American Phoenix Group Inc. Signs Letter of Intent With Tetherless Access Asia Ltd.

IRVINE, Calif., and MELBOURNE, Australia, Oct. 1 /PRNewswire/ -- Patrick N. Di Carlo, Chairman and CEO of American Phoenix Group Inc. (Nasdaq: APHX, APHXW) and Bruce R. Pilley, Chairman of Teterless Access Asia Ltd. ("TAAL") announced today that the two companies have signed a letter of intent for APHX to acquire TAAL. Under the terms of the agreement, APHX will acquire all of TAAL's capital stock in exchange for a combination of APHX common stock, preferred stock and options. The final consideration paid to TAAL will depend upon certain performance criteria applied to TAAL's business operations. The TAAL shareholders shall have the right to designate a majority of the APHX Board of Directors upon completion of the transaction.

TAAL is a wireless data networking services company that is currently establishing and operating wireless data communications networks through joint ventures with experienced business partners, principally in developing economies.

Among the ventures underway is TAAL's joint venture in China with China Launch and Tracking Control ("CLTC"), the satellite launch agency for the Chinese Government. CLTC also operates VSAT and mobile telephone networks throughout China.

In the Philippines, TAAL's joint venture partner is the Corona Group, which currently operates a trunk radio system on Luzon and holds an unrestricted national and international telecommunications franchise.

TAAL's corporate mission is to provide superior returns to shareholders through the provision of high speed data communications services, including high speed Internet access, which take advantage of the exploding demand for alternatives to wire line services in developing countries.

TAAL is currently establishing commercially operational networks in the following cities:

-- San Francisco Bay Area, California

-- Anchorage, Alaska

-- Shanghai, China

-- Shenyang,China

-- Shenghan, China

-- Manila, Philippines

-- Buenos Aires, Argentina

-- Melbourne, Australia

-- Auckland, New Zealand

TAAL's business model produces recurrent revenues by charging customers a monthly fee for access to a high speed data connection to the TAAL network, or the Internet. TAAL's current product, the Subspace 2001, delivers greater than 64 kbps throughput. TAAL expects to release its next generation product, the Subspace 2002, delivering 400 kbps of throughput to the end user and providing significantly enhanced performance.

TAAL maintains offices in Sunnyvale, California; Melbourne, Australia; Beijing, China; Shenzhen, China; Manila, Philippines, and Cape Town, South Africa.

APHX is an international technology and financial holding organization engaged principally in developing advanced technologies through controlled subsidiaries. APHX's common stock and common stock purchase warrants, exercisable at $3.75 per share until August 2000, currently trade on the Nasdaq Small Cap Market Tier under the symbols, APHX and APHXW, respectively.

SOURCE American Phoenix Group Inc.

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/CONTACT: Patrick N. Di Carlo of APHX, or Daniel A. France of APHX, 714-224-2525, or Bruce Pilley of TAAL, 011-613-9621-1155, or Web site http:/www.hblequities.com/

(APHX)

CO: American Phoenix Group, Inc.; Tetherless Access Asia, Ltd. ST: California IN: TLS SU: TNM

TM -- NYTU007 -- 6435 10/01/96 08:01 EDT http://www.prnewswire.com