CALGARY, ALBERTA — (Marketwired) — 12/10/13 — Zedi Inc. (TSX VENTURE: ZED) (“Zedi” or the “Corporation”) announced on October 24, 2013 that it had received notice from TELUS Communications (“TELUS”) that the TELUS CDMA EVDO service in British Columbia and rural Alberta will be discontinued effective March 31, 2014. Subsequent to that announcement, Zedi has been working diligently to define the full scope, timeline and costs that will be associated with the network discontinuance and has reached an agreement with TELUS on a project plan that finalizes the timing and scope of the work. Field work has commenced based on the project plan. Based on the current schedule in the project plan, the turndown of the network will commence on March 31, 2014, with a phased discontinuance of the EVDO service through to June 30, 2014. There are 7,960 devices that must have HSPA modem updates no later than June 30, 2014. An additional 1,780 devices must be updated by June 30, 2015. Total direct project costs to the Corporation under the plan are projected to be in the range of $10-12 million, prior to any further mitigation. To minimize the impact to its customers, the Corporation is using its own funds to pay the costs associated with the discontinuance of the network and is continuing in its discussions with TELUS with respect to their expected contribution to such costs. The Corporation continues to work diligently internally and with TELUS to both reduce and mitigate the impact on Zedi. Zedi will provide further updates as circumstances warrant.
FORWARD-LOOKING STATEMENTS
Certain statements and information contained in this news release may constitute forward-looking information and statements within the meaning of applicable Canadian securities legislation (“forward-looking statements”). The use of the words “expect”, “anticipate”, “continue”, “estimate”, “may”, “will”, “project”, “should”, “believe”, “plans”, “intends” and similar expressions are intended to identify forward-looking statements. In particular, this news release contains forward-looking statements relating to the timing of the discontinuance of TELUS– CDMA EVDO service, the number of devices affected by the discontinuance and the costs associated with the discontinuance.
The forward-looking statements contained in this news release are based upon a number of factors, expectations and assumptions, which management believes to be reasonable. However, such factors, expectations and assumptions may prove to be incorrect and, as a result, undue reliance should not be placed on such forward-looking statements. In particular, forward-looking statements relating to the discontinuance of TELUS– CDMA EVDO service are based upon the project plan agreed to with TELUS and TELUS– stated commitment to assist the Corporation in mitigating the risks of the discontinuance and the availability and costs of alternatives available to the Corporation to minimize any adverse impact on the Corporation.
The forward-looking statements involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by the Corporation and described in this news release. Such risks include, but are not limited to, the Corporation being unable to transition instruments on the CDMA EVDO service to alternative service in a timely manner and the failure of TELUS to provide support to the Corporation in making any necessary transition. Readers are cautioned that the foregoing list of factors is not exhaustive.
The forward-looking statements contained in this news release are expressly qualified by the foregoing cautionary statements and are made as of the date of this news release. The Corporation does not undertake any obligation to publicly update or revise any forward-looking statements, except as required by applicable law.
ABOUT ZEDI
Zedi Inc. (TSX VENTURE: ZED) helps the world–s oil and gas producers be more productive, more profitable, and more sustainable through technology backed by expert consultation and services. Our 60 years of continuous operations in North America and recognition as one of the industry–s best workplaces, sets us apart in the production operations landscape. With our unique combination of award-winning automation, data management, and field and professional services, we offer solutions to our customers– challenges and help them realize their production potential.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Zedi Inc.
Debra Deane
Investor Relations
403-802-7092
403-444-1101 (FAX)