SOURCE: Eagle Broadband

April 21, 2006 18:50 ET

Eagle Broadband Holds 2006 Annual Shareholders Meeting

LEAGUE CITY, TX -- (MARKET WIRE) -- April 21, 2006 -- Eagle Broadband, Inc. (AMEX: EAG) held its annual shareholders meeting on Apr. 18. The meeting included the election of board members, approval of a reverse stock split, approval of certain stock issuances and ratification of the appointment of an independent certified public accounting firm.

Dave Micek, president and chief executive officer of Eagle Broadband, chaired the meeting. He briefed shareholders on the company's results for the quarter ended February 28, 2006. Eagle achieved significant cost reductions for the second quarter as compared to the same period last year. On a comparative basis, specific reductions included a 52 percent decrease in total operating expenses as well as a 56 percent reduction of the company's net loss.

In addition, the following individuals were re-elected to Eagle Broadband's board of directors: Dave Micek, director since April, 2005; Robert L. Bach, director since October 2005; Dr. Glenn A. Goerke, director since March 2000; Lorne E. Persons, Jr., director since March 2003; Dr. H. Dean Cubley, director since March 1996; C.J. (Jim) Reinhartsen, director since November 2002 and chairman since April 2005; Judge James D. Yarbrough, director since October 2004.

Other news generated from the meeting included the following:

--  Approval of an amendment to the articles of incorporation to effect a
    1-for-35 reverse stock split of the shares of the company's common stock
--  Approval of the issuance of more than 20 percent of outstanding stock
    shares in connection with a financing transaction
--  Approval of the issuance of more than 20 percent of outstanding stock
    shares in connection with a settlement agreement
--  Ratification of the appointment of Lopez, Blevins, Bork &
    Associations, LLP as Eagle's independent certified public accounting firm
    for fiscal 2006
The board of directors received overwhelming support with approval of every proposal.

"I greatly appreciated the tremendous support of our steadfast shareholders at the annual meeting," Micek said. "The overwhelming shareholder approval for each of the proposals further shows a commitment to Eagle Broadband's board of directors and management. It also affirms that Eagle Broadband is headed in the right direction with our recent restructuring changes, refocusing of our products and refining of our operational processes."

Micek also used the annual meeting to announce Eagle Broadband had launched a new portable version of SatMAX™ and entered into an important reseller relationship with World Communications Center. SatMAX™ is a satellite telephony solution that provides indoor and outdoor communications.

The meeting concluded with a question-and-answer session largely focused on Eagle's continuing progress with its IPTVComplete™ customer implementations.

About Eagle Broadband, Inc.

Eagle Broadband is a technology company that develops and delivers products and services in three core business segments:

--  IPTV -- Eagle Broadband's IPTVComplete™ provides direct access to
    more than 200 channels of high-demand programming from popular
    entertainment providers, often using Eagle's high-definition, set-top
--  SatMAX™ -- Eagle Broadband's SatMAX™ provides indoor/outdoor
    communications utilizing the global Iridium-based (
    satellite communications system.  It offers both fixed and mobile
    solutions, including the emergency first responder SatMAX™ Alpha "SatMAX
    in a suitcase" technology
--  Managed Services -- Eagle Broadband's Managed Services division
    provides support for its IPTVComplete™ and SatMAX products, and
    implements a range of other Internet-related technologies, including WiFi
    and VOIP solutions.

Forward-looking statements in this release regarding Eagle Broadband, Inc., are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, without limitation, continued acceptance of the company's products, increased levels of competition, new products and technological changes, the company's dependence upon third-party suppliers, intellectual property rights and other risks detailed from time to time in the company's periodic reports filed with the Securities and Exchange Commission.

Contact Information

  • Media Contacts:
    Jackie Hutto
    Griffin Integrated Marketing
    (281) 335-0200

    Jesse Blum
    Friedland Corporate Investor Services LLC
    (866) 356-0651