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CCI-Telecom Highlights Strong Company Momentum as It Enters FY2006
SAN ANTONIO -- May 4, 2005 -- CCI Telecom, Inc. ("CCI"), a wholly owned subsidiary of Charys Holding Company, Inc. ("Charys"), (OTCBB: CHYS.OB), today announced strong
business momentum in several key areas as it enters its 2006 fiscal year.
CCI has been awarded over $1.4 million in new business in the past 45 days. The new contracts include construction of 27 cellular sites for two Tier 1 national
wireless carriers and a top regional carrier in the Southeast. In addition, the new business includes 53 projects wherein the System Services division will implement
advanced phone systems. The Technical Services Group announced 13 new projects and the Site Acquisition Group booked $135,000 in new business.
In addition, CCI today announced that the land and buildings that had been acquired for 250,000 shares of common stock and assumption of debt as part of the
acquisition by Charys were sold for an aggregate purchase price of $2.2 million. The result of this is a gain on sale of assets in excess of $1 million for CCI. The
new capital will be used to fund working capital requirements generated by the accelerated rate of new business growth. "This transaction was very timely and crucial
in providing the working capital CCI needs to serve the heightened level of new business we have received since the beginning of the fiscal year," said Mike Novak,
CEO of CCI. "We are delighted to be able to serve our growing customer base with the same quality and level of service upon which CCI built its reputation over the
past 25 years."
Charys also recently completed the first phase of CCI’s debt restructuring. As part of this effort, $1.7 million in term debt was extinguished in exchange for
400,000 shares of Charys Series B convertible preferred stock that is convertible into 400,000 shares of Charys common stock. The transaction greatly improves
CCI’s balance sheet and restores CCI’s ability to secure the bonding capacity it needs to pursue larger projects. Charys’ CEO Billy Ray commented, "We continue to
execute on our strategy of laying the foundation for CCI to grow its business substantially this year and capitalize on the new era of telecom investment."
CCI expects to generate in excess of $25 million in revenue during fiscal 2006.
About CCI-Telecom, Inc.
CCI is a telecommunications infrastructure services business. Headquartered in San Antonio, Texas, the company has 135 employees and satellite offices in Dallas, Houston,
and Lee, Massachusetts. CCI specializes in the development and construction of cellular towers, telephone switching facilities, and advanced radar installations. The
services provided by the company span a broad range of capabilities including telephone system installation, structured cabling, long-haul fiber, telecom equipment
maintenance, as well as installation and services related to microwave, satellite, radar, cellular, and wireless broadband systems. CCI has been in business since
1980 and has won many awards, including six annual recognitions as a "Top Fifty" company by the San Antonio Business Journal. CCI enjoys a reputation for high quality
and dependability in the wireless, wireline, and radar industries. Its customers include essentially every major wireless company in the U.S. and various major defense
contractors. For more information about CCI visit http://www.ccitele.com.
About Charys Holding Company, Inc.
Headquartered in Atlanta, Georgia, Charys Holding Company, Inc. (OTC BB:CHYS.OB) is a publicly traded company focusing on the fragmented and underserved segment
referred to as The Integrated Infrastructure Services Segment. This segment varies widely in scope, but is fundamentally focused on upgrading the underpinning,
infrastructure, and back office operations of the telecommunication, cable, electric, and Internet industries serving consumers, businesses and government entities.
Charys's principle strategy is to acquire, through mergers and acquisitions, companies that support this underserved segment. For more information about Charys
visit http://www.charys.com.
The names of actual companies and products mentioned herein may be the trademarks of their respective owners.
Forward-looking statements in this release, including statements regarding management's expectations for future financial results and access to capital
markets, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that these
forward-looking statements regarding Charys Holding Company, Inc., its operations and its financial results involve risks and uncertainties, including
without limitation risks of accessing capital markets on terms acceptable to Charys, downturns in economic conditions generally and in the
telecommunications and data communications markets; risks in product development and market acceptance of and demand for Charys products;
risks of failing to attract and retain key managerial and technical personnel; risks associated with competition and competitive pricing
pressures; risks associated with investing in new businesses; risks related to intellectual property rights and litigation; risks in technology
development and commercialization.
Media contact:
Stuart Smith
Red Nine PR
404 261-0707
ssmith@redninePR.com
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