Nokia Signs Licensing Agreement With Topp Telecom Inc.; Topp Telecom's Prepaid Software to be Incorporated Into New Nokia 918 Phone

Business Wire, Jan 8, 1999

LAS VEGAS--(BUSINESS WIRE)--Jan. 8, 1999--Nokia today announced it has signed a licensing agreement with Topp Telecom Inc., a Miami-based prepaid wireless company, to incorporate the company's prepaid software into the Nokia 918 analog cellular phone. The new prepaid version of the Nokia 918 will begin shipping during first quarter 1999 and will be sold at retail outlets nationwide for between $99 and $149.

The newly enhanced Nokia 918 offers consumers financial flexibility when choosing a cellular phone. Sold without a contract or monthly fees, the Nokia 918 is easily activated through Topp Telecom Inc. by calling a toll-free number. Users can view the prepaid balance remaining on the phone on its large LCD display, making it easy to keep track of cellular service costs. Additional prepaid calling cards can be purchased at the customer's convenience.

According to a recent study by market analyst firm The Yankee Group, mass merchandise and retail will account for more than 60 percent of the cellular distribution channel by 2002, compared to 47 percent in 1997.

"More phones will be packaged and sold off-the-shelf in a retail environment this year," said Rich Geruson, senior vice president, USA sales & marketing at Nokia Mobile Phones. "Our association with Topp Telecom allows us to offer wireless to a wider range of consumers seeking the financial flexibility of prepaid, the convenience of wireless service, and the ease of use and quality of Nokia products."

"This licensing agreement not only extends our prepaid TracFone product line with a world-class handset manufacturer such as Nokia, but it also provides consumers with a high-quality prepaid solution to their communication needs," said Robert Dandrea, senior vice president of marketing at Topp Telecom, Inc.

Based in Miami, Florida, Topp Telecom, Inc. is the leading provider of prepaid wireless communications in the U.S., with one national airtime rate and one SKU nationwide. Topp Telecom sells the TracFone(TM), a pay-as-you-go cellular phone service, to anyone, anytime and anywhere. TracFone(TM) is the only premium prepaid wireless service that requires no contract, no credit, no security deposit and has no monthly bills or age requirements, making service available to everyone. For more information on TracFone(TM), contact Topp Telecom's web page at www.topptelecom.com.

Nokia is the world's leading mobile phone supplier and a leading supplier of mobile and fixed telecom networks including related customer services. Nokia also supplies solutions and products for fixed and wireless datacom, as well as multimedia terminals and computer monitors. In 1997, net sales totaled FIM 52.6 billion (USD 9.8 billion). Headquartered in Finland, Nokia is listed on five European Stock Exchanges and on the New York Stock Exchange (NOK.A), has sales in 130 countries and employs more than 42,000 people worldwide. Visit us at www.nokia.com.