TIE Communications sells Canadian subsidiary; will focus on dynamic U.S. market

Business Wire, Oct 10, 1996

OVERLAND PARK, Kan.--(BUSINESS WIRE)--Oct. 10, 1996--In an effort to focus more on the dynamic U.S. telecommunications market, Tie Communications Inc. has sold its Canadian subsidiary, Tie/communications Canada Inc. according to an announcement by Tie President Charles McNamee.

The transaction is effective immediately.

The subsidiary, which employs 240 and had sales of $30 million annually, was sold to an employee group headed by Tie Canada's President Clive Hulzinga. The group will change the Tie name to DELPHI SOLUTIONS INC. and continue to be headquartered in Markham, Ontario. Terms of the transaction were not disclosed.

"We want to focus all our resources on the dynamic domestic telecommunications industry," said McNamee. "Deregulation of the telecom industry in Canada is not moving as rapidly as in the United States, and we intend on being a full-service provider to our domestic customer base right now."

Tie Communications Inc. purchased TIE/communications Canada in October 1990. The company's original name was Canadian Telecom Group (CTG) and was founded in 1980.

Tie Communications Inc. is one of the nation's leading business communications providers. Founded in 1971, the new Tie has more than 700 employees and offers complete communications solutions to more than 70,000 business customers, including providing fully featured phone systems, long distance, videoconferencing, local, Internet access, maintenance and network services.

CONTACT: Tie Communications Inc., Overland Park

John Landsberg, 913/344-0494

(H): 913/345-1649