Author Archives: tucows

Ting Acquires Majority Stake In Blue Ridge InternetWorks, Expands From Mobile To Fixed Internet Access

- Accelerates BRI mission to bring gigabit Internet via fiber to Charlottesville, Virginia -

CHARLOTTESVILLE, VA, December 16, 2014 – Ting Fiber, Inc. (TFI), a wholly owned subsidiary of Tucows Inc. (NASDAQ: TCX; TSX: TC), announced today that it has entered into a definitive agreement to acquire 70% ownership of an independent Internet service provider in Charlottesville, Virginia doing business primarily as Blue Ridge InternetWorks (BRI).

BRI provides high speed Internet access, Internet hosting and network consulting services to over 3,000 customers in Central Virginia.

Ting disrupted the mobile industry with its launch in 2012, offering shockingly fair pricing, usable interfaces and no-hold, no-transfer live customer support. This acquisition signals an ambition to bring the same sort of sanity and innovation to the cable industry.

“The expansion from mobile to fixed access is almost obvious for us,” explained Tucows CEO Elliot Noss. “The only customers in the world more starved for great service and fair pricing than mobile phone customers are cable customers. They deserve that.”

“But we have an opportunity with BRI in Charlottesville to offer even more than great service at a low price. The step up to gigabit, or ultra high-speed, access is profound,” continued Mr. Noss. “It can change the way people use and enjoy the Internet. It can help attract and grow businesses and transform a community.”

“There is a wonderful movement going on. Towns are excited about the potential of fiber and they are lobbying for it. So far, these build-outs have mostly been ‘side projects’ for industry giants. I think we can prove there is enough demand and profit to make it work absolutely anywhere and to attract and sustain smaller, more customer-focused providers like us. It’s an exciting experiment.”

Jeff Cornejo, co-founder of BRI, echoed this enthusiasm. “For almost fifteen years, we have provided a wonderful, service-driven alternative to big guys like Comcast and CenturyLink. But to do what we want to do, to give Charlottesville the fastest, best Internet access in the country, we needed some more muscle. Ting gives us the capital and the technical capabilities we need without compromising our focus on customer relationships.”

Mr. Noss concluded, “For shareholders, this is a rare opportunity. In one deal, we get customers, revenue, prospects, infrastructure and a wealth of fiber expertise. We get an inside track on a game changing technology.”

TFI will acquire 70% of the newly formed Ting Virginia LLC and its acquired subsidiaries, Blue Ridge Websoft LLC (doing business as Blue Ridge InternetWorks), Fiber Roads, LLC and Navigator Network Services, LLC (the BRI Group). The remaining 30% interest in Ting Virginia LLC, which is subject to certain Call and Put Options, will be retained by the current owners of the BRI Group. The founders of the BRI Group will remain with the company. The price and terms of the acquisition were not announced. The acquisition is subject to regulatory approvals and other customary closing conditions and is expected to close during the first quarter of 2015.

Visit https://ting.com/internet to learn more about Ting and the benefits of fiber, to sign up for updates or to talk to us about bringing gigabit Internet to your town.

Conference Call

Tucows management will host a conference call today, December 16, 2014 at 5:00 pm (ET) to discuss this announcement. Participants can access the conference call by dialing 1-888-231-8191 or 647- 427-7450 or via the Internet at http://www.tucows.com/investors.

For those unable to participate in the conference call at the scheduled time, it will be archived for replay both by telephone and via the Internet beginning approximately one hour following completion of the call. To access the archived conference call by telephone, dial 1-855-859-2056 or 416-849-0833 and enter the pass code 54400285 followed by the pound key. The telephone replay will be available until Tuesday, December 23, 2014 at midnight ET. To access the archived conference call as an MP3 via the Internet, go to http://www.tucows.com/investors.

About Blue Ridge InternetWorks

Blue Ridge InternetWorks’ headquarters and data center are located in Charlottesville, VA. Founded in 2000, BRI offers hosting, IT services and high-speed Internet access for 3,000 customers. BRI has a staff of 25 employees. This team plans, designs, implements and maintains high-speed data networks.

About Ting

Ting offers mobile that makes sense. Ting has no contracts, no overage penalties and no hidden fees. Minutes, megabytes and messages are each billed separately and customers only pay for the usage levels they actually hit. Businesses and families can have unlimited devices on one account and share usage for even greater savings. Active devices on an account cost just $6 per month. Ting offers a clear, usable website and smart, accessible people that are empowered to solve problems.

Starting today, Ting will start making fixed Internet make sense too.

About Tucows

Tucows is a provider of network access, domain name and other Internet services. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. OpenSRS (http://opensrs.com) manages over 13 million domain names and millions of value-added services through a global reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. More information can be found on Tucows’ corporate website (http://tucows.com).

This release includes forward-looking statements as that term is defined in the U.S. Private Securities Litigation Reform Act of 1995 including statements regarding and the acquisition, its timing and impact. These statements are based on management’s current expectations and are subject to a number of uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements, including the parties’ ability to obtain regulatory approvals and satisfy closing conditions and integration of the BRI Group into our Company. Information about other potential factors that could affect Tucows’ business, results of operations and financial condition is included in the Risk Factors sections of Tucows’ filings with the Securities and Exchange Commission. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. All forward-looking statements are based on information available to Tucows as of the date they are made. Tucows assumes no obligation to update any forward-looking statements, except as may be required by law.

Media Contact:

Jesse Simms
416-535-0123 x1209
jsimms@tucows.com

Investor Contact:

Lawrence Chamberlain
416-815-0700 ext. 257
lchamberlain@tmxequicom.com

Ting to Add Service on a GSM Network

First mobile provider ever to allow both CDMA and GSM devices to share usage on one account

TORONTO, December 9, 2014 – Mobile service provider Ting, a subsidiary of Tucows Inc. (NASDAQ:TCX, TSX:TC), today announced an agreement with a major US network provider to offer service on a GSM network.

Ting’s GSM service is slated to go live in February 2015 and will operate in concert with the existing CDMA service. Once live, CDMA and GSM devices can coexist under a single Ting account, sharing a single pool of minutes, messages and megabytes of data.

“This is an industry first,” said Elliot Noss, CEO of Tucows and Ting.

tinggsmsimPlus, if you have a device in your pocket, chances are a Ting GSM SIM card is all you will need to give this highly touted upstart a try. Based on market-wide sales research and surveys released by Kantar Worldpanel ComTech USA and covered by FierceWireless, greater than 80% of the smartphones sold in the US over the past two years will work on Ting.

This will significantly lower the barrier to entry for people to try Ting. Rather than a leap of faith (albeit a leap that over 80,000 people are happy they made), with a compatible phone and a Ting GSM SIM card, it’s more of a small step.

