Author Archives: tucows

Tucows Reports Continuing Strong Financial Results for Fourth Quarter of 2012

- Company Achieves Eleventh Consecutive Quarter of Record Revenue and Generates Strong Cash Flow From Operations -

TORONTO, February 13, 2013 – Tucows Inc. (NYSE AMEX: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, 2012. All figures are in U.S. dollars.

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






3 Months

Ended

Dec 31, 2012

(unaudited)
3 Months

Ended

Dec 31, 2011

(unaudited)
12 Months

Ended

Dec 31, 2012

(unaudited)
12 Months

Ended

Dec 31, 2011

(unaudited)
Net revenue 29,791 26,370 114,727 97,065
Income before provision for income taxes and change

in fair value of forward exchange contracts
789 1,745 5,745 3,986
Net income for the period 474 6,055 4,468 6,170
Net earnings per common share 0.01 0.11 0.10 0.12
Net cash provided by operating activities 2,022 2,683 6,343 5,885

Summary of Revenues and Cost of Revenues

(In Thousands of US Dollars)

Revenue Cost of Revenue





3 Months

Ended

Dec 31, 2012

(unaudited)
3 Months

Ended

Dec 31, 2011

(unaudited)
3 Months

Ended

Dec 31, 2012

(unaudited)
3 Months

Ended

Dec 31, 2011

(unaudited)
Wholesale
Domain Service 22,391 20,742 18,893 17,347
Value-Added Services 2,705 2,186 456 435
Total Wholesale 25,096 22,928 19,349 17,782
Retail 3,628 1,432 2,454 549
Portfolio 1,067 2,010 201 179
Network, other costs - 1,296 1,146
Network, depreciation and amortization costs - 187 177
Total revenue/cost of revenue 29,791 26,370 23,487 19,833

NOTE: Beginning in the first quarter of 2012, Tucows reclassified its revenue streams into three distinct service offerings: Wholesale, Retail and Portfolio¹. The realignment is intended to better reflect the manner in which these revenue streams are generated and assessed by management.

“Our performance in the fourth quarter and for the year underscores the consistency and reliability in our business, as well as our ability to deliver growth,” said Elliot Noss, President and Chief Executive Officer, Tucows Inc. “All facets of our operations continue to perform well, although our results for the quarter were dampened by the timing of Portfolio revenues and vendor marketing programs. Moreover, our ability to generate cash enabled us to continue to deliver on our stated objective to return capital to shareholders, repurchasing an additional 14.1 million shares, or 26.3% of shares outstanding, since the beginning of 2012. In addition, our launch of Ting was a great example of our ability to introduce new services that have the opportunity generate meaningful growth with little capital expenditure or impact on ongoing costs.”

“As we look ahead to 2013, our core businesses will continue to grow and Ting is on track to contribute to EBITDA in the coming years. Despite a modest upfront investment and very little incremental ongoing expenses, we already consider Ting to be a success. We continue to experience efficient customer acquisition costs and attractive gross margins. While we have kept our expectations modest, we’ve been pleasantly surprised by the reception and momentum Ting has experienced in the market.”

“We continue to benefit from the efficiency in our business and remain well positioned to continue to deliver consistent, reliable performance, generate growth and build value for our shareholders.”

Net revenue for the fourth quarter of 2012 increased 13% to a record $29.8 million from $26.4 million for the fourth quarter of 2011.

Net income and comprehensive income for the fourth quarter of 2012 was $0.5 million, or $0.01 per share, compared with $6.1 million, or $0.11 per share, for the fourth quarter of 2011, which included the recovery of $3.5 million in income taxes and the benefit of a gain on foreign exchange contracts of $0.8 million compared with a loss on foreign exchange contracts of $0.1 million in the fourth quarter of 2012. In addition, net income for the fourth quarter of 2012 was impacted by the timing of both vendor marketing programs and domain sales from inventory, which dampened the contribution from the Portfolio component of business.

Deferred revenue at the end of the fourth quarter of 2012 was $71.0 million, an increase of 3% from $69.2 million at the end of the fourth quarter of 2011 and a decrease of 3% from $73.3 million at the end of the third quarter of 2012.

