UniverCell to Discontinue Operations BALTIMORE, Sept. 24 /PRNewswire-FirstCall/ -- UniverCell Holdings, Inc.'s (OTC:UVCL) (BULLETIN BOARD: UVCL) subsidiary UniverCell announced that it has decided to discontinue its rental program, which was its only remaining operation. Due to recent events including the increase in rates due to the fluctuation of currencies, its rates have risen to the point where it does not think it will be able to be profitable in the coming years. In addition, it has seen the number of renters decrease dramatically after it did not continue its marketing efforts with Avis. Its advertising seems to be less effective than before due to increased competition and GSM rollout in the United States. It will no longer be accepting cellular phone rental applications and will attempt to wind up its existing rental operations in an orderly fashion. It will continue service to the phones that are currently rented until they are returned. It will continue to bill its customers and attempt to collect any and all outstanding receivables. The proceeds of winding up will almost certainly not be sufficient to satisfy its existing obligations. It has not yet determined whether to cease all operations. Among the possibilities the Company is considering are entering a related business in the communications area or in an unrelated area. If it decides to continue operations additional capital will be required. It may also seek merger or reverse merger candidates in related or unrelated fields. Sean Y. Fulda, Chairman and CEO, stated, "While we were hoping to grow unhampered after the final maturity of the debentures, other issues such as increased costs limited our ability to become profitable. We have chosen to discontinue operations as they would have likely resulted in continued losses. We may attempt to open other subsidiaries in related or unrelated fields if we can obtain the necessary financing. We may also attempt to do a merger or reverse merger with a company in a related or unrelated field." Contact Info: Investor Relations UniverCell Holdings, Inc. (800)765-2355 x8150 Safe Harbor for Forward-Looking Statements: Except for historical information contained herein, the statements in this release are forward- looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-Looking statements involve known and unknown risks and uncertainties, which may cause a company's actual results in the future periods to differ materially from forecasted results. These risks and uncertainties include, among other things, product price volatility, product demand, market competition, and risk inherent in the company's operations. You can identify these statements by the fact that they do not relate strictly to historical or current facts. They use words such as "anticipate," "estimate," "expect," "project," "intend," "plan," "feel," "think," "hear," "enable," "will," "guess," "believe" and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. DATASOURCE: UniverCell Holdings, Inc. CONTACT: Investor Relations, UniverCell Holdings, Inc., +1-800-765-2355 x8150 Web site: http://www.rentalcell.com/

Copyright