Starting today, Ting’s compatibility checker at https://ting.com/byod will not only tell prospects whether their device is compatible on the current CDMA service, but also whether it will be compatible on the upcoming GSM service.

“Our goal has always been a mobile market where customers and their devices can move between carriers as they see fit,” Noss said. “We think the power balance in the mobile industry is all off. Customers, not service providers, should hold the cards.”

“We’ve been offering our vision of a better way to do mobile service for almost three years now. We’re always looking to push it further. Offering service for GSM devices, and sharing minutes, messages and megabytes on one account regardless of which network the device accesses, feels like the right next step,” Noss said before taking a deep breath because, seriously, that was a pretty long quote.

About Ting

Ting (https://ting.com) offers mobile that makes sense. Ting has no contracts, no overage penalties and no hidden fees. Minutes, megabytes and messages are each billed separately and customers only pay for the usage levels they actually hit. Businesses and families can have unlimited devices on one account and share usage for even greater savings. Active devices on an account cost just $6 per month. Ting offers a clear, usable website and smart, accessible people that are empowered to solve problems.

About Tucows

Tucows is a provider of network access, domain name and other Internet services. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. OpenSRS (http://opensrs.com) manages over 13 million domain names and millions of value-added services through a global reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. More information can be found on Tucows’ corporate website (http://tucows.com).

Media Contact:

Jesse Simms
416-535-0123 x1209
jsimms@tucows.com

Investor Contact:

Lawrence Chamberlain
416-815-0700 ext. 257
lchamberlain@tmxequicom.com

Tucows Announces Commencement of Dutch Auction Tender Offer

TORONTO – December 8, 2014 – Tucows Inc. (NASDAQ:TCX, TSX:TC), a provider of network access, domain name and other Internet services, announced today that it is commencing its “modified Dutch auction Tender Offer” (the “Tender Offer”) to repurchase a number of its common shares not to exceed an aggregate purchase price of $8.0 million, as previously announced on November 12, 2014. The closing price of Tucows common stock on the NASDAQ on December 5, 2014 was $17.45.

Under the Tender Offer, shareholders will have the opportunity to tender some or all of their shares at a price within the range of $16.50 to $18.50 per share. Based on the number of shares tendered and the prices specified by the tendering shareholders, Tucows will determine the lowest per share price within the range that will enable it to buy up to $8.0 million worth of shares, or such lesser number of shares that are properly tendered. Assuming that the offer is fully subscribed, if the Purchase Price is determined to be $16.50 per share, the minimum Purchase Price under the Tender Offer, the approximate number of shares that will be purchased under the offer is 484,848. Assuming that the Tender Offer is fully subscribed, if the Purchase Price is determined to be $18.50 per share, the maximum Purchase Price under the offer, the approximate number of shares that will be purchased under the offer is 432,432. If more than $8.0 million worth of shares are properly tendered, the number of shares to be repurchased by Tucows pursuant to the tender offer may, at the discretion of Tucows, be increased by up to 2% of Tucows’ outstanding shares, without amending or extending the tender offer. Rawleigh Ralls, a director of Tucows, has advised Tucows that he expects to sell up to 75,000 shares in the Tender Offer.

Shareholders whose shares are purchased in the offer will be paid the determined purchase price per share net in cash, without interest, after the expiration of the offer period at 5:00 P.M., New York City Time, on Wednesday, January 7, 2015.

Tucows intends to fund the purchase of shares up to $8.0 million pursuant to the offer, including the related fees and expenses, from cash on hand. However, if more than $8.0 million in value of shares are tendered in the offer at or below the Purchase Price and the Company exercises its right to purchase up to an additional 2% of our outstanding shares, the Company may fund a portion of this purchase from one of its demand loan facilities with the Bank of Montreal.

The Depositary and Paying Agent for the tender offer is Computershare Trust Company, N.A., c/o Computershare Shareholder Services, Inc., P.O. Box 43011, Providence, RI 02940-3014, Attn: Corporate Actions. The Information Agent for the tender offer is Georgeson Inc., 480 Washington Blvd, 26th Floor, Jersey City, NJ 07310.

Neither Tucows, its board of directors or the information agent is or will be making any recommendation to shareholders as to whether to tender or refrain from tendering their shares into the Tender Offer. Shareholders will be able to obtain copies of the offer to purchase, related materials filed by the Company as part of the statement on Schedule TO and other documents filed with the Securities and Exchange Commission through the SEC’s internet address at www.sec.gov without charge when these documents become available. Shareholders and investors may also obtain a copy of these documents, as well as any other documents the Company has filed with the SEC, without charge, from the Company or at the Company’s website: www.tucows.com. Shareholders are urged to carefully read these materials, when available, prior to making any decision with respect to the offer. Shareholders and investors who have questions or need assistance may call Georgeson Inc., the information agent for the tender offer, at (800) 509-0983.

This release is for informational purposes only and is not an offer to buy or the solicitation of an offer to sell any shares of the Company’s common stock. The solicitation and offer to buy the Company’s common stock will only be made pursuant to the offer to purchase and related materials that the Company is sending to its shareholders. Shareholders should read those materials carefully because they will contain important information, including the various terms and conditions of the Tender Offer.

About Tucows

Tucows is a provider of network access, domain name and other Internet services. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. OpenSRS (http://opensrs.com) manages over 13 million domain names and millions of value-added services through a global reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. More information can be found on Tucows’ corporate website (http://tucows.com).

This release includes forward-looking statements based on management’s current expectations. These statements, include statements regarding our expectations with respect to the Tender Offer and the related participants, terms and conditions of the Tender Offer and are subject to a number of uncertainties and risks that could cause actual events to differ materially from those described in the forward-looking statements including general market conditions. Information about other potential factors that could affect Tucows’ business, results of operations and financial condition is included in the Risk Factors sections of Tucows’ filings with the SEC. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. All forward-looking statements are based on information available to Tucows as of the date they are made. Tucows assumes no obligation to update any forward-looking statements, except as may be required by law.

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

Contact:

Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com

Tucows Announces Intention to Commence Dutch Auction Tender Offer

TORONTO, November 12, 2014 — Tucows Inc. (NASDAQ:TCX, TSX:TC), a provider of network access, domain name and other Internet services, today announced it expects to commence within 30 days of this announcement a “modified Dutch auction” tender offer (the “Tender Offer”) to repurchase a number of shares of its common stock not to exceed an aggregate purchase price of $8.0 million. In accordance with rules of the Securities and Exchange Commission (“SEC”), Tucows may increase the number of shares accepted for payment in the offer by no more than 2 percent of the outstanding shares without amending or extending the tender offer. Tucows also announced that it has suspended its normal course issuer bid, which commenced in March 2014 and pursuant to which Tucows has repurchased 79,392 shares of common stock.

