Agreement Reached Between Southland and Sun Technology; Provides For "Last Mile" Fibre Optic Solution in Hong Kong

Business Wire, June 30, 1999

NEW YORK--(BUSINESS WIRE)--June 30, 1999--

Southland Financial, Inc. (OTC: SINC) has reached an agreement in principle with Sun Technology Solutions (Sun) of Charlotte, North Carolina, whereby Sun will make a $45 million dollar equity investment in Southland. Pending final due diligence, the agreement provides for $5 million in capital to be provided to Southland in order to secure an initial round of Southland's "Last mile fibre optic solution" project in Hong Kong.

Southland has appointed the financial services arm of Sun as advisors to the company in conjunction with a full listing on the NASDAQ. In addition, the agreement also provides for the appointment of a representative of Sun on the board of Southland.

Patrick Duke, Executive Vice President of Sun Technology Solutions said "We are delighted to be associated with and advise Southland Financial. We believe that the company's Hong Kong fibre optic infrastructure project will bring a new level of communications to Hong Kong and the surrounding region."

David Turik, CEO of Southland Financial announced the agreement in Hong Kong today. Turik stated "We are excited to welcome Sun Technology Solutions to our team. The addition of Sun will allow the company to concentrate all of its efforts on the implementation of the "final mile solution" in Hong Kong.

Southland Financial, Inc., through its joint-ventures partners and subsidiary companies, aims to be the premier, independent communications "network and platform" server provider in Southeast Asia. Southland intends to provide cost-effective, high quality and value-added "last mile" solutions to its customers. -0- This news release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1996. Forward looking statements concerning, plans, objectives, goals, strategies, future events of performance and underlying assumptions and other statements which are other than statements of historical facts. These statements are subject to uncertainties and risks including, but not limited to, product and services demand and acceptance, changes in technology and in economic, political and regulatory conditions and to all of the risks generally associated with a company at Southland's stage of development. All such forward-looking statements, whether written or oral, and whether made by or on behalf of the company are expressly qualified by these cautionary statements. In addition, the Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date hereof.

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