June 30, 2003
AIRNET ANNOUNCES $3 MILLION IN PURCHASE ORDERS
Company Expects Positive Operating Cash Flow in 2Q Financial Results
Melbourne, FL, June 30, 2003 - AirNet Communications Corporation (NASDAQ: ANCC), the technology leader in software defined base station products for wireless communications, today announced that it has received more than $3 Million in new purchase orders from an undisclosed, existing customer. Deliveries under these phase two purchase orders are planned for the 3rd and 4th quarters of this year.
"Customer validation of our products and technology is always encouraging. The issuance of these new purchase orders serves as that validation," said Glenn Ehley, President & CEO for AirNet Communications Corporation. "We will continue to explore ways to grow our alliance with this valuable customer."
"Winning these new orders required substantial dedication over the last two quarters by the entire AirNet team," said Joseph F. Gerrity, Vice President & Chief Financial Officer. "As a result of the phase one delivery and the collection of the phase two deposit on June 27, 2003, we expect to announce positive cash flow from operating activities for the second quarter when we release second quarter financial results. In addition, we expect the projected revenue from these phase two purchase orders to be recognized in the third and fourth quarters of this year."
AirNet Communications Corporation is a leader in wireless base stations and other telecommunications equipment that allow service operators to cost effectively and simultaneously offer high-speed data and voice services to mobile subscribers. AirNet's patented broadband, software-defined AdaptaCell base station solution provides a high capacity base station with a software upgrade path to high speed data. The Company's Digital AirSite Backhaul Free base station carries wireless voice and data signals back to the wireline network, eliminating the need for a physical backhaul link, thus reducing operating costs. AirNet has 69 patents issued or pending. More information about AirNet may be obtained by calling 321.984.1990, or by visiting the AirNet Web site at
Stuart P. Dawley
Investor Relations Officer
Harbor Statement Under the Private Securities Litigation Reform Act of 1995
Certain statements in this news release may constitute forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995 (the Reform Act), Section 27A of the United States Securities Act of 1933 and Section 21E of the United States Securities and Exchange Act of 1934. These forward-looking statements may relate to anticipated financial performance, management's plans and objectives for future operations, business prospects, market conditions, financial forecasts and other matters. All statements contained in this news release that do not relate to matters of historical fact should be considered forward-looking statements, and are generally identified by words such as "anticipate,'' "believe,'' "estimate,'' "expect,'' "intend,'' "plan'' and "objective'' and other similar expressions. Readers should not place undue reliance on the forward-looking statements contained in this news release. Such statements are based on management's beliefs and assumptions and on information currently available to management and are subject to risks, uncertainties and changes in condition, significance, value and effect. Past or current financial performance is not necessarily indicative of future financial performance and the Company does not expect to be cash flow positive in Q3 or Q4 of 2003. Such risks include the fact that the Company’s sales have been and are expected to continue to be dependent upon customer capital equipment expenditures, which are, in turn, affected by business cycles in the markets served by those customers. Other risks include volatility in the wireless communications industry, the risk of order delays, the risk of delays by customers in introducing their new products and market acceptance of products incorporating subsystems supplied by the Company, similar risks to the Company of delays in the development of its new products or modifications, our ability to continue to reduce costs and capital expenditures, and our ability to invest in R&D. If we are unable to raise sufficient new additional capital or to generate sufficient new sales, we may not be able to support changing protocols and standards, continue to operate on a cash flow positive basis beyond the second quarter of 2003, or continue to operate as a going concern. These and other risks are detailed in reports and documents filed by the Company with the United States Securities and Exchange Commission. Such risks, uncertainties and changes in condition, significance, value and effect, many of which are beyond the Company's control, could cause the Company's actual results and other future events to differ materially from those anticipated. The Company does not, however, assume any obligation to update these forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting such forward-looking statements.
AirNet®, AdaptaCell® and AirSite® are registered trademarks with the U.S. Patent and Trademark Office. The stylized AirNet mark, Super Capacity™, Backhaul Free™, and We're Ready for Anything™ are trademarks of AirNet Communications Corporation. Other names are registered trademarks or trademarks of their respective companies or organizations.