LOUISVILLE, Ky., Jan. 2, 2007 (PRIME NEWSWIRE) -- US Wireless Online (Pink Sheets:UWRL), one of the nation's largest wireless broadband network operators, announced today that it has completed the sale of a 50.1% ownership stake to Sutioc Enterprises, Inc.
In conjunction with the transaction, which closed on December 27, 2006, Sutioc has entered into an agreement with IElement Corporation, Inc. (OTCBB:IELM) (Frankfurt:SZQ1) or (Frankfurt:IELM) whereby IElement will provide certain management and support services to US Wireless. As part of the agreement, IElement will provide out sourced customer service, technical support, network management, accounting, billing and collection services as well as act as an advisor to US Wireless' current management team. IElement is a nationwide provider of advanced communication services and Voice over Internet Protocol (VoIP) solutions with a network presence in 18 major markets in the United States, including facilities in Los Angeles, Dallas and Chicago.
At the time of the sale, Sutioc and US Wireless were able to retire over $3.5 million in US Wireless' debt.
US Wireless also expects to quickly benefit from efficiencies resulting from the transactions including the ability to streamline its operations and reduce administrative and operational costs. In addition, US Wireless will soon be able to offer its current and new customers a complete suite of voice and data products and services through IElement's product offering.
"The combination of US Wireless' organization and network facilities with IElement's management experience, infrastructure, broad product range and service capability should significantly improve the Company's competitive position," commented Rick E. Hughes, CEO of US Wireless Online, Inc. "We look forward to working with Sutioc and IElement. We anticipate leveraging their strengths and resources to resume the growth and expansion of our business in the near future."
Additional announcements relating to the transaction, new product launches, Wi-Fi Pittsburgh and other evolving developments are expected in the near future.
About IElement Corporation:
IElement, based in Dallas, Texas, is a facilities-based nationwide communications service provider that offers state-of-the-art telecommunications services to small and medium sized businesses ("SMBs"). IElement provides broadband data, voice and wireless services by offering integrated T-1 lines as well as a Layer 2 Private Network and VOIP solutions. These solutions provide SMBs with dedicated internet access, customizable business solutions for voice, data, wireless, internet, and secure communications channels between the SMB offices, partners, vendors, customers and employees without the use of a firewall or encryption device. IElement has a network presence in 18 major markets in the United States, including facilities in Los Angeles, Dallas and Chicago. For more information on IElement, please visit www.ielement.com.
About US Wireless Online:
US Wireless Online owns and operates one of the nation's largest wireless Internet broadband networks with significant coverage areas in Alabama, Florida, Indiana, Kentucky, Mississippi and Pennsylvania. The Company provides commercial wireless Internet access and related applications and services in the rapidly growing wireless broadband industry. US Wireless Online is headquartered in Louisville, Kentucky. For more information on US Wireless Online, Inc. please visit www.uswo.net.
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