International FiberCom Inc. reports second quarter loss on higher revenues.

PHOENIX--(BUSINESS WIRE)--Aug. 23, 1996--International FiberCom Inc. (NASDAQ:IFCI/IFCIW)(BSE:IFC/IFCW)(PHLX:IFC) Friday announced that revenues for the second quarter ended June 30, 1996, increased 6 percent to $2,939,969 compared to revenues of $2,775,971 for the second quarter of 1995.

The

company posted a loss of $184,290, or $.03 per share, for the second quarter of 1996, compared to a loss of $217,656, or $.05 per share, for the same period in 1995. For the six months ended June 30, 1996, the company had revenues of $6,365,836 and a loss of $117,298, or $.02 per share, compared to revenues of $6,552,158 and net income of $19,540, or $.01 per share, for the same period in 1995.

Joseph P. Kealy, president, said, "Revenues and profitability in the second quarter of 1996 were adversely affected by an unexpected decrease in the level of work orders from two of our principal customers, Cox Communications and U.S. West.

"This decrease was caused by delays in work orders, chiefly due to right-of-way negotiations these customers were having with certain municipalities. While revenues increased slightly in the quarter, the revenues attributable to the installation of fiber-optic and telecommunication systems, which is typically the company's higher margin work, decreased from 76 percent in the 1995 quarter to 51 percent in the second quarter of 1996.

"The company expects Cox Communications to proceed with all work Cox scheduled for the 1996 calendar year, which will create a substantial increase in revenues for the company's Cable division in the third and fourth quarters."

The company also reported that Joseph W. Zerbib, treasurer, director and formerly a principal shareholder, resigned these positions in July and sold 1,035,325 shares of his stock, which were all of his shares eligible for sale. He took these actions to pursue other interests and fulfill other commitments.

International FiberCom Inc. specializes in the design, installation and maintenance of fiber-optic and other cable for the telecommunications and cable industries and conducts operations in Arizona and California.

CONTACT: International FiberCom Inc., Phoenix

Joseph P. Kealy, 602/941-1900

or

Alex Tassos & Associates

619/737-7000