CellPoint Issues Financial Results and Progress Report for the Quarter Ended March 31, 2000

CellPoint Issues Financial Results and Progress Report for the Quarter Ended March 31, 2000 Stockholm, May 16 - Peter Henricsson, Chairman and Chief Executive Officer of CellPoint, Inc. today announced the Company's quarterly financials and issued a progress report for the fiscal year 2000 to date. CellPoint's (NASD: CLPT, www.cellpt.com) report for the quarter ended March 31, 2000 reports revenues of $265,511 compared to no revenues in the quarter ending March 31, 1999. Reported EBITDA was -$1,362,443 for the quarter with operating expenses of $3,007,332, of which $1,379,378 was for depreciation and amortization. These operating expenses are consistent with the rapid expansion called for in the Company's Business Plan and resulted from the Company's efforts in expanding its operations to achieve commercialization of the technology, increasing its marketing and development activities, acquisition expenses and aggressive staff expansion to 66 employees from 31 nine months ago. Results for the nine-month period ending March 31, 2000 report revenues of $619,274 compared to no revenues for the period ending March 31, 1999. For the nine-month period, EBITDA was -$3,295,053. Selling, general and administrative expenses were $2,580,902 for the nine-month period compared to $1,296,409 in 1999. The Company incurred a loss of $6,511,820 which included depreciation and amortization expenses of $2,398,419 and financial items of $818,348 mostly attributable to interest costs associated with the $2,000,000 bridge financing in August 1999. This compares to a loss of $1,489,929 for the same period ending March 31, 1999. At the end of the quarter, CellPoint had $4,639,851 in working capital. Summary Highlights Henricsson also reported highlights for the quarter and year to date, noting that CellPoint retains its first-to-market advantage and is solidifying its world-leading position for delivering commercial end-to- end location services. Highlights of the quarter include: * SEC Accepts CellPoint's Form 10SB: The SEC accepted CellPoint's Form 10SB in January 2000, the necessary prerequisite for application to the Nasdaq. * CellPoint Applies for Nasdaq: Immediately upon receiving approval of its Form 10SB, CellPoint applied for listing on the Nasdaq National Market exchange, bypassing the small cap market. Approval is expected shortly. * Nokia, CellPoint and Tele2 join forces in marketing WAP position services. * CellPoint launches Finder!, a hot new application for position-location technology, allowing mobile users to determine where their friends and business associates are. * CellPoint Acquires Unwire, a leading competitor and incorporates their technology and patents. * SOS Alarm and CellPoint Subsidiary Unwire join forces on positioning, security and telematics services. * CellPoint Chairs Key Session at 2000 GSM World Congress in Cannes, France and is later in online reports from PC World Online, CNN.com and GSM World. * PM Luft AB of Europe and CellPoint subsidiary Unwire sign telematics agreement for wireless remote management system in Europe. * Telenor Satellite Tracking Ltd. And CellPoint sign telematics agreement for alarm monitoring throughout Europe. The Company started selling its technology and applications in the first fiscal quarter of 2000 and as a result, has emerged from a development stage. Subsequent to the end of this quarter, CellPoint announced several other important contracts and events. These include: * Yahoo! And CellPoint in Joint Marketing Agreement: Yahoo has begun marketing CellPoint's Finder! In Europe as Yahoo! Find a Friend. * Ericsson is Marketing CellPoint subsidiary Unwire's services in Asia. * CellPoint opened a British subsidiary to help centralize its worldwide marketing and implementation efforts. The Company's full report on Form 10QSB is filed with the SEC is available at http://www.edgar.com or http://www.freeedgar.com CellPoint Inc. (NASD: CLPT; www.cellpt.com) is a US company with subsidiary operations in Sweden, Britain and South Africa delivering positioning and telematics services in co-operation with cellular operators worldwide. Several commercially available services are based on the CellPoint System technology that uses GSM cellular networks to determine physical locations of cellular phones and Internet applications to present results and manage location and wireless telematics services. CellPoint currently has the world's only end-to-end commercial service offerings for digital cellular location technology; it is fully scalable and works with standards in GSM, WAP and the Internet. GSM accounts for more than 66% of the world digital cellular market with more than 285 million subscribers worldwide. Estimates for cellular phone usage are now at 1.5 billion users by 2005, with GSM accounting for two-thirds of the total market, and one billion mobile Internet users by 2005. For information, please contact: CellPoint Inc.: Lynn Duplessis, Tel: +44 1344 624 565, lynn@cellpt.com North American Inquiries: The Rowe Group; 877-880-1195; ajc@rowe-group.com CellPoint and CellPoint Systems are trademarks of CellPoint Inc. Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Act of 1995. Actual results may differ materially from those projected in any forward-looking statement. Investors are cautioned that such forward-looking statements involve risk and uncertainties which may cause actual results to differ from those described. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/2000/05/16/20000516BIT00840/bit0001.doc http://www.bit.se/bitonline/2000/05/16/20000516BIT00840/bit0002.pdf