Cash and cash equivalents at the end of the fourth quarter of 2012 were $6.4 million compared with $5.0 million at the end of the third quarter of 2012 and $6.4 million from the end of the fourth quarter of 2011. During the fourth quarter of 2012, the Company generated cash flow from operations of $2.0 million compared with $2.7 million for the same quarter of 2011. During the quarter, the Company used $0.3 million for principal repayments under its credit facility and invested $0.3 million in equipment purchases.

¹Service Offerings: Wholesale, primarily branded as OpenSRS, is composed of revenue generated by the OpenSRS Domain Service and Other Value-Added Services, including hosted email, SSL and other trust certificates, bulk sale of domain names and advertising from the OpenSRS Domain Expiry Stream, web publishing tools, mobile phone services, third-party marketing funds, and billing software for ISPs. Retail is primarily composed of services to individuals and small businesses, including Hover, which generates revenue from the sale of domain name registration and email, and Ting, which generates revenue from mobile phone services. Portfolio includes revenue generated by the resale of names from the domain name portfolio and advertising revenue from the Company’s domain name portfolio and two large advertising-supported websites.

As previously announced, subsequent to the end of the fourth quarter the Company completed the repurchase of 4.1 million of its shares at a purchase price of $1.50 per share for a total of $6.2 million under its modified “Dutch auction” tender announced on November 13, 2012. Since initiating its first share buyback program in February 2007, the Company has repurchased a total of 37.3 million shares through its buyback programs, representing 49% of the Company’s total shares outstanding at the end of December 2006.

Conference Call

Tucows management will host a conference call today, Wednesday, February 13, 2013 at 5:00 p.m. (ET) to discuss the Company’s fourth quarter 2012 results. Participants can access the conference call via the Internet at http://tucowsinc.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 95427084 followed by the pound key. The telephone replay will be available until Wednesday, February 20, 2013 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://tucowsinc.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.com (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.

For further information:
Lawrence Chamberlain
TMX Equicom for Tucows Inc.
(416) 815-0700 ext. 257
lchamberlain@equicomgroup.com

Tucows Fourth Quarter Investment Community Conference Call is Wednesday, February 13, 2013 AT 5:00 P.M. (ET)

TORONTO, February 5, 2013 – Tucows Inc. (TSX: TC, AMEX: TCX) plans to report its fourth quarter fiscal 2012 financial results via news release on Wednesday, February 13, 2013 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://tucowsinc.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 95427084 followed by the pound key. The telephone replay will be available until Wednesday, February 20, 2013 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://tucowsinc.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.com (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@equicomgroup.com

Tucows Inc. Announces Final Results of Dutch Tender Offer

TORONTO, Jan. 10, 2013 – Tucows Inc. (NYSE AMEX:TCX), (TSX:TC), a global provider of domain names, email and other Internet services, announced today the final results of its modified “Dutch auction” tender offer, which expired at 5:00 p.m., New York City time, on January 4, 2013. Tucows will purchase 4,114,121 shares of its Common Stock at a purchase price of $1.50 per share, for a total cost of $6,171,182, excluding fees and expenses related to the tender offer. Payment for shares accepted for purchase will be funded partly in cash and from two demand loan facilities Tucows currently has with the Bank of Montreal. The 4,114,121 shares accepted for purchase in the tender offer represent approximately 9.3% of Tucows’ currently issued and outstanding Common Stock.

Payment for shares accepted for purchase, and the return of all other shares tendered but not accepted for payment, will be made promptly by Registrar and Transfer Company, the depositary for the tender offer.

All shares purchased by Tucows in the tender offer will be cancelled. As a result of the completion of the tender offer and immediately following payment of the tendered shares, Tucows will have approximately 40,215,688 shares issued and outstanding.

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.com (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 tender offer, including the timing, total number of shares to be purchased under the proposed tender offer and the process for the proposed tender offer. 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.

Tucows Inc. Announces Preliminary Results of Dutch Tender Offer

TORONTO, Jan. 7, 2013 – Tucows Inc. (NYSE AMEX:TCX), (TSX:TC), a global provider of domain names, email and other Internet services, announced today the preliminary results of its modified “Dutch auction” tender offer, which expired at 5:00 p.m., New York City time, on January 4, 2013. Tucows expects to purchase up to 4,114,437 shares of its Common Stock at a purchase price of $1.50 per share, for a total of $6,173,155. Tucows expects to fund the share purchases in the tender offer through two of its demand loan facilities with the Bank of Montreal.

