SOURCE: TelePlus World, Corp.

January 09, 2007 06:30 ET

TelePlus World CEO & Chairman Addresses 2006 Achievements and 2007 Outlook

MIAMI, FL -- (MARKET WIRE) -- January 9, 2007 -- TelePlus World, Corp. (OTCBB: TLPE) (FRANKFURT: YT3) (, a wireless and telecom reseller offering specialized communications products and services in the U.S. and Canada, is pleased to present this letter issued by CEO and Chairman Marius Silvasan.

Dear Valued Shareholder,

I wanted to take this opportunity to recap what TelePlus World has accomplished in 2006 and discuss our goals and strategies we anticipate achieving in 2007. Since my last letter to shareholders, TelePlus has attained many important milestones.


We started 2006 with the acquisition of Liberty Wireless, a wireless reseller supported by a retail distribution network of over 75,000 points, allowing customers easy access to replenish their airtime packages. Liberty is structured as a MVNO (Mobile Virtual Network Operator), primarily focusing distribution of its products and services through various online channels. Our strategy was to establish Liberty as our lead wireless subsidiary, and integrate its operations with various other telecom acquisitions TelePlus World made in 2005.

We closed a second MVNO acquisition in late June 2006: Maximo Impact. In September Maximo launched the MX brand, offering a Pay-As-You-Go product sold at retail. MX's primary focus is to target unbanked/underbanked consumers, teens, immigrants and students. The addition of Maximo allows us to further penetrate the retail market by offering an expanded a line of new, as well as established, products and services.

In the second half of 2006 various marketing initiatives were introduced, including wholly owned subsidiary, Liberty Wireless, launching a faith based wireless product via our association with FaithFone Wireless. Maximo Impact introduced its products and services at over 16,000 points of sales through a marketing deal with Blackstone, one of the largest providers of prepaid products and services in the U.S. Blackstone's 11,000 POSA (Point Of Sale Activation) terminals and 5,200 retail locations nationwide will allow Maximo's MX Mobile brand handsets, and reload cards, to be available to service MX Mobile's core client base, at all Blackstone's devices and retail locations. We also expanded our Direct Marketing initiatives by entering into various arrangements with business-to-consumer marketing firms.


Concurrently with the expansion of TelePlus World's wireless business, our Telecom subsidiary showed sustained organic growth and continued to win bids for various municipal governments. The total number of municipal governments we now service aggregates 39.


Among corporate and financial achievements, we successfully negotiated in August 2006, a reduction in debt primarily accumulated through acquisitions made in 2005. This strategy of debt reduction will free up cash flows in future periods.

Our revenue performance for the first nine months of the year was very gratifying, increasing 345% over the prior like period last year. Revenues for wireless and telecom sales reached $7,072,045 and $12,001,090, respectively, bringing total revenue to $19,073,134 compared to $4,281,273 (excluding discontinued operations) a year ago. Wireless and telecom operating income (before corporate allocation) reached $837,811 and $855,307, respectively. After Corporate allocation the operating loss was $96,241 compared to a loss of $299,974 from the same period last year. Net loss from continuing operations was $628,658 (including an impact from other income [expense] items, warrant expenses, and development costs associated to the launch of Maximo Impact) while the net loss was $877,266, reflecting a $248,608 write-off for the discontinued retail division, compared to a Net Loss of $1,706,041 for the same period last year. We anticipate full year 2006 revenues and income to be available during March 2007.

A record positive cash flow from operating activities, another important financial indicator, reached $1.7 million for the first nine months of 2006. As we continue to generate positive cash flow we are anticipating being able to make repayments of our debt in cash versus equity thus diminishing shareholder dilution.

At the end of 2006 we also completed the re-branding and a name change to TelePlus World, Corp. Simultaneously, we moved our head office from Montreal, Canada to Miami, Florida. The re-branding of our corporate name allows us to put in focus our operational objectives which are to deliver wireless and telecom services to market niches in select markets in the United States, Canada and select foreign markets. The move to Miami, FL is the culmination of strategic steps undertaken by management to get closer to our core markets and our shareholders.


While we are pleased with our various accomplishments in 2006, we believe much remains to be done. This year our objective is to grow TelePlus World organically, as well as through targeted acquisitions. We are working on various marketing opportunities which have not yet been launched and are considering several strategic initiatives. Management's primary focus in the roll-out of these marketing initiatives is to increase customer loyalty and reducing churn, or customers canceling service. We do continue to evaluate strategic opportunities that could accelerate our growth and further consolidate our presence in the market place.

The launch of a data solution for our wireless subsidiaries is also on the agenda for this year. Our world is changing and our ability to deliver mobile content specialized to our demographic is key in attracting new users and retaining existing customers. We believe lucrative market opportunities are developing in the mobile content side of our business, and our ability to personalize our offerings to these targeted demographics is a key consideration in our future successes.

We also intend to continue improving our balance sheet and reduce our current debt load. Various alternatives are being considered, including a refinancing of our current debt, at more advantageous terms, such as longer repayments to allow us to use cash flows from operating activities versus equity as repayment.

In conclusion, in 2007 shareholders should expect to see the roll-out of key initiatives to drive higher organic growth, continued strengthening of the company's balance sheet, including a potential restructuring of the current debt load, and an increased role of mobile content in our future product offerings.

I would like to take this opportunity to thank all the shareholders that have continued to support our business. And, very importantly, I want to thank all our valued employees for their dedication and hard work to establish TelePlus World as a leader in our respective telecommunications markets. I also encourage all of you to contact me, or our investor relations group, with any questions or requests for additional information.

Very truly yours,
Marius Silvasan
Chief Executive Officer
TelePlus World, Corp.
About TelePlus World, Corp.

TelePlus World, Corp. ("TelePlus") (OTCBB: TLPE),, is a diversified North American telecommunications company that is a leading provider of wireless and telecommunications products and services. TelePlus, founded in 1999, has continued to grow organically and through strategic acquisitions. The company's wholly owned subsidiaries include: Liberty Wireless, Corp., operates a prepaid MVNO (Mobile Virtual Network Operator) under the Liberty Wireless brand; Maximo Impact, Corp., operates a pay-as-you-go MVNO under the MX Mobile brand; and Telizon, Inc., which resells landline, long distance and internet services under the Telizon, Freedom and Liberty brands. TelePlus websites include,, and among others. The Company has offices in Miami, Florida; Cleveland, Ohio; Montreal, Quebec; and Barrie, Ontario.

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The statements which are not historical facts contained in this press release are forward-looking statements that involve certain risks and uncertainties, including but not limited to risks associated with the uncertainty of future financial results, additional financing requirements, development and acquisition of new product lines and services, government approval processes, the impact of competitive products or pricing from technological changes, the effect of economic conditions and other uncertainties, and the risk factors set forth from time to time in the Company's SEC reports, including but not limited to its annual report on Form 10-KSB; its quarterly reports on Forms 10-QSB; and any reports on Form 8-K. TelePlus World, Corp. takes no obligation to update or correct forward-looking statements.

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