New Development, Investment, And Enterprise Management Company To Fuel Telecommunications Growth

July 9, 1999 A new breed of development, investment, and enterprise management firm is poised to make its mark on the fast-growing telecommunications industry. Incepta LLC will develop or acquire, own, and support early stage telecommunications companies primarily engaged in the data, enhanced local services, long distance, and mobile wireless telecommunications markets. The new company is an affiliate of Bechtel Enterprises, a global leader in development, financing, and ownership of infrastructure projects.

Incepta is led by longtime telecommunications leader and wireless pioneer John DeFeo and a team of more than 20 industry professionals creating a new model for supporting early stage telecommunications companies. Incepta has a unique approach to investment, seeking to build value not only by infusions of capital, but also by infusions of talent, ideas, and management support.

"We are on the brink of a dramatic era of opportunity in telecommunications," said John DeFeo, Incepta president and CEO, and former CEO of US WEST NewVector Group. "Our extensive experience in the industry allows us to capitalize on growing telecommunications market segments. The Incepta difference is leveraging our abilities and relationships for our partners, which will help to mitigate risk and more quickly increase the value of the enterprise."

Bechtel will provide Incepta with the benefits of its strong reputation as a developer and owner of successful infrastructure businesses. Incepta will also leverage Bechtel's relationships to identify high-potential opportunities and its more than 30 years of experience in design and build out of telecommunications systems.

"Bechtel's affiliation with Incepta is the latest example of a business strategy we adopted in the early 1980s," said Paul Unruh, president and COO of Bechtel Enterprises. "Through Incepta we intend to provide a full array of services from inception to operations. We'll take an ownership position in these telecommunications ventures, not just for the short term but as a continuing partner in the economic life of the communities we serve."

Comprehensive Investment Strategy

Incepta's targets for growth are telecommunications segments that offer the greatest potential, including competitive local exchange carriers of voice and data, mobile wireless, and long distance. The company's initial focus will be in North America and Western Europe, where deregulation and the emergence of new technologies create rich potential. Its rigorous selection process will minimize risk for its investments by utilizing its teams' expertise in building networks, managing complex projects, and marketing telecommunications services.

The time is right for the Incepta concept. The worldwide telecommunications market, which in 1997 was an estimated $667 billion, is growing at a rate of $40 billion per year. Avenues of opportunity now exist for entrepreneurs to complement established telecommunications providers, by meeting exploding market demand for increased bandwidth capacity.

About Incepta

Incepta is a privately held company, established with Bechtel Enterprises as its founding shareholder. It is a development, investment, and strategic enterprise management partner in next generation telecommunications companies. Its mission is to develop companies, invest in them, and help guide them to create and realize exceptional value.

About Bechtel Enterprises

Bechtel Enterprises Holdings, Inc. is the development, financing, and ownership affiliate of the Bechtel organization. It is a leader in the privatized infrastructure market with interests in the power generation, water and wastewater, transportation, pipelines, telecommunications, and technology sectors. The Bechtel organization is one of the world's premier engineering, construction, and project management companies. It has completed more than 19,000 projects in 140 countries on all seven continents. Bechtel has been active in the telecommunications sector for more than 30 years, providing a full array of services--from new wireless infrastructure, to public switched telephone network additions, to large fiber network deployments. In 1998, Bechtel generated revenues exceeding $12.6 billion.