ChinaTel Selects KCSA Strategic Communications as Investor Relations Agency of Record

IRVINE, Calif., Feb. 16 /PRNewswire-FirstCall/ -- ChinaTel Group, Inc. (ChinaTel) (OTC Bulletin Board: CHTL), a leader in high speed wireless broadband, telecommunications infrastructure, engineering and construction services, today announced that it has retained KCSA Strategic Communications, a leading New York-based communications firm, to head the company's new investor relations and financial communications program.

KCSA will implement a comprehensive investor relations campaign designed to build greater awareness of ChinaTel following its recently completed $640 million equity financing.  Over its nearly four-decade history, KCSA has established a strong reputation for its work representing numerous public companies. Todd Fromer, Managing Partner of KCSA will lead the investor relations team and provide strategic counsel on financial communication matters.  Lewis Goldberg will head KCSA's public relations efforts for ChinaTel.

ChinaTel's CEO, George Alvarez, stated, "This is the beginning of a very exciting chapter in our growth. Our recently completed $640 million equity investment provides us with ample capital to deploy and operate wireless broadband telecommunications networks in 29 cities in the People's Republic of China (PRC).  With the financing behind us and a clear vision for growth, we believe that now is the right time to begin articulating ChinaTel's story to investors."

"We chose KCSA as our agency of record for their proven track record of success with helping micro- and small- cap companies increase awareness within the investment community.  We look forward to working with the team at KCSA to help us achieve our goals of increasing our shareholder base and creating a market value that is more inline with the opportunity for our rapidly growing business," added Mr. Alvarez.

Todd Fromer, Managing Partner of KCSA Strategic Communications, stated, "ChinaTel's potential for growth and expansion is impressive. We are excited to work with management to communicate the Company's tremendous market opportunity.  We believe ChinaTel has many positive milestones on the horizon and we look forward to implementing targeted investor and media programs that will help increase awareness and understanding of the Company within the financial community."

About KCSA Strategic Communications

Founded in 1969, KCSA Strategic Communications (www.kcsa.com) is an integrated communications agency that helps clients synchronize their brand messages across investor relations, public relations and all other strategic marketing channels. The firm offers its clients a rare opportunity to achieve true brand alignment and develop close, meaningful relationships with their key audiences. KCSA is a founding member of ECP Global (www.ecpglobal.com), an international alliance of premier independent communication consultancies.

About ChinaTel Group, Inc.

ChinaTel Group, Inc. (ChinaTel), through its controlled subsidiaries, provides fixed telephony, conventional long distance, high-speed wireless broadband and telecommunications infrastructure engineering and construction services. ChinaTel is presently building, operating and deploying networks in Asia and South America: a 3.5GHz wireless broadband system in 29 cities across the People's Republic of China (PRC) with and for CECT-Chinacomm Communications Co., Ltd., a PRC company that holds a license to build the high speed wireless broadband system; and a 2.5GHz wireless broadband system in cities across Peru with and for Perusat, S.A., a Peruvian company that holds a license to build high speed wireless broadband systems. ChinaTel's vision remains clear: (i) to acquire and operate wireless broadband networks in key markets throughout the world; (ii) to deliver a new world of communications; and (iii) and invest in building long-lasting relationships with customers and partners to lead the broadband industry in customer service and responsiveness. Our strategy is to build leading-edge IP-leveraged solutions advanced by our worldwide infrastructure and leadership in emerging markets.  www.ChinaTelGroup.com

Safe Harbor Statement

This press release contains forward-looking statements that involve risks and uncertainties.  Actual results, events and performances could vary materially from those contemplated by these forward-looking statements. These statements involve known and unknown risks and uncertainties, which may cause the Company's actual results, expressed or implied, to differ materially from expected results. These risks and uncertainties include, among other things, product demand and market competition. You should independently investigate and fully understand all risks before making an investment decision.

This release is available on the KCSA Strategic Communications Web site at www.kcsa.com.

SOURCE ChinaTel Group, Inc.