The Tender Offer will allow shareholders to indicate how many shares and at what price within the Company’s specified range they wish to tender. Tucows will select the lowest single per-share purchase price that will allow it to buy up to $8.0 million of its outstanding common stock at completion of the Tender Offer. The specified range is yet to be determined but is expected to be in the range of $16.00 to $18.00 per share. All shares purchased by the Company in the Tender Offer will be purchased at the same price and will be cancelled. The Company will not purchase stock below a shareholder’s indicated price, and in some cases, the Company may purchase shares at a price that is above a shareholder’s indicated price under the terms of the Tender Offer.

The Tender Offer will not be conditioned upon any minimum number of shares being tendered, but will be subject to customary conditions that will be described in the Tender Offer documents. The offer to purchase and related Tender Offer documents, which will be distributed to shareholders upon commencement of the Tender Offer, will also contain tendering instructions and a complete explanation of the Tender Offer’s terms and conditions.

Neither Tucows, its board of directors nor its agents is or will be making any recommendation to shareholders as to whether to tender or refrain from tendering their shares into the Tender Offer. Shareholders must decide whether to tender their shares and, if so, how many shares to tender and at what price or prices. In doing so, shareholders should carefully evaluate all of the information in the Tender Offer documents, when available, before making any decision with respect to the Tender Offer, and should consult their own financial and tax advisors.

Rawleigh Ralls, a director of Tucows, has advised Tucows that he expects to participate in the tender offer.

The Tender Offer described in this release has not yet commenced. This release is for informational purposes only and is not an offer to buy or the solicitation of an offer to sell any shares of the Company’s common stock. The solicitation and offer to buy the Company’s common stock will only be made pursuant to the offer to purchase and related Tender Offer documents, which are expected to be distributed to shareholders within thirty days of this announcement. Shareholders will be able to obtain copies of the offer to purchase and related Tender Offer documents when available without charge through the SEC’s website at www.sec.gov or from the Company’s website at www.tucows.com. Shareholders are urged to carefully read these materials, when available, prior to making any decision with respect to the offer.

About Tucows

Tucows is a provider of network access, domain name and other Internet services. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. OpenSRS (http://opensrs.com) manages over 13 million domain names and millions of value-added services through a global reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. More information can be found on Tucows’ corporate website (http://tucows.com).

This release includes forward-looking statements as that term is defined in the U.S. Private Securities Litigation Reform Act of 1995 including statements regarding our expectations regarding our future financial results and, in particular, our expectations for Ting and its impact on our financial performance. These statements are based on management’s current expectations and are subject to a number of uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements, including the acceptance of Ting in the market. Information about other potential factors that could affect Tucows’ business, results of operations and financial condition is included in the Risk Factors sections of Tucows’ filings with the Securities and Exchange Commission. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. All forward-looking statements are based on information available to Tucows as of the date they are made. Tucows assumes no obligation to update any forward-looking statements, except as may be required by law.

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

Contact:

Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com

Tucows Reports Continuing Strong Financial Results for the Third Quarter of 2014

— Quarter Highlighted by Net Earnings of $0.24 Per Share, Continued Momentum at Ting —

TORONTO, November 12, 2014 – Tucows Inc. (NASDAQ:TCX, TSX:TC), a provider of network access, domain name and other Internet services, today reported its financial results for the third quarter ended September 30, 2014. All figures are in U.S. dollars.

Summary Financial Results
(In Thousands of US Dollars, Except Per Share Data)

3 Months Ended Sept. 30, 2014 (unaudited) 3 Months Ended Sept. 30, 2013 (unaudited) 9 Months Ended Sept. 30, 2014 (unaudited) 9 Months Ended Sept. 30, 2013 (unaudited)
Net revenue 38,874 35,637 108,865 96,795
Income before provision for income taxes and change in fair value of forward exchange contracts 4,072 3,565 7,462 4,944
Net income 2,691 2,593 4,515 3,258
Net earnings per common share¹ $0.24 $0.24 $0.40 $0.32
Net cash provided by (used in) operating activities 5,014 3,664 6,110 7,052

¹ Net earnings per common share reflects the 1-for-4 reverse split of common shares that became effective December 31, 2013.

Summary of Revenues and Cost of Revenues
(In Thousands of US Dollars)

Revenue Cost of Revenue
3 Months Ended Sept. 30, 2014 (unaudited) 3 Months Ended Sept. 30, 2013 (unaudited) 3 Months Ended Sept. 30, 2014 (unaudited) 3 Months Ended Sept. 30, 2013 (unaudited)
Domain Services
Wholesale
OpenSRS Domain Service 21,880 22,003 18,230 18,581
Value-Added Services 2,350 2,606 576 485
Total Wholesale 24,230 24,609 18,806 19,066
Retail 2,687 2,143 1,197 946
Portfolio¹ 2,208 4,167 189 660
Total Domain Services 29,125 30,919 20,192 20,672
Network Access Services (Ting) 9,749 4,718 5,794 3,597
 
Network, other costs - - 1,139 1,193
Network, depreciation and amortization costs - - 172 176
Total revenue/cost of revenue 38,874 35,637 27,297 25,638

¹Portfolio revenue for Q3 2014 and Q3 2013 includes the net amounts received from the previously announced confidential arrangements related to the Company’s withdrawal of its application under the ICANN New gTLD Program for .group, and .media and .marketing, respectively.

“In the third quarter we again saw the growing contribution from Ting in our financial results as our Domain Services businesses continued to deliver consistent, reliable performance,” said Elliot Noss, President and Chief Executive Officer, Tucows Inc. “We achieved net earnings of $0.24 per share, bringing net earnings for the year-to-date to $0.40 per share, surpassing our total for the entire 2013 year. Consolidated gross margin increased to 26% from 21% a year earlier, excluding the Portfolio group, which benefited from atypical contributions in both quarters.”

“Ting continued its strong momentum in customer acquisition, adding almost 11,000 accounts and more than 17,000 devices.”

Net revenue for the third quarter of 2014 increased 9% to $38.9 million from $35.6 million for the third quarter of 2013.

Net income for the third quarter of 2014 was $2.7 million, or $0.24 per share, compared with $2.6 million, or $0.24 per share, for the third quarter of 2013. Net income for both the third quarters of 2013 and 2014 included the contribution of confidential arrangements related to the Company’s withdrawal of certain of its applications under the ICANN New gTLD Program.

