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DAT Datacom Wireless Corp

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Share Name Share Symbol Market Type
Datacom Wireless Corp TSXV:DAT TSX Venture Common Stock
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  0.00 0.00% 0 -

Datacom Announces Second Quarter 2008 Financial Results

29/08/2008 9:52pm

Marketwired Canada


To the attention of Business and Financial Editors

Datacom Wireless Corporation ("Datacom" or "the Company")(TSX VENTURE:DAT), a
Canadian leader in the design, development and marketing of mission critical
vehicle fleet management and theft prevention solutions today announced its
financial results for the three-month period ended June 30, 2008.


First Quarter Growth Highlights:

- During the second quarter of 2008, the following new customers and/or units
were added:


-- 41 new Mobicom customers (commercial market)

--- 502 Mobicom units sold (335 in 2007)

-- 486 Mobilus units (consumer market) (656 in 2007)

-- 4,860 Mobiguard units (consumer market) (2,609 in 2007)

-- 187 Vigil GPS units (consumer market) (nil in 2007)

- Eric Morin was appointed General Manager with responsibility for the
Corporation's day-to-day operations. Mr. Morin originally joined the Corporation
in June 2002 and was named Vice-President of Operations in February 2007. As
General Manager, he will be responsible for the Corporation's day-to-day
operations, in addition to retaining his duties as Vice-President of Operations.


- Datacom now has thee local resources operating in its Calgary sales office.
Sales figures for Calgary are in line with the Corporation's expectations.


- As explained in our press release issued on July 30, 2008, the Company decided
to reorient activities around the sale of Mobicom Fleet Management Solutions and
progressively terminate Mobilus and Vigil products' activities. We refer you to
the Management Discussion and Analysis with respect to the June 30, 2008
Financial Statements and the press release of July 30, 2008 for more details.


- Also, during the quarter, the Corporation introduced its new all-inclusive
instalment sales plan, which enables customers to make monthly payments over a
three-year period covering equipment and service charges. Under this plan, the
Corporation will have a competitive market offer; in addition, customer feedback
has been very positive. The Corporation has begun seeking private financing for
the all-inclusive instalment sales plan with a view to limiting the potentially
negative short-term impact on the Corporation's cash position if the Corporation
provides the financing.


- Finally, as at June 30, 2008, 3,024 Web-based fixed wireless management
systems (Rosemount 753R with ITraX) have been sold. The Corporation took part in
the development of this product in association with a subsidiary of Emerson
Electric Co. and continues to provide development and IT support services. The
original agreement between the Corporation and Emerson Electric Co. under which
royalties are paid to Datacom based on the number of units sold expired in July
2008. Discussions are under way to renew this agreement.


"Through the second quarter, the Company has been implementing the action plan
it instituted at the beginning of the second quarter and that is designed to
enhance the Company's profitability by orienting activities around profitable
Fleet Management solutions and by cutting operating expenses," noted Pierre
Belanger, Acting President and CEO of Datacom.


Option grants

The Company announces that it has granted to three of the Corporation's
officers, Eric Morin, Claude Bergeron and James Chandik, a total of 700,000
options to purchase common shares of the Corporation. Each of these options is
exercisable at a price of $0.20 per share and will expire on August 25, 2018.
The options have been granted pursuant to the Corporation's incentive stock
option plan.


About Datacom Wireless Corporation:

Founded in 1999, Datacom has grown to become one of the Canadian leaders in the
design, development and marketing of mission critical vehicle fleet management
and theft prevention solutions. Its products and services use wireless
communications and satellite-based tracking technologies (GPS) and a
state-of-the-art ASP information portal.


Forward-Looking Statements:

This press release includes certain statements that may be deemed
"forward-looking statements". Forward-looking statements are frequently
characterized by words such as "plan", "expect", "project", "intend", "believe",
"anticipate", "estimate", and other similar words, or statements that certain
events or conditions "may" or "will" occur. All statements in this release,
other than statements of historical facts, that address future events or
developments that the Company expects or anticipates, are forward-looking
statements. Although the Company believes the expectations expressed in such
forward-looking statements are based on reasonable assumptions, such statements
are not guarantees of future performance and actual results or developments may
differ materially from those in forward-looking statements. Factors that could
cause actual results to differ materially from those in forward-looking
statements include market prices and general economic, market or business
conditions. There can be no assurance that forward-looking statements will prove
to be accurate, as results and future events could differ materially from those
anticipated statements. The Company undertakes no obligation to update
forward-looking statements if circumstances or management's estimates or
opinions should change. The reader is cautioned not to place undue reliance on
forward-looking statements.


All trademarks and brands mentioned in this Press Release are the property of
their respective owners.


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