Washington and Colorado CLEC Approvals Announced by Fidelity Holdings
10 August 1999
Washington and Colorado CLEC Approvals Announced by Fidelity Holdings' Computer Business Sciences
KEW GARDENS, N.Y.--August 9, 1999--Fidelity Holdings, Inc. through its technology subsidiary, Computer Business Sciences, Inc. ("CBS"), today announced approval of CLEC (Competitive Local Exchange Carrier) status in the states of Washington and Colorado, bringing the number of CLEC licenses to ten. CBS is seeking approval on another 21 CLEC Applications which will, if approved, enable Fidelity Holdings' IG2, Inc. subsidiary to deploy its complete services in 62 of the most populous cities in the United States. IG2, Inc. intends to begin offering services as early as October 1999.CBS has previously been approved as a CLEC in New York, California, Florida, Illinois, District of Columbia, Pennsylvania, Ohio and Texas. With the addition of these two states, CBS will be able to operate as a Facilities-Based Carrier of Telecommunications Services and Intrastate Interexchange Services in ten states, allowing it to start rolling out its IG2 services in 32 of the most populous cities in the United States. CBS has already started the process of rolling out its DSL services in New York through a collocation arrangement with Bell Atlantic , and in the next 90 days will proceed in the ten states/commonwealths in which it currently has approval.
Approval of all 31 CLEC applications filed by CBS would enable IG2, Inc. to proceed with its plans to provide its XDSL services to residential and small business customers in 62 of the most populous cities in the United States. IG2, Inc.'s services are based on a multimedia network platform, IG2(TM), which is designed to provide to residential and small business customers high speed Internet access, eCommerce capabilities, local and long distance telephone service, television quality video conferencing and television programming, all through existing telephone wires already installed in the customer's home.
"The combined total of IG2's network convergence will give us a reach of 48% of the domestic population. We believe we are at the cutting edge in offering true convergence. Many companies for many years have talked about the promise of the full service network. IG2 plans to deliver on that promise," stated Doron Cohen, President of Fidelity.
Kimberly Peacock, President and CEO of IG2, Inc., added: "As compared to some of the packet CLEC companies and RBOCs, who offer a piece of the broadband consumer package, IG2 will stand out in offering the complete spectrum of wireline communications services."
Contributing to the IG2 platform are a series of consumer electronic manufacturers, software developers and companies seeking additional exposure utilizing e-Commerce. Fidelity Holdings has been a diversified holding company that utilizes information and technology to target industries experiencing consolidation and/or deregulation. The Company operates two divisions - Automotive and Technology. The Automotive Division operates through Major Automotive Group, a leading consolidator of automotive dealerships in the New York Metropolitan Area. The Technology Division operates under Computer Business Sciences, its IG2, Inc. subsidiary, and its plastics subsidiary.
Fidelity Holdings, Inc. is presently exploring the divestiture of its non-automotive activities by way of sale, merger, consolidation or other opportunities. Accordingly, all such non-automotive activities have been classified as discontinued operations in its financial statements.
For additional information, visit our website at www.fdhg.com, www.majorautomotive.com and www.majorworld.com.
The information contained in this press release, including any "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 contained herein, should be reviewed in conjunction with the Company's Annual Report on Form 10-KSB and other publicly available information regarding the Company, copies of which are available from the Company upon request. Such publicly available information sets forth many risks and uncertainties related to the Company's business and such statements, including risks and uncertainties related to that are unpredictable and outside of the influence and/or control of the Company.