broadband services. With such a high altitude position, the StratoComm's technology (TTS and STS) would have a larger coverage area than the traditional tower, this will give substantial benefit to SIMS to enable it to leverage and to excel its services to meet the customer expectation, as well as to open other business opportunities in the future. Indonesia is a big country with more than 200 million population and as one of the fastest growing telecommunication market in the Asia-Pacific region yet Indonesia is also focusing in the development of broadband communication, the venture cooperation between SIMS and StratoComm will certainly bring many benefits for both corporations and also to the people of Indonesia," explained Eka Indarto, JMN's General Manager, SIMS CTO.

StratoComm Corporation is a developer and provider of telecommunications infrastructure technologies with a specific focus to the delivery of ubiquitous and cost sensitive communication services to the developing world. The company is further committed to the allocation of a portion of each system's service capacity for the provision of low cost/no cost social and economic outreach programs.

Safe Harbor Disclosure – This Press Release contains or incorporates by reference "Forward-looking statements," including certain information with respect to plans and strategies of StratoComm Corporation. For this purpose, any statements regarding this announcement, which are not purely historical, are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, including StratoComm Corporation beliefs, expectations, hopes or intentions regarding the future. All forward-looking statements are made as of the date hereof and based on information available to StratoComm Corporation as of such date. There are a number of important factors that could cause actual events or actual results of StratoComm Corporation and its subsidiaries to differ materially from those indicated by such forward looking statements.

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