SOURCE: ERF Wireless Inc.

ERF Wireless Inc.

July 13, 2011 08:00 ET

ERF Wireless Adds New Vertical Market Revenue Stream by Completion of Construction of 2.5-GHz Licensed Wireless Broadband Networks for Four Texas Public School Districts

New Network at Bellville ISD Replaces Multiple T-1s and GigaMAN® Data Circuits From AT&T

LEAGUE CITY, TX--(Marketwire - Jul 13, 2011) - ERF Wireless (OTCBB: ERFW), a leading provider of enterprise-class wireless broadband products and services, announced today that the company has recently completed four separate projects with four Texas Public School Districts for the design, engineering and construction of wireless broadband networks utilizing the respective districts' 2.5-GHz Education Broadband Service (EBS) licenses. Three of the four contracts are with Hearne ISD, Madisonville ISD and Alvord ISD and represent one-time revenues to be recorded in the company's second quarter ended June 30, 2011, while the fourth contract with Bellville ISD represents a five-year agreement for providing Direct Internet Access and Internet Protocol bandwidth circuits connecting all of the multiple campuses in that school district under a Master Capacity Services Agreement beginning on July 1, 2011.

According to Dr. H. Dean Cubley, CEO of ERF Wireless, "These recently completed school projects mark our entry into a new strategic education vertical market, in addition to our booming Energy Broadband oil and gas vertical market, our well established regional banking network vertical market, and our Internet service provider market that we've had in place producing revenue for some time now. We are extremely pleased to have secured contractual agreements and to now have successfully completed the design and construction of all four of these significant School District projects."

Tim Junek, Executive Director of the Texas Education Broadband Network (TEBN), commented, "ERF Wireless has proven to be the perfect partner for the school districts of the TEBN shared service group. On Friday, July 1, 2011, the Bellville ISD network was delivered to the district by ERF Wireless. Following the network design and construction, the handoff was completed in less than a day and users in the school immediately began reporting dramatic increases in speed and performance. Bellville is a relatively complex wireless application involving six campuses, administration, transportation and maintenance offices spread across a 426-square mile district service area. The network involves point-to-point and point-to-multipoint network topology with as much as 20 miles of separation between the West End Campus and the Network Operation Center. The installation crews were always ahead of schedule and worked with extraordinary precision and attention to detail. The teams operated as a well-orchestrated unit as they worked on rooftops, in attics and climbed towers in temperatures exceeding 100º."

Junek added, "TEBN and ERF Wireless have proven that wireless transport and wireless delivery systems can yield more educational broadband at lower cost with greater reliability. Completion of these projects has benefited the member schools, and opened a door of opportunity for other rural school districts to deploy similar strategies. There are 1,036 public schools in Texas plus private and charter schools. About 89% of the public schools have less than 2,500 total students enrolled in K-12 and are established in rural areas with limited and costly broadband access. Many of these schools could benefit from this technology, and I believe we have only begun to see the potential for the application of this new concept."

R. Greg Smith, EVP of ERF Wireless, commented, "These contracts and our new strategic education vertical market opportunity have been made possible and are significantly strengthened by our relationship with the Texas Education Broadband Network. We know that the demand for bandwidth in public schools will be increasing with the advent of new curriculum, electronic textbooks, and new forms of highly effective teaching tools. We don't know exactly what future generations of computers and educational electronic tools will require, but we are confident that Bellville ISD is now well positioned and at the forefront to deliver electronic content for a fraction of the cost of the older system. Bellville ISD's 2.5-GHz license and the new ERF Wireless owned and operated network in this market will now position the district on par with much larger school districts that have access to fiber in densely populated areas where fiber is more cost effective and greatly exceeds the capabilities of most rural school districts that are forced to rely on expensive T-1 data circuits for their connectivity needs."

Mike Coker, Superintendent of Bellville ISD, noted, "Our partnership with ERF Wireless has allowed our school district to secure the life of our 2.5-GHz FCC license and meet the substantial service requirements of the license while allowing us to more than triple the amount of bandwidth being used in our educational curriculum. Before this network was constructed, the district had only one choice for purchasing bandwidth. Now the district can access service in more competitive markets over the ERF Wireless transport system. I remember the first time I saw a cell phone, and it wasn't that long ago. I could not have imagined that cell phones would be using the airwaves for much more than phone calls. Texting, email, Internet access, taking and sending photos and video conferencing are much more common than a phone call. Bellville ISD's 2.5-GHz license represents the same in terms of future value for the some 35-mile radius and 3,846 square miles of coverage that comprises our 2.5-GHz Geographic Service Area (GSA). We have only developed a small part of the GSA to date but have preserved the potential for this valuable spectrum asset for future economic development."

About ERF Wireless
ERF Wireless Inc. is a fully reporting public corporation located in League City, Texas, and is the parent company of Energy Broadband Inc., ERF Enterprise Network Services, ERF Bundled Wireless Services, ERF Wireless Messaging Services and ERF Network Services. The company specializes in providing wireless and broadband product and service solutions to enterprise, commercial and residential clients on a regional, national and international basis. Its principals have been in the wireless broadband, network integration, triple-play FTTH, IPTV and content delivery business for more than 40 years. For more information, please visit our websites at www.erfwireless.com and www.erfwireless.net or call 281-538-2101. (ERFWG)

Forward-looking statements in this release regarding ERF Wireless 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

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    ERF Wireless Inc.
    Clareen O'Quinn
    281-538-2101 ext. 113
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