November 22, 2005 14:52 ET

Innotelco Announces Relocation of European Office to Free Zone Kovin

TORONTO -- (MARKET WIRE) -- November 22, 2005 -- INNOTELCO, Inc. (OTC: ILCO), a marketer and distributor of telecom hardware and network solutions, announces today that it has entered into negotiations with Free Zone Kovin for warehouse and distribution facilities.

Recently, Innotelco relocated its office from Belgrade to the town of Kovin to be closer to the advantages provided by Free Zone Kovin. The company has also expanded its management staff by appointing a representative to negotiate terms with the authorities of Free Zone Kovin and act as a liaison in the Balkan region that encompasses Bulgaria, Romania, Slovenia, Croatia, Serbia and Montenegro, Bosnia and Herzegovina and the rest of central Europe.

There are several advantages that will become available to the company through its move to establish a warehouse and distribution facility in the area of Free Zone Kovin. The area is centrally located providing excellent access via the river Danube that connects the Black Sea to the rest of Central and Western Europe. The transcontinental highway that runs from Amsterdam to Istanbul is located 5km from Kovin.

There are generous economic advantages offered to companies that locate their operations in Free Zone Kovin. "Innotelco has taken the step of relocating its office to Kovin and by doing so, will be able to offer its products at very competitive prices," said Ross Sehovic, CEO. "The company has spent time and energy in researching the advantages that this move will provide. In essence we are moving to a Tax Free Zone, which makes good business sense."

Further, "By appointing a representative to liaise on the company's behalf, this will allow me to concentrate the company's focus on Asia and the sub-continent."

About Free Zone Kovin

Near Belgrade, the capitol of Serbia and Montenegro and the biggest business, university and cultural centre of Serbia, Free Zone Belgrade is founded as a modern company which is developing free zones in Belgrade, Smederevo and Kovin.

Free Zone Kovin was founded in 1992 and after the decision of the Federal government has a status of a free zone. By the decision of the Federal Customs Office from 1996, it was granted status of a free zone. Founders and the present stockholders of the free zone are Free Zone Belgrade and the Municipality of Kovin.

"INNOTELCO -- Building Bridges for Communication"

About Innotelco, Inc.

Innotelco is a telecom hardware supplier, specializing in servicing emerging markets looking to expand their telecommunications networks. Innotelco products range from indoor and outdoor coaxial cables and accessories to fibre optics and switching equipment.

Safe Harbor Statement

This press release contains forward-looking statements as defined in the Securities Litigation Improvements Act of 1996. The words "believe," "expect," "estimate," "project" and similar expressions define forward-looking statements, which speak only as of the date the statement was made. Innotelco, Inc. undertakes no obligation to publicly update or revise any forward-looking statements, whether because of new information, future events or otherwise. Forward-looking statements are currently subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results could differ materially from those set forth in, contemplated in, or underlying the forward-looking statements. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to, the Company's ability to meet its projected growth, the effects of government regulation, competition and other material risks.

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