Wireless Age Communications Inc.

Wireless Age Communications Inc.

October 27, 2011 09:26 ET

Wireless Age Finalizes Settlement Agreement

TORONTO, ONTARIO--(Marketwire - Oct. 27, 2011) - Wireless Age Communications, Inc. ("Wireless Age") (PINK SHEETS:WLSA) announced that the Company has completed the Settlement Agreement (the "Settlement Agreement") with the receiver and trustee in bankruptcy (the "Trustee") of its former subsidiaries, Wireless Age Communications Ltd. ("Wireless Communications") and Wireless Source Distribution Ltd. ("Wireless Source").

On January 9, 2009, the date the Wireless Age subsidiaries were placed into receivership, Wireless Communications and Wireless Source had provided unsecured loans to Wireless Age, their direct parent company totaling CAD$8.3 million. Also as of January 9, 2009, Wireless Age had provided a secured loan to Newlook totaling CAD$6.2 million. The Company has recorded a special loss provision to the full extent of the loans provided by the subsidiaries to Wireless Age. Wireless Age entered into the Settlement Agreement with the Trustee on October 2, 2009, pursuant to which Wireless Age agreed to pay Wireless Communications and Wireless Source a total of $750,000 to settle the outstanding debts.

The Settlement Agreement has now been completed and third quarter results, due to be released in November, will reflect the gain of over $5 million associated with the final settlement of the intercompany loan between Wireless Age and Newlook.

John G. Simmonds, CEO of Wireless Age stated; "I'm extremely pleased with the finalization of this agreement. It allows the Company to move forward with its current business model and pursue exciting new opportunities."

Note: This press release contains "forward looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on currently available competitive, financial and economic data and management's views and assumptions regarding future events. Such forward-looking statements are inherently uncertain. Wireless Age Communications, Inc. cannot provide assurances that the matters described in this press release will be successfully completed or that the company will realize the anticipated benefits of any transaction. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to: global economic and market conditions; the war on terrorism and the potential for war or other hostilities in other parts of the world; the availability of financing and lines of credit; successful integration of acquired or merged businesses; changes in interest rates; management's ability to forecast revenues and control expenses, especially on a quarterly basis; unexpected decline in revenues without a corresponding and timely slowdown in expense growth; the company's ability to retain key management and employees; intense competition and the company's ability to meet demand at competitive prices and to continue to introduce new products and new versions of existing products that keep pace with technological developments, satisfy increasingly sophisticated customer requirements and achieve market acceptance; relationships with significant suppliers and customers; as well as other risks and uncertainties, including but not limited to those detailed from time to time in Wireless Age Communications, Inc. SEC filings. Wireless Age Communications, Inc. undertakes no obligation to update information contained in this release. For further information regarding risks and uncertainties associated with Wireless Age Communications, Inc.'s business, please refer to the risks and uncertainties detailed from time to time in Wireless Age Communications, Inc.'s SEC filings.

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