The price per share is preliminary and subject to verification by Registrar and Transfer Company, the depositary for the tender offer. The actual price per share will be announced promptly following completion of the verification process. After the determination of the actual price per share, the depositary will issue payment for the shares accepted under the tender offer and return all shares not accepted.

Tucows commenced the tender offer on November 29, 2012 when it offered to purchase up to 6,500,000 shares of its Common Stock at a price within the range of $1.35 to $1.50 per share, net to the seller in cash, without interest.

All shares purchased by Tucows in the tender offer will be cancelled. Based on the preliminary results, as a result of the completion of the tender offer Tucows expects to have approximately 40,207,000 shares issued and outstanding as of the time immediately following payment for the tendered shares.

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.com (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 tender offer, including the timing, total number of shares to be purchased under the proposed tender offer and the process for the proposed tender offer. 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.

Verisign and the US Department of Commerce – Our Take

This morning, it was announced that Verisign and the US Department of Commerce had come to an agreement that allows Verisign to continue to operate the .com domain for another six years.

What was missing from that contract was the hot topic of conversation this morning – Verisign no longer has the right to four price increases of 7% over the term of the agreement. In other words, .com domains will likely remain prices at $7.85 until November, 2018 when the new agreement comes up for renewal again.

Verisign does have the right to increase prices if they can prove “extraordinary” expense resulting from and attack or threat of attack on the security or stability of the DNS. Any price increase would require Verisign to prove that the increase served the public interest before the Department of Commerce would approve.

Verisign could also seek a price increase if it could prove that market conditions no longer warranted the new restrictions that are put in place with this agreement. Again, that would require Department of Commerce approval.

Tucows’ Take

Elliot Noss, Tucows President and CEO, says that the new agreement between the Department of Commerce and Verisign “rights a wrong in the last contract.”

Tucows has been very outspoken about .com pricing, and we were clear at the time of the last renewal that we did not believe Verisign should have been given the right to price increases.

It’s good news for registrants and the Internet as a whole.

Elliot also suggests that the new contract could even turn out to be good for Verisign going forward. The previous contract provided them with an opportunity to raise prices. As a public company with a fiduciary responsibility to maximize shareholder value, Elliot notes that investors, who often think in the short term, would put immense pressure on Verisign to exercise those price increases.

He goes on to suggest that having the option to raise prices four times in the next six years may have turned into a competitive disadvantage for Verisign given the new gTLDs coming online within the next 12 to 18 months.

By not having price increases available to them as a way to grow revenues, Verisign is will be driven to more efficiency and innovation. Certainly, the conference call Verisign hosted this morning featured a lot of talk of innovation, patents, and the addition of new value-added and revenue generating services like Distributed Denial of Service attack protection.

One thing is for sure, and perhaps this is the most important part of the contract extension announcement: Verisign continuing to be the operator of the .com extension for the next six years is great news for everyone. Verisign has proven itself to be an exceptionally good operator of the root. From a technology and service perspective, .com is clearly in good hands.

You can read the US Department of Commerce statement here.

Tucows Announces Commencement of Dutch Auction Tender Offer to Repurchase up to 6.5 Million Common Shares

TORONTO, Nov. 29, 2012 – Tucows Inc. (NYSE AMEX:TCX, TSX:TC) a global provider of domain names, email and other Internet services, announced today that it is commencing its “modified Dutch auction” (the “Tender Offer”) to repurchase up to 6,500,000 shares of its common stock, representing approximately 14.7% of Tucows’ outstanding shares, as previously announced on November 13, 2012 and November 21, 2012. The closing price of Tucows common stock on the NYSE Amex on November 28, 2012 was $1.41.

Under the Tender Offer, shareholders will have the opportunity to tender some or all of their shares at a price within the range of $1.35 to $1.50 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 6,500,000 shares, or such lesser number of shares that are properly tendered. If shareholders of more than 6,500,000 shares properly tender their shares at or below the determined price per share, Tucows will purchase shares tendered by such shareholders, at the determined price per share, on a pro rata basis. Additionally, if more than 6,500,000 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, or approximately 885,000 shares, without amending or extending the tender offer. Tucows’ management team and Lacuna, LLC, the Company’s largest shareholder, have agreed not to tender any 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 Friday, January 4, 2013.

Tucows expects to fund the share purchases in the Tender Offer through new borrowings under an amended and extended