Cash and cash equivalents at the end of the third quarter of 2014 were $13.6 million, compared with $14.2 million at the end of the second quarter of 2014 and $11.5 million at the end of the third quarter of 2013. During the third quarter of 2014, the Company generated cash flow from operating activities of $5.0 million, as well as $1.1 million from the proceeds of stock options. This was partially offset by the use of $5.4 million for the repayment in full of the Company’s bank loan and $1.1 million for the repurchase of shares under the Company’s ongoing share buyback program.

Conference Call

Tucows management will host a conference call today, Wednesday, November 12, 2014 at 5:00 p.m. (ET) to discuss the Company’s third quarter 2014 results. Participants can access the conference call by dialing 1-888-231-8191 or 647-427-7450 or via the Internet at http://www.tucows.com/investors.

For those unable to participate in the conference call at the scheduled time, it will be archived for replay both by telephone and via the Internet beginning approximately one hour following completion of the call. To access the archived conference call by telephone, dial 416-849-0833 or 1-855-859-2056 and enter the pass code 21916055 followed by the pound key. The telephone replay will be available until Wednesday, November 19, 2014 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://www.tucows.com/investors.

About Tucows

Tucows is a provider of network access, domain name and other Internet services. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. OpenSRS (http://opensrs.com) manages over 13 million domain names and millions of value-added services through a global reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. More information can be found on Tucows’ corporate website (http://tucows.com).

This release includes forward-looking statements as that term is defined in the U.S. Private Securities Litigation Reform Act of 1995 including statements regarding our expectations regarding our future financial results and, in particular, our expectations for Ting and its impact on our financial performance. These statements are based on management’s current expectations and are subject to a number of uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements, including the acceptance of Ting in the market. Information about other potential factors that could affect Tucows’ business, results of operations and financial condition is included in the Risk Factors sections of Tucows’ filings with the Securities and Exchange Commission. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. All forward-looking statements are based on information available to Tucows as of the date they are made. Tucows assumes no obligation to update any forward-looking statements, except as may be required by law.

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

Contact:

Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com

Radix, Tucows and Namecheap Win .online Auction

— Domain industry veterans form a “global supply chain supergroup,”
secure the first viable alternative to .com —

TORONTO, Nov. 10, 2014 – A newly formed entity owned by Radix, Tucows and Namecheap won the auction to operate the .online registry for an undisclosed amount.

In the past year, dozens of new generic top level domains (gTLDs) from .actor to .wtf have brought meaning to the letters after the dot for niche constituencies and content. Soon, domain registrants will have one broad, intuitive, uncluttered alternative to .com for almost any initiative online.

They will also have a registry operator that is up to the task.

Radix is poised to join the largest registries in the world with applications to operate 20 suffixes and a warchest of over $30 million to ensure its success.

Tucows (NASDAQ:TCX; TSX:TC) operates OpenSRS, the largest wholesale domain name registrar in the world, with over 14,000 resellers in 150 countries and 14 million domains under management.

Namecheap is one of the most popular retail domain name services in the world, with over four million domains under management, two million direct customers, best-in-class user interfaces and outstanding customer support.

Together, the three companies bring unparalleled domain name experience and global distribution. That is fitting for .online, which perhaps brings unparalleled global relevance and appeal.

“Online” is the most commonly used word to end domain names, with over 550K .com domain names today ending with the word “online.” In addition, the .online extension has been amongst the top most pre-registered names across registrars.

“.online is the one new gTLD that requires no explanation,” chanted Radix CEO Bhavin Turakhia, Tucows CEO Elliot Noss and Namecheap CEO Richard Kirkendall. On the count of three, the CEOs continued, “We are excited to leverage our joint capabilities to bring this exciting new generic to the global market.”

Each of Radix, Tucows and NameCheap will contribute $4 to $5 million to cover the cost of the auction and the initial funding of seed capital for the registry. Tucows will treat its contribution as an investment for the purposes of financial reporting.

.online is expected to be generally available for registrations in early 2015.

About Radix

Radix (Radix FZC), is an active participant in ICANN’s process to expand the internet naming system and introduce new, meaningful internet addresses. Radix is Asia’s largest new gTLD applicant under this program with applications to operate 20 suffixes including web, .music, .blog, and .shop. The company has invested over $30 Million in securing licenses to operate these new extensions and expects to play a large role in the global diversification of the internet namespace.

About Tucows
Tucows is a provider of network access, domain name and other Internet services. OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a global reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. More information can be found on Tucows’ corporate website (http://tucows.com).

About Namecheap

Namecheap is a Los Angeles-based ICANN-accredited domain registrar, founded in 2000 by CEO Richard Kirkendall. With over four million domains under management and two million direct customers, Namecheap is one of the top domain registrars and web hosting providers in the world. For more information, visit https://www.namecheap.com.

For further information:

Tucows Contact:
Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com

Tucows Third Quarter Investment Community Conference Call is Wednesday, November 12, 2014 AT 5:00 P.M. (ET)

TORONTO, Oct. 29, 2014 – Tucows Inc. (TSX: TC, NASDAQ: TCX) plans to report its third quarter fiscal 2014 financial results via news release on Wednesday, November 12, 2014 at approximately 4:00 p.m. (ET). Tucows management will host a conference call the same day at 5:00 p.m. (ET) to discuss the results and the outlook for the company.

Participants can join the call by dialing 1-888-231-8191 or 647-427-7450. Participants can also access the conference call via the Internet at http://www.tucows.com/investors.

For those unable to participate in the conference call at the scheduled time, it will be archived for replay both by telephone and via the Internet beginning approximately one hour following completion of the call. To access the archived conference call by telephone, dial 416-849-0833 or 1-855-859-2056 and enter the pass code 21916055 followed by the pound key. The telephone replay will be available until Wednesday, November 19, 2014 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://www.tucows.com/investors.

About Tucows

Tucows is a provider of network access, domain name and other Internet services. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a global reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. YummyNames (http://yummynames.com) owns and operates premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

For further information: Lawrence Chamberlain, TMX Equicom, (416) 815-0700 ext. 257, lchamberlain@tmxequicom.com

Zipcar Founder Robin Chase Joins Tucows Board of Directors

— Brings with her a few pointers on transforming industries and challenging corporate giants —

TORONTO, Oct. 27, 2014 – Tucows Inc. (NASDAQ:TCX, TSX:TC), a provider of network access, domain name and other Internet services, today announced that Robin Chase has joined its Board of Directors.

