15,000 km of electrical lines in Ecuador to be outfitted with Corinex Broadband over Powerline by ISP Consortium including TELCONET S.A., GILAUCO S.A. and BRIGHTCELL S.A.

(Vancouver, B.C. – June 23, 2008) ¾ Corinex Communications Corp. today announced a new partnership with EMPRESA ELECTRICA QUITO (EEQ) which has selected the Consortium of TELCONET S.A., GILAUCO S.A. and BRIGHTCELL S.A. to deploy a Corinex Broadband over Powerline (BPL) Access network across all major centers in Quito, the capital city of Ecuador. Residents and businesses in Quito now have the opportunity to receive voice, video and broadband Internet services in any standard electrical outlet in the home or office. In addition to consumer services, the Consortium will be deploying automated meters, municipal security services and distribution automation of the EEQ grid.

The Corinex BPL network project is a full commercial deployment, and when completed it will span over 15,000 kilometers of EEQ’s medium and low voltage electrical lines, connect 27,000 of its transformers and be available to 800,000 residents. Currently the Consortium of TELCONET, GILAUCO, and BRIGHTCELL is connecting 1,000 transformers per month and expects to complete the full Corinex BPL network rollout within two and a half years.

“EEQ is happy to be a part of delivering important telecommunications services to Ecuador’s population using our electrical infrastructure,” said Carlos Andrade Faini, general manager of EMPRESA ELECTRICA QUITO S.A. “Our main focus is electricity, of course, and I’d like to let everyone know that EEQ, TELCONET, GILAUCO, BRIGHTCELL and Corinex have performed exhaustive testing to ensure our primary business of electricity delivery is uncompromised.”

The project is expected to be one of the largest deployments of BPL technology in the world, with the Consortium winning the EEQ contract to deliver broadband services for 10 years. Customers will be able to order different service packages ranging from 256 kbps up to one Mbps broadband access with various VoIP and video options.

“EEQ and the Consortium project is the largest pure BPL network in the world shared by broadband offerings of the service provider and smart grid applications for the utility. The cost of Corinex BPL solution is a fraction of cost of other technologies and is also shared by 2 major parties: utility and service providers and represent for them significant business benefit.” stated Sam Morovati, VP, Strategic Sales of Corinex Communications. “This project is proof that BPL Access networks have moved to mainstream and the business models have matured for both Broadband Access and Smart Grid programs.”

“On behalf of the Consortium I can state that we are proud to have been selected by EMPRESA ELECTRICA QUITO to build and operate this city-wide BPL network,” said Igor Krochin, general manager of Consortium (TELCONET S.A., GILAUCO S.A., BRIGHTCELL S.A.). “Corinex’s newest generation of BPL technology is the only BPL technology in the world that allows us to reach the high speeds and low costs we needed to make the project a success.”

Deployment of the BPL network began in December 2007 in the major metropolitan area of Quito, where 550,000 of the 1,200,000 residents are located. The BPL network is continuously expanding since its inception, with 17 communities scheduled for receiving services, including Tabacundo, San Miguel de los Bancos, Pedro Vicente Maldonado, Sangolquí, Machachi, Baeza, Conocoto, San Rafaél, Cumbayá, Tumbaco, El Quinche, Checa, Yaruquí, Guayllabamba, Puèllaro, Atahualpa and San José de Minas.

About EMPRESA ELECTRICA QUITO (EEQ)

Historically the first company to provide electricity in Quito was "La Eléctrica," started by Víctor Gangotena, Manuel Jijón and Julio Urrutia in 1894. The EMPRESA ELECTRICA QUITO as it is today was founded in November 1955. Today’s mission is to support the development of Quito and the surrounding region by providing low cost, clean energy that will improve the quality of life of the habitants. EEQ’s vision is to be an efficient and modern company that is a leader in the field of electricity not only in Ecuador but also in Latin America. Within the values that the company stands behind are solidarity and social and environmental responsibility. The company supports projects in telemetry and the offering of internet service at affordable prices to its clients through its electric network. Today the company provides services to more than 700.000 homes and companies, with electricity generated by water/power plants around the region.