NEW YORK, April 20, 2004 (PRIMEZONE) -- KIWI Network Solutions, Inc. (OTCBB:KWNS) (www.kiwimobile.com) jointly announced today the signing of a Joint Venture Equity Agreement with privately held Singapore-based telecommunications company E-Market Source Asia Pte Lte. (EMSA) wherein EMSA shall operate as KIWI Networks Solutions (Asia). EMSA has been granted the exclusive rights for distribution and operation of KIWI's devices and wireless transmission and applications services in Singapore, Malaysia, Indonesia, Thailand, Philippines, China & India. KIWI and EMSA will apply for a telecom operator's license -- Service Based Operator (SBO) that will license ESMA and KIWI to sell Internet-based IP Telephony products and services. Under the agreement, KIWI shall receive 75% of the net revenues generated by EMSA. KIWI shall deliver five million (5,000,000) Common shares restricted under Rule 144 for 24 months in exchange for a 50% ownership in EMSA. Said ownership shall be subject to adjustment as may be required to comply with applicable foreign ownership rules in ESMA's jurisdiction.
EMSA has been marketing telephony, internet and telecommunications services in Singapore since 1997 with existing revenue and a host of high pedigree enterprise clients in Indonesia. The management teams, lead by CEO Steven Saunders, have held senior management positions in US national telecommunications companies. EMSA's current enterprise clients include several dozen International Companies in Singapore, Indonesia, China and other regional markets.
Steven Saunders will assume the role of President of KIWI Network Solutions (Asia) effective immediately.
Bradley Wilson, KIWI's Chairman said, "E-Market Source firmly establishes KIWI as a regional IP services player and device distribution contender in Asia."
Steven Saunders said, "Our many years of active telecommunications service delivery in the Asian corridor are significantly enhanced by the technologies and applications that KIWI bring to the region."
KIWI is perfecting an International Mobile Virtual Network Operator (IMVNO) platform that enables the delivery of www.kiwi.thetreaty.com 2-Way VOICE/VIDEO/AUDIO/DATA/SHORT MESSAGING over Internet Protocol, Cellular, Short Messaging, 802.11B and other networks. KIWI is finalizing the development of applicable devices and peripherals. The technologies and hardware are compatible with all major cellular carriers, ISPs and virtual network companies such as Microsoft Corp. (Nasdaq:MSFT), AOL (ISP) Time Warner Inc. (NYSE:TWX) and Covad Communications Group Inc. (OTCBB:COVD).
This material includes forward-looking statements based on management's current reasonable business expectations. In this document, the words "can," "anticipates," and similar expressions identify certain forward-looking statements. These statements are made in reliance on the Private Securities Litigation Reform Act, Section 27A of the Securities act of 1933, as amended. There are numerous risks and uncertainties that could result in actual results differing materially from expected outcomes. The material should be read in conjunction with the Company's current annual and quarterly reports filed with the SEC, which contain discussions of currently known factors that could significantly impact the Company's future expectations.