Ms. Chase has been a pioneer of the peer, or sharing, economy. She founded Zipcar, now the largest car sharing company in the world. Zipcar’s disruptive technology and delightful customer experience gave its members on-demand access to cars by the hour and by the day, providing an effective alternative to car ownership or conventional car rental services. She took that a step further, founding Buzzcar in France which does not even own its own cars, instead bringing together car owners and drivers in a robust car sharing marketplace. Now as founder and chairman of Veniam’Works she continues to innovate, this time with the connected car.

“Throughout our history, we have always offered services that involve and empower users as alternatives to services that alienate them or take them for granted,” explained Tucows CEO Elliot Noss. “That was profoundly true of OpenSRS, our domain name platform for web hosting companies, versus Network Solutions, the incumbent in 1999. It is true of Ting, our mobile phone service, versus Verizon or AT&T today.”

“Robin understands as well as anyone how the Internet can level the playing field and put tremendous power into the hands of customers,” Mr. Noss continued. “Her passion and experience will be invaluable to us across our business units.”

Ms. Chase added, “I’ve always thought of Tucows, and of Elliot himself, as democratizing forces in the areas where they play. They succeed by enlisting customers as partners. I’m excited to help them translate their capabilities and that wonderful vision into further commercial success.”

Tucows welcomes Robin Chase as it says farewell to longtime board member Lloyd Morrisett, who has stepped down in September 2014 at the age of 84. Mr. Morrisett is best known as one of the founders of the Sesame Workshop (the creators of Sesame Street) and longtime President of the Markle Foundation. For 13 years as a Tucows director, he has provided wisdom, insight, and inspiration, both to the company and to each individual who has had the opportunity to work with him.

About Tucows

Tucows is a provider of network access, domain name and other Internet services. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users.  OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a global reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. More information can be found on Tucows’ corporate website (http://tucows.com).

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

For further information:

Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com

Tucows Reports Strong Financial Results for the Second Quarter of 2014

— Quarter Highlighted by Doubling of Net Earnings Per Share, Continued Steady Customer Growth at Ting —

TORONTO, August 12, 2014 – Tucows Inc. (NASDAQ:TCX, TSX:TC), a provider of network access, domain name and other Internet services, today reported its financial results for the second quarter ended June 30, 2014. All figures are in U.S. dollars.

Summary Financial Results
(In Thousands of US Dollars, Except Per Share Data)

3 Months Ended Jun. 30, 2014 (unaudited) 3 Months Ended Jun. 30, 2013 (unaudited) 6 Months Ended Jun. 30, 2014 (unaudited) 6 Months Ended Jun. 30, 2013 (unaudited)
Net revenue 35,588 31,173 69,990 61,158
Income before provision for income taxes and change in fair value of forward exchange contracts 2,110 948 3,389 1,379
Net income 1,347 588 1,824 664
Net earnings per common share¹ $0.12 $0.06 $0.16 $0.07
Net cash provided by (used in) operating activities 1,135 2,971 1,096 2,388

¹ Net earnings per common share reflects the 1-for-4 reverse split of common shares that became effective December 31, 2013.

Summary of Revenues and Cost of Revenues
(In Thousands of US Dollars)

Revenue Cost of Revenue
3 Months Ended Jun. 30, 2014 (unaudited) 3 Months Ended Jun. 30, 2013 (unaudited) 3 Months Ended Jun. 30, 2014 (unaudited) 3 Months Ended Jun. 30, 2013 (unaudited)
Domain Services
Wholesale
OpenSRS Domain Service 21,503 21,800 17,809 18,485
Value-Added Services 2,396 2,560 563 520
Total Wholesale 23,899 24,360 18,372 19,005
Retail 2,540 2,001 1,111 833
Portfolio 889 1,078 213 230
Total Domain Services 27,328 27,439 19,696 20,068
Network Access Services (Ting) 8,260 3,734 5,040 2,940
 
Network, other costs - - 1,145 1,270
Network, depreciation and amortization costs - - 174 187
Total revenue/cost of revenue 35,588 31,173 26,055 24,465

NOTE: To better reflect the manner in which these revenue streams are generated and assessed by management, beginning in the first quarter of 2014, Tucows reclassified its revenue streams into Domain Services and Network Access Services. Domain Services includes Wholesale OpenSRS (Domain Service and Value Added Services), Retail (Hover) and Portfolio. Network Access Services includes Ting.

“The strong momentum in our business, driven by the growing contribution of Ting, is evident in our bottom line as net earnings for the second quarter doubled year-over-year to $0.12 per share,” said Elliot Noss, President and Chief Executive Officer, Tucows Inc. “Ting saw another solid quarter of customer growth, adding more than 12,000 accounts and 18,000 devices to end the quarter at 73,000 accounts and 113,000 devices. Gross margin per account remains strong, customer acquisition costs remain low. Importantly, Ting’s contribution is really starting to show through in our overall results and was the primary reason for second quarter consolidated gross margin increasing by 5% to 27% from 22% a year earlier.”

Mr. Noss added, “We continue to see steady performance from our Domains Services business. Notably, Wholesale Domains gross margin for the second quarter was up 11% from a year ago on similar volumes due to our shifting sales mix to higher margin services. Retail delivered yet another quarter of year-over-year revenue growth in excess of 20%.”

Net revenue for the second quarter of 2014 increased 14% to $35.6 million from $31.2 million for the second quarter of 2013.

Net income for the second quarter of 2014 was $1.3 million, or $0.12 per share, compared with $0.6 million, or $0.06 per share, for the second quarter of 2013. Included in net income for the second quarter of 2014 was a write-off of $0.3 million related to indefinite life intangible assets, the result of the Company’s assessment, under its normal portfolio review process, that certain domains acquired in June 2006 not be renewed. In addition, net income for the second quarter of the prior year included the benefit of a $0.5 million Interactive Digital Media Tax Credit from the Ontario government.

Conference Call

Tucows management will host a conference call today, Tuesday, August 12, 2014 at 5:00 p.m. (ET) to discuss the Company’s second quarter 2014 results. Participants can access the conference call by dialing 1-888-231-8191 or 647-427-7450 or via the Internet at http://www.tucows.com/investors.

For those unable to participate in the conference call at the scheduled time, it will be archived for replay both by telephone and via the Internet beginning approximately one hour following completion of the call. To access the archived conference call by telephone, dial 416-849-0833 or 1-855-859-2056 and enter the pass code 74220945 followed by the pound key. The telephone replay will be available until Tuesday, August 19, 2014 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://www.tucows.com/investors.

