Telaxis Communications and Young Design Complete Strategic Combination
Contact: David L. Renauld
(Vice President, Corporate Affairs)
Phone: 413-665-8551
Falls Church, Virginia — April 01, 2003: Telaxis Communications Corporation (OTCBB:TLXS), a developer of wireless fiber optic and Ethernet connectivity products, and Young Design, Inc. (YDI), a privately-held leading manufacturer of broadband solutions for Wireless Internet Service Providers (WISPs), common carriers and mobile carriers, today announced that they have completed their previously-announced strategic combination.
As part of the closing, Telaxis has issued 37,499,999 shares of its common stock to the two former stockholders of YDI. As a result, Telaxis now has 54,208,312 shares of its common stock outstanding and YDI is a wholly-owned subsidiary of Telaxis.
In connection with this transaction, Telaxis common stock is now quoted for trading on the Over-The-Counter Bulletin Board under Telaxis' current ticker symbol "TLXS." Telaxis anticipates changing that ticker symbol in connection with the contemplated change of its corporate name to "YDI Wireless, Inc." Telaxis intends to propose this name change to its stockholders at its 2003 annual stockholders meeting, which is expected to be held in June 2003.
YDI board designees Robert Fitzgerald (currently a director and Chief Executive Officer of YDI), Michael Young (currently a director and President and Chief Technical Officer of YDI), and Gordon Poole (currently a director and Vice President, Sales West of YDI) have joined Carol Armitage, Ralph Goldwasser, and John Youngblood on the Telaxis Board of Directors. YDI's fourth designee to the Board of Directors is expected to be elected shortly.
Robert Fitzgerald will serve as President and Chief Executive Officer of the combined entity. Michael Young will serve as the Chief Technical Officer of the combined company. Pat Milton, currently the Chief Financial Officer at YDI, will become Chief Financial Officer for the combined company. A recent change in the management of the combined company is that David Renauld, current Vice President, Legal and Corporate Affairs, of Telaxis is expected to remain with the combined company with his current responsibilities of general counsel and investor relations. Ken Wood, current Vice President, Engineering of Telaxis, will continue in that role for the combined company.
Telaxis is developing its FiberLeap™ product family to enable direct fiber optic connection to wireless access units and to transparently transmit fiber optic signals over a wireless link without the use of conventional modems. Taking advantage of Telaxis' high-frequency millimeter-wave expertise, the FiberLeap™ product family is being developed to use the large amounts of unallocated spectrum above 40 GHz to provide data rates of OC-3 (155 Mbps), OC-12 (622 Mbps), and Gigabit Ethernet. Telaxis has recently demonstrated its initial EtherLeap™ product, an 802.11-based Ethernet Local Area Network (LAN) radio operating at millimeter-wave frequencies. For more information about Telaxis, please visit its web site at www.tlxs.com or contact the company by telephone at 413-665-8551 or by email at IR@tlxs.com.
Young Design, Inc. is a world leader in providing extended range products for license free wireless data delivery systems. YDI manufactures products that extend the range of IEEE 802.11 wireless local area network (WLAN) systems as well as a broad family of high capacity point-to-point wireless backhaul products. In addition, YDI is a leading designer of turnkey extended range wireless systems for large-scale deployments and supplies wireless data equipment to over 1,000 wireless Internet service providers (ISPs) worldwide. YDI is headquartered at 8000 Lee Highway, Falls Church, Virginia, and can be contacted at www.ydi.com or by contacting Robert Fitzgerald at (703) 205-0600 or at rf@ydi.com.