Tranzeo Wireless Technologies Inc.
TSX : TZT

Tranzeo Wireless Technologies Inc.

October 22, 2010 14:26 ET

Tranzeo Provides Update on Credit Framework

PITT MEADOWS, BRITISH COLUMBIA --(Marketwire - Oct. 22, 2010) - Tranzeo Wireless Technologies Inc. (TSX:TZT) provides the following update on its credit facility and its letter of credit usage. Tranzeo's credit facility is presently capped at $3.5 million and is secured by accounts receivable. Tranzeo has received a preliminary commitment from its lender to increase the size of the credit facility to $6.5 million to accommodate future anticipated growth in Tranzeo's accounts receivable base resulting from increased purchase orders from strategic international customers. Tranzeo plans to use the credit facility to fund inventory purchases to meet new purchase orders. In addition, Tranzeo is also able to leverage letters of credit received in connection with sales to Indonesia and other international customers with its bank to further fund additional inventory purchases. Tranzeo also obtains insurance issued by the Export Development Corporation of Canada for the majority of international sales as part of its overall credit framework to protect against loss from customer default in payment.

About Tranzeo Wireless Technologies Inc.:

Tranzeo Wireless Technologies Inc. (TSX:TZT) leads the wireless broadband industry as a premier manufacturer of high-performance wireless network equipment that allows communities and businesses to communicate without boundaries. Tranzeo's optimum cost effectiveness, premium quality and responsive support have attracted a growing and devoted worldwide following of more than 2,465 dealers and 16 distributors. Tranzeo's full spectrum of point-to-point and point-to-multipoint radios, WiMAX equipment, and mesh network solutions are designed for wireless internet service providers, governments, campuses, military, carriers, enterprise customers, and systems integrators around the globe. Headquartered in British Columbia, Canada, Tranzeo also has offices in San Diego, California, San Jose, California, and Shannon, Ireland. Visit http://www.tranzeo.com or phone 1.866.872.6936 for more information.

Aperto Networks operates as a wholly owned subsidiary of Tranzeo. Aperto is a leading supplier of wireless broadband, mobile WiMAX and Enterprise VPN solutions using highly versatile and cost-effective carrier-grade WiMAX Forum Certified infrastructure equipment.

Forward-Looking Statements

This press release contains forward-looking statements that involve risks and uncertainties. We use words such as "anticipate", "plan", "expect", "believe", "intend" and similar expressions to identify forward-looking statements that relate to our business, management, operating results and financial condition. These statements are not historical facts, but reflect our current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations, including the matters discussed under "Risk Factors" in our Annual Information Form and Management's Discussion and Analysis which may be found on SEDAR at www.sedar.com.

Contact Information