About Tucows

Tucows is a provider of network access, domain name and other Internet services. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a global reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. YummyNames (http://yummynames.com) owns and operates premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

This release includes forward-looking statements as that term is defined in the U.S. Private Securities Litigation Reform Act of 1995 including statements regarding our expectations regarding our future financial results and, in particular, our expectations for Ting and its impact on our financial performance. These statements are based on management’s current expectations and are subject to a number of uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements, including the acceptance of Ting in the market. Information about other potential factors that could affect Tucows’ business, results of operations and financial condition is included in the Risk Factors sections of Tucows’ filings with the Securities and Exchange Commission. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. All forward-looking statements are based on information available to Tucows as of the date they are made. Tucows assumes no obligation to update any forward-looking statements, except as may be required by law.

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

Contact:

Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com

Tucows Second Quarter Investment Community Conference Call is Tuesday, August 12, 2014 AT 5:00 P.M. (ET)

TORONTO, July 29, 2014 – Tucows Inc. (TSX: TC, NASDAQ: TCX) plans to report its second quarter fiscal 2014 financial results via news release on Tuesday, August 12, 2014 at approximately 4:00 p.m. (ET). Tucows management will host a conference call the same day at 5:00 p.m. (ET) to discuss the results and the outlook for the company.

Participants can join the call by dialing 1-888-231-8191 or 647-427-7450. Participants can also access the conference call via the Internet at http://tucows.com/investors.

For those unable to participate in the conference call at the scheduled time, it will be archived for replay both by telephone and via the Internet beginning approximately one hour following completion of the call. To access the archived conference call by telephone, dial 416-849-0833 or 1-855-859-2056 and enter the pass code 74220945 followed by the pound key. The telephone replay will be available until Tuesday, August 19, 2014 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://tucows.com/investors.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. YummyNames (http://yummynames.com) owns and operates premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

Contact:

Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257

lchamberlain@tmxequicom.com

Tucows Reports Financial Results for the First Quarter of 2014

— Ting Continues Strong Momentum in Customer and Device Additions/Domains Business Delivers Another Quarter of Solid Performance —

TORONTO, May 14, 2014 – Tucows Inc. (NASDAQ:TCX, TSX:TC), a global provider of domain names and other Internet services, today reported its financial results for the first quarter ended March 31, 2014. All figures are in U.S. dollars.

Summary Financial Results
(In Thousands of US Dollars, Except Per Share Data)

3 Months Ended Mar. 31, 2014 (unaudited) 3 Months Ended Mar. 31, 2013 (unaudited)
Net revenue 34,402 29,985
Income before provision for income taxes and change in fair value of forward exchange contracts 1,280 431
Net income 477 77
Net earnings per common share¹ $0.04 $0.01
Net cash provided by operating activities (39)² 416

¹ Net earnings per common share reflects the 1-for-4 reverse split of common shares that became effective December 31, 2013.
² Net cash used in operating activities includes an excess tax benefit from share-based compensation expenses of $1.0 million in Q1 2014. Net cash provided by financing activities in Q1 2014 reflects the excess tax benefit as a corresponding in-flow.

Summary of Revenues and Cost of Revenues
(In Thousands of US Dollars)

Revenue Cost of Revenue
3 Months Ended Mar. 31, 2014 (unaudited) 3 Months Ended Mar. 31, 2013 (unaudited) 3 Months Ended Mar. 31, 2014 (unaudited) 3 Months Ended Mar. 31, 2013 (unaudited)
Domain Services
Wholesale
OpenSRS Domain Service 21,649 21,896 18,235 18,454
Value-Added Services 2,604 2,689 541 562
Total Wholesale 24,253 24,585 18,776 19,016
Retail 2,384 1,918 1,015 751
Portfolio 1,053 1,134 244 201
Total Domain Services 27,690 27,637 20,035 19,968
Network Access Services (Ting) 6,712 2,348 4,281 2,110
 
Network, other costs - - 1,144 1,254
Network, depreciation and amortization costs - - 183 173
Total revenue/cost of revenue 34,402 29,985 25,643 23,505

NOTE: To better reflect the manner in which these revenue streams are generated and assessed by management, beginning in the first quarter of 2014, Tucows has reclassified its revenue streams into Domain Services and Network Access Services. Domain Services includes Wholesale OpenSRS (Domain Service and Value Added Services), Retail (Hover) and Portfolio. Network Access Services includes Ting.

Our performance in the first quarter once again demonstrates the reliability and consistency of the business, alongside our ability to generate growth,” said Elliot Noss, President and Chief Executive Officer, Tucows Inc. “Ting delivered another record quarter, adding more than 13,000 accounts and 20,000 devices to end the quarter at 61,000 accounts and 94,000 devices, and subsequent to quarter end, we achieved another growth milestone, surpassing 100,000 devices. After little more than two years since launch, Ting is on track to match and exceed the size of our Wholesale domains business in terms of gross margin contribution later this year.”

“Our Domain Services business continues to perform well,” added Mr. Noss. “Our Wholesale channel and our Portfolio services business both had solid quarters, while our Retail channel, Hover, delivered yet another quarter of year-over-year growth in excess of 20%.”

Net revenue for the first quarter of 2014 increased 15% to $34.4 million from $30.0 million for the first quarter of 2013.

Net income for the first quarter of 2014 was $0.5 million, or $0.04 per share, compared with $0.08 million, or $0.01 per share, for the first quarter of 2013. Net income for the first quarter of 2014 included a loss on foreign exchange contracts of $0.6 million compared with a loss on foreign exchange contracts of $0.2 million in the first quarter of 2013. Net income for the first quarter of 2014 also included the incremental investment of approximately $1.2 million for the acquisition and support of Ting customers as compared to the first quarter of 2013.

Deferred revenue at the end of the first quarter of 2014 was $72.8 million, a marginal increase from $72.4 million at the end of the first quarter of 2013 and an increase of 4% from $70.0 million at the end of the fourth quarter of 2013.

Cash and cash equivalents at the end of the first quarter of 2014 were $13.5 million compared with $12.4 million at the end of the fourth quarter of 2013 and $4.3 million at the end of the first quarter of 2013. The increase in cash and cash equivalents of $1.1 million when compared to the fourth quarter of 2013 primarily resulted from the $1.0 million in incremental tax benefit related to share-based compensation and the $0.9 million in proceeds we received from the issuance of our common stock through the exercise of stock options during the first quarter of 2014. This was partially offset by the use of $0.6 million for principal repayments under the Company’s credit facility and investment of $0.1 million in equipment purchases.

Conference Call

Tucows management will host a conference call today, Wednesday, May 14, 2014 at 5:00 p.m. (ET) to discuss the Company’s first quarter 2014 results. Participants can access the conference call by dialing 1-888-231-8191 or 647-427-7450 or via the Internet at http://tucows.com/investors.

For those unable to participate in the conference call at the scheduled time, it will be archived for replay both by telephone and via the Internet beginning approximately one hour following completion of the call. To access the archived conference call by telephone, dial 416-849-0833 or 1-855-859-2056 and enter the pass code 30814878 followed by the pound key. The telephone replay will be available until Wednesday, May 21, 2014 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://tucows.com/investors.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. YummyNames (http://yummynames.com) owns and operates premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

This release includes forward-looking statements as that term is defined in the U.S. Private Securities Litigation Reform Act of 1995 including statements regarding our expectations regarding our future financial results and, in particular, our expectations for Ting and its impact on our financial performance. These statements are based on management’s current expectations and are subject to a number of uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements, including the acceptance of Ting in the market. Information about other potential factors that could affect Tucows’ business, results of operations and financial condition is included in the Risk Factors sections of Tucows’ filings with the Securities and Exchange Commission. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. All forward-looking statements are based on information available to Tucows as of the date they are made. Tucows assumes no obligation to update any forward-looking statements, except as may be required by law.

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

Contact:

Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com

Tucows First Quarter Investment Community Conference Call is Wednesday, May 14, 2014 AT 5:00 P.M. (ET)

TORONTO, May 1, 2014 – Tucows Inc. (TSX: TC, NASDAQ: TCX) plans to report its first quarter fiscal 2014 financial results via news release on Wednesday, May 14, 2014 at approximately 4:00 p.m. (ET). Tucows management will host a conference call the same day at 5:00 p.m. (ET) to discuss the results and the outlook for the company.

Participants can join the call by dialing 1-888-231-8191 or 647-427-7450. Participants can also access the conference call via the Internet at http://www.tucows.com/investors/.

For those unable to participate in the conference call at the scheduled time, it will be archived for replay both by telephone and via the Internet beginning approximately one hour following completion of the call. To access the archived conference call by telephone, dial 416-849-0833 or 1-855-859-2056 and enter the pass code 30814878 followed by the pound key. The telephone replay will be available until Wednesday, May 21, 2014 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://www.tucows.com/investors/.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. YummyNames (http://yummynames.com) owns and operates premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

Contact:

Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com

Tucows Announces $20 Million Stock Buyback Program

TORONTO, March 4, 2014 – Tucows Inc. (NASDAQ:TCX, TSX:TC) today announced that its Board of Directors has approved a stock buyback program to repurchase from time to time up to $20 million of its common stock in the open market. Purchases will be made exclusively through the facilities of the NASDAQ Capital Market. The stock buyback program will commence immediately and will terminate on March 3, 2015.

All shares purchased by Tucows under the stock buyback program will be retired and returned to treasury.

The timing and exact number of common shares purchased will be at Tucows’ discretion and will depend on available cash and market conditions. Tucows may suspend or discontinue the repurchases at any time, including in the event Tucows would be deemed to be making an acquisition of its own shares under Rule 13e-3 of the Securities Exchange Act of 1934, as amended. Subject to applicable securities laws and stock exchange rules, all purchases will occur through the open market and may be in large block purchases. Tucows does not intend to purchase its shares from its management team or other insiders.

The purchase will be funded from available working capital and existing credit facilities. As of March 4, 2014, Tucows had 11,068,759 common shares outstanding.

During Tucows’ previous stock buyback program, which ended on February 28, 2014, Tucows repurchased and retired 35,769 common shares taking into account the one-for-four reverse stock split effective as of December 30, 2013.

NO STOCK EXCHANGE, SECURITIES COMMISSION OR OTHER REGULATORY AUTHORITY HAS APPROVED OR DISAPPROVED THE INFORMATION CONTAINED HEREIN.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. YummyNames (http://yummynames.com) owns and operates premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

This news release contains, in addition to historical information, forward-looking statements related to the proposed stock buyback program, including the timing and, total number of shares to be purchased under the proposed stock buyback program. Such statements are based on management’s current expectations and are subject to a number of uncertainties and risks, which could cause actual results to differ materially from those described in the forward-looking statements. Information about potential factors that could affect Tucows’ business, results of operations and financial condition is included in the Risk Factors sections of Tucows’ filings with the Securities and Exchange Commission. All forward-looking statements included in this document are based on information available to Tucows as of the date of this document, and except to the extent Tucows may be required to update such information under any applicable securities laws, Tucows assumes no obligation to update such forward-looking statements.

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

Contact:

Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com

Tucows Reports Financial Results for the Fourth Quarter of 2013

– Ting Continues Strong Momentum in Customer Growth –

TORONTO, February 12, 2014 – Tucows Inc. (NASDAQ:TCX, TSX:TC), a global provider of domain names and other Internet services, today reported its financial results for the fourth quarter ended December 31, 2013. All figures are in U.S. dollars.

Summary Financial Results
(In Thousands of US Dollars, Except Per Share Data)

3 Months Ended Dec. 31, 2013 (unaudited) 3 Months Ended Dec. 31, 2012 (unaudited) 12 Months Ended Dec. 31, 2013 (unaudited) 12 Months Ended Dec. 31, 2012 (unaudited)
Net revenue 33,139 29,791 129,935 114,727
Income before provision for income taxes and change in fair value of forward exchange contracts 1,532 789 6,476 5,745
Net income 923 429 4,180 4,424
Net earnings per common share¹ $0.08 $0.04 $0.40 $0.39
Net cash provided by operating activities 1,651 2,022 8,703 6,343

¹ Net earnings per common share reflects the 1-for-4 reverse split of common shares that became effective December 31, 2013. As a result of the reverse split, 10,900,842 shares and 11,064,045 shares were used in computing net earnings per common share for the 3 months ended December 31, 2013 and 2012, respectively, and 10,468,250 shares and 11,458,216 shares were used in computing net earnings per common share for the 12 months ended December 31, 2013 and 2012, respectively.

Summary of Revenues and Cost of Revenues
(In Thousands of US Dollars)

Revenue Cost of Revenue
3 Months Ended Dec. 31, 2013 (unaudited) 3 Months Ended Dec. 31, 2012 (unaudited) 3 Months Ended Dec. 31, 2013 (unaudited) 3 Months Ended Dec. 31, 2012 (unaudited)
Wholesale
Domain Services 21,595 22,391 17,949 18,893
Value-Added Services 2,417 2,705 548 456
Total Wholesale 24,012 25,096 18,497 19,349
 
Retail 8,027 3,628 4,966 2,454
Portfolio ¹ 1,100 1,067 143 201
 
Network, other costs - - 1,120 1,296
Network, depreciation and amortization costs - - 175 187
Total revenue/cost of revenue 33,139 29,791 24,901 23,487

“Our financial results for the fourth quarter once again underscore not only the consistency and reliability in our business but also our continued ability to generate sustainable growth,” said Elliot Noss, President and Chief Executive Officer, Tucows Inc. “In the domains component of our business, we continue to see solid performance from both our Wholesale and Portfolio services, while our retail channel, Hover, delivered another quarter of 20%-plus year-over-year top-line growth.”

“For the seventh straight quarter, Ting set new records for net adds, adding more than 12,000 accounts and 18,000 devices. We ended the year with over 48,000 accounts and 74,000 devices and, in January, surpassed the 50,000 accounts and 80,000 devices milestone. Ting continues to be on track to positively contribute to EBITDA for 2014, although our priority will continue to be aggressive investment in customer acquisition and customer satisfaction to ultimately drive even greater long-term value for shareholders.”

Net revenue for the fourth quarter of 2013 increased 11% to $33.1 million from $29.8 million for the fourth quarter of 2012.
Net income for the fourth quarter of 2013 was $0.9 million, or $0.08 per share (based on the number of shares post-reverse split), compared with $0.4 million, or $0.04 per share (based on the number of shares post-reverse split), for the fourth quarter of 2012. Net income for the fourth quarter of 2013 included a loss on foreign exchange contracts of $0.3 million compared with a loss on foreign exchange contracts of $0.1 million in the fourth quarter of 2012. Net income for the fourth quarter of 2013 also included the incremental investment of approximately $1.3 million for the acquisition and support of Ting customers as compared to the fourth quarter of 2012.

Deferred revenue at the end of the fourth quarter of 2013 was $70.0 million, a decrease of 1% from $71.0 million at the end of the fourth quarter of 2012 and a decrease of 3% from $72.0 million at the end of the third quarter of 2013.

Cash and cash equivalents at the end of the fourth quarter of 2013 were $12.4 million compared with $11.5 million at the end of the third quarter of 2013 and $6.4 million at the end of the fourth quarter of 2012. The increase in cash and cash equivalents of $0.9 million when compared to the third quarter of 2013 resulted from the generation of $1.7 million in cash flow from operations, which was partially offset by the use of $0.6 million for principal repayments under the Company’s credit facility and investment of $0.2 million in equipment purchases.

Conference Call

Tucows management will host a conference call today, Wednesday, February 12, 2014 at 5:00 p.m. (ET) to discuss the Company’s fourth quarter 2013 results. Participants can access the conference call via the Internet at http://tucows.com/investors.

For those unable to participate in the conference call at the scheduled time, it will be archived for replay both by telephone and via the Internet beginning approximately one hour following completion of the call. To access the archived conference call by telephone, dial 416-849-0833 or 1-855-859-2056 and enter the pass code 46588159 followed by the pound key. The telephone replay will be available until Wednesday, February 19, 2014 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://tucows.com/investors.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. YummyNames (http://yummynames.com) owns and operates premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

This release includes forward-looking statements as that term is defined in the U.S. Private Securities Litigation Reform Act of 1995 including statements regarding our expectations regarding our future financial results and, in particular, our expectations for Ting and its impact on our financial performance. These statements are based on management’s current expectations and are subject to a number of uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements, including the acceptance of Ting in the market. Information about other potential factors that could affect Tucows’ business, results of operations and financial condition is included in the Risk Factors sections of Tucows’ filings with the Securities and Exchange Commission. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty. All forward-looking statements are based on information available to Tucows as of the date they are made. Tucows assumes no obligation to update any forward-looking statements, except as may be required by law.

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

Contact:

Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com

Ting slashes data prices

TORONTO, Feb. 3, 2014 – On the two year anniversary of its launch, shockingly likeable mobile phone service Ting, a division of Tucows Inc. (NASDAQ: TCX; TSX: TC), surprised its customers with a big drop in data pricing.

The new rates are on display at ting.com/rates and the changes are detailed at ting.com/blog.

Current customers do not need to move to a new plan. New customers do not need to come from any particular provider. There is no requirement to buy a new device or make any particular commitment. Ting is simply dropping their usage-based pricing for current and incoming customers alike.

The deepest cut was made to the unit pricing on the heaviest data usage. That went from 2.25¢ per megabyte to just 1.5¢, a significant benefit to small businesses, families and data-hungry individuals.

“After two years of fantastic growth, we are in a position to provide even greater cost savings to our customers,” explained Elliot Noss, CEO of Tucows. “We are thrilled to be able to do so. People love saving money and we love making customers happy.”

Ting has now surpassed 50,000 accounts and 80,000 devices on the service.

Ting customers will begin enjoying the new rates in their next billing period that begins after today. Others are strongly encouraged to calculate their potential savings at ting.com/calculator.

About Ting

Ting has no contracts, no overage penalties and no hidden fees. Minutes, megabytes and messages are each billed separately and customers only pay for the usage levels they actually hit. Businesses and families can have unlimited devices on one account and share usage for even greater savings. Active devices on an account cost just $6 per month. Ting offers a clear, usable website and smart, accessible people that are empowered to solve problems. Ting’s wireless network services are provided on the Nationwide Sprint Network.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. YummyNames (http://yummynames.com) owns and operates premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

For further information:

Jesse Simms
416-535-0123 x1209
press@ting.com
https://ting.com

Tucows Fourth Quarter Investment Community Conference Call is Wednesday, February 12, 2014 AT 5:00 P.M. (ET)

TORONTO, January 29, 2014 – Tucows Inc. (TSX: TC, NASDAQ: TCX) plans to report its fourth quarter fiscal 2013 financial results via news release on Wednesday, February 12, 2014 at approximately 4:00 p.m. (ET). Tucows management will host a conference call the same day at 5:00 p.m. (ET) to discuss the results and the outlook for the company.

Participants can access the conference call via the Internet at http://www.tucows.com/investors/.

For those unable to participate in the conference call at the scheduled time, it will be archived for replay both by telephone and via the Internet beginning approximately one hour following completion of the call. To access the archived conference call by telephone, dial 416-849-0833 or 1-855-859-2056 and enter the pass code 46588159 followed by the pound key. The telephone replay will be available until Wednesday, February 19, 2014 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://www.tucows.com/investors/.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over fourteen million domain names and millions of value-added services through a reseller network of over 13,000 web hosts and ISPs. Hover (http://hover.com) is the easiest way for individuals and small businesses to manage their domain names and email addresses. Ting (https://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to US mobile phone users. YummyNames (http://yummynames.com) owns and operates premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

TUCOWS is a registered trademark of Tucows Inc. or its subsidiaries. All other trademarks and service marks are the properties of their respective owners.

Contact:
Lawrence Chamberlain
TMX Equicom
(416) 815-0700 ext. 257
lchamberlain@tmxequicom.com