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Varitek Industries, Inc. Plans to Acquire Wireless Data Solutions

1 December 1999

Varitek Industries, Inc. Plans to Acquire Wireless Data Solutions and Expand into the Auto Safety and Communications Market

    HOUSTON--Nov. 30, 1999--Varitek Industries, Inc. announced today the signing of a formal letter of intent with Wireless Data Solutions (WDS) of Oceanside, California, to acquire WDS, including its wholly owned subsidiary, Dinet Distributed Networks, Inc. (Dinet). Varitek Industries, Inc., (a publicly held company) is the parent company of The Varitek Technology Group. VTG acquires, develops, markets, distributes and services wireless data systems and technologies.
    With the acquisition of WDS and Dinet's VLARS technology, Varitek Industries will be expanding into the auto safety and communications market through the development of a new, customer-driven telematics system. VTG will combine cellular communications, global positioning technology, a state-of-the-art onboard-integrated communications platform and 24-hour personalized customer monitoring services. Under the terms of the acquisition, WDS will become a wholly owned subsidiary of Varitek.
    Dinet and its parent company, WDS, are hardware and software designers and manufacturers of wireless mobile two-way communications platforms. They were incorporated in l982 and have grown into a leadership position in digital signaling technology. Dinet and WDS are in the forefront of designing and developing wireless fleet communications hardware and software, including VLARS (Vehicle Location Apprehension and Recovery System). VLARS is Dinet's GPS-based wireless mobile data platform, designed to provide a highly reliable, low cost and consumer-friendly system that can locate and track vehicles nationally.
    "Dinet has built a reputation as the leader in affordable wireless two-way mobile communication systems," said Pat Makovec, Chairman of WDS. "We have developed this position through our design, manufacture, distribution and support of each system."
    Randy Bayne, Varitek's Chairman and CEO, believes that "what the motoring public needs today is an affordable, easy-to-use security/communications platform that allows them to be in touch, both automatically and by choice. At the heart of our system will be a dedicated cellular service center that is always open and ready to supply immediately whatever assistance or information is required. Varitek is not just focused on auto safety or security issues. Research has shown that consumers want these new technologies to provide a wide range of travel-related services as well. Varitek and WDS plan to develop seamless packages that will meet all these needs."

    Some of the information in this release is forward-looking and subject to certain risks as described in the companies' filings with the Securities and Exchange Commission. This includes Wireless Data Solution's Form 10-K for fiscal year ended September 30, l999 and Varitek Industries' Form 10-K for fiscal year ended December 31, l998.