International Datacasting Corporation Announces Update on Execution of Business Plan

OTTAWA, ON--(Marketwired - November 03, 2015) - International Datacasting Corporation ("IDC") (TSX: IDC), a technology provider for the world's premiere broadcasters, today announced preliminary revenue and operating results for the third quarter of fiscal 2016, an update in the execution of its business strategy and plan put in place in late June, including an extension to the secured notes and warrants originally issued in July 2015.

Preliminary Unaudited Q3 Fiscal 2016 Results

For the third quarter of Fiscal 2016, IDC's revenues are expected to be $2.8 million. As a result of lower operating expenses and strong Q3 revenue, IDC expects to report a profit for the quarter on an EBITDA basis. IDC made further progress in consolidating and streamlining its worldwide operations and anticipates a restructuring charge of less than $0.4 million for the third quarter.

LASER MPS continues to be a key sales focus to the organization, and while previously announced LASER MPS deals have progressed during the third quarter, they are anticipated to close in the fourth quarter.

Full financial statement disclosure will be made in December 2015. Because IDC's results of operations for the third quarter of Fiscal 2016 have not yet been finalized, the preliminary results included in this press release are subject to change as a result of the period-end closing process. See Forward Looking Statements.

Business Restructuring

On November 2, 2015, IDC executed a definitive agreement for the sale of its assets related to its video contribution product line to DTV Innovations, LLC, for US$0.7 million (or CAD $0.9 million), consisting of a cash payment of US$0.5 million (or CAD $0.6 million) and a promissory note for US$0.2 million (or CAD $0.3 million). Completion of the transaction is subject to certain terms and conditions expected to be satisfied during the next two weeks. The asset sale transaction is consistent with IDC's strategy to divest non-core operations, enhance financial liquidity, and focus on its core business market and best growth opportunities.

Extension of Maturity Date and Expiry Date For Private Placement Securities

The Board of Directors has approved the extension of the maturity date of the outstanding $0.9 million secured notes (the "Secured Notes") and the expiry date of the outstanding 16,457,490 warrants (the "Warrants"), issued pursuant to a private placement on July 3, 2015, from November 4, 2015 to January 11, 2016. The exercise price of the Warrants remains unchanged at $0.055 each and no other changes were made to terms of either the Warrants or the Secured Notes. All of the holders of the Secured Notes and Warrants have agreed to the extension of the maturity date of the Secured Notes and the expiry date of the Warrants.

As previously announced, a portion of the private placement was taken up by insiders of IDC. These subscribers are Steeve Huin (Co-CEO), Chris Barrett (Co-CEO), and Steven Archambault (Executive VP and CFO and Director). Additionally, as a result of his appointment to the Board of Directors following the Private Placement, Glenn McDougall became an insider of IDC. Collectively, these four insiders have subscribed directly and indirectly for $510,200 aggregate principal amount of the Secured Notes and 9,267,783 Warrants.

The Board of Directors believes the above extension is in the best interest of IDC to provide further financial stability and liquidity while pursuing large sales opportunities. The Toronto Stock Exchange (the "TSX") has approved the extension of expiry date of the Warrants provided that the Warrants may not be exercised for a period of ten business days from the date of this press release.

TSX Delisting

On October 2, 2015, the Continued Listing Committee of the TSX determined to defer its delisting decision in connection with the continued listing of IDC's shares until no later than November 5, 2015. On November 3, 2015, the TSX Continued Listing Committee provided notice to IDC of its decision to delist the common shares of IDC from the TSX effective December 4, 2015. IDC is considering other public listings, including the TSX Venture Exchange. Although there can be no assurance until a listing has been approved, the Company is confident that its common shares will continue to be listed for trading on the TSX Venture Exchange or another exchange suitable for micro-cap companies.

About International Datacasting Corporation:

International Datacasting Corporation (TSX: IDC) is a global technology provider for the world's premiere broadcasters in radio, television, data and digital cinema. IDC's products and solutions are in demand for radio and television networks, targeted ad insertion, digital cinema, 3D live events, VOD, and IPTV. IDC is headquartered in Ottawa, Canada. For more information visit: www.datacast.com.

Forward-Looking Statements:

This press release contains certain information that may constitute "forward-looking information" and/or "forward-looking statements" within the meaning of applicable Canadian securities laws including, without limitation, statements with respect to management's expectations regarding its results of operations, revenue, performance (both operational and financial) and business prospects and opportunities, as well as statements with respect to the proposed acquisition and the timing and completion of the sale of the assets related to video contribution, and the listing of the shares of the IDC on an exchange in the future. All forward looking information and forward-looking statements are necessarily based on a number of estimates and assumptions that are inherently subject to significant business, economic and competitive uncertainties and contingencies. The material assumptions used to develop the forward looking-statements made in this release include assumptions related to the effectiveness of IDC's disclosure controls and procedures and the effectiveness of IDC's internal controls over financial reporting, the ability of IDC to consummate the proposed acquisition, the ability of IDC to obtain an exemption order for the Ontario Superior Court of Justice, IDC's and DTV's ability to obtain the necessary licenses from third parties, IDC's ability to list its common shares on an exchange other than the TSX, as well as other considerations that are believed to be appropriate in the circumstances.

All statements other than statements which are reporting results as well as statements of historical fact are forward-looking statements that may involve a number of known and unknown risks, uncertainties and other factors; many of which are beyond the ability of IDC to control or predict.

Forward-looking statements are generally identifiable by use of the words "may", "will", "should", "continue", "expect", "anticipate", "estimate", "believe", "intend", "design", "plan or "project" or the negative of these words or other variations on these words or comparable terminology. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Risks and uncertainties that might cause actual results to differ materially include, but are not limited to: the possibility that certain assumptions with respect to the proposed transaction could prove to be inaccurate, and the possibility that certain assumptions with respect to the preliminary financial results could prove to be inaccurate, the required exemption order from the court may not be obtained in a timely manner or at all and the required licensing from third parties may not be obtained in a timely manner or at all, and IDC may not be able to meet the listing requirements of the TSX Venture Exchange or other exchange.

More detailed information about potential factors that could affect IDC's financial and business results is included in the public documents IDC files from time to time with Canadian securities regulatory authorities and which are available on SEDAR at www.sedar.com, including, without limitation, IDC's Annual Information Form and MD&A for the year ended January 31, 2015, each dated April 29, 2015.

In addition, IDC is currently undergoing its quarter-end closing and review process. Because IDC's results of operations for the quarter ended October 31, 2015 have not yet been finalized, the preliminary results included in this press release are subject to change as a result of the period-end closing process. These changes may be material. The preliminary financial results included in this press release have been prepared by, and are the responsibility of, IDC's management.

Except as expressly required by applicable law, we undertake no obligation to publicly update or revise forward-looking statements, whether as a result of new information, future events or otherwise. Forward-looking statements are provided to assist external stakeholders in understanding IDC's expectations as at the date of this release and may not be appropriate for other purposes. Readers are cautioned not to place undue reliance on such statements.