U.S. Starcom Announces a Signed Letter of Intent for the Acquisition of Bel Latino

Acquisition to Add $6 Million Quarterly to Revenues


PERTH AMBOY,N.J., Aug. 24, 2006 (PRIMEZONE) -- U.S. Starcom (Pink Sheets:USTA) announced today that it has signed a Letter of Intent to acquire Bel Latino, a provider of money wiring and telecom services to the Hispanic community. Bel Latino, currently doing approximately $2 million monthly in revenues, will be acquired for a combination of cash and restricted stock. The acquisition is expected to be closed by the end of the 3rd quarter.

"This deal will mark a milestone in the history of this company," said John DiDomenico, President of U.S. Starcom. "We plan on tripling the number of stores over the next 12 months, while significantly adding higher margin inventory and services to each store. We plan on Hispanic consumers using our stores instead of a bank. They can wire money, call home, buy music or pre-paid products, while having a variety of other services that we will disclose at a later time," said Mr. DiDomenico.

"With this concept, we will also get two seasoned operators, Mike Burns, who will run Bel Latino, and Joe Betro, who will become COO of U.S. Starcom," said Mr DiDomenico. "With our Datawave project now invoicing a major carrier each week, and with our 2 other major projects shipping the next few weeks, we expect to see an exponential growth in our revenues from this point forward."

About U.S. Starcom: A leader in providing value added prepaid services and solutions to enhance communications and entertainment. With a sales distribution network extending to thousands of urban locations, U.S. Starcom will continue its rapid expansion into the distribution of alternative communication products and services, including international long distance, prepaid phone cards, wireless dial around applications, stored value services and money debit cards, and internet service enhancements. U.S. Starcom is committed to providing affordable access to the latest entertainment offerings from the recording industry through strategic alliances and joint distribution campaigns. The company can provide product development, distribution, and system installation through its two independent subsidiaries, Sky Distribution and U.S. Starcom Technologies, formerly known as Infinite Technology, Inc.

Safe Harbor Statement: This press release contains forward-looking statements that involve risks and uncertainties. This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of the Company, its directors or its officers with respect to, among other things: (i) the Company's financing plans; (ii) trends affecting the Company's financial condition or results of operations; (iii) the Company's growth strategy and operating strategy; and (iv) the declaration and payment of dividends. The words "may," "would," "will," "expect," "estimate," "anticipate," "believe," "intend," "promise," "seeking to," "negotiating to" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the Company's ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors.


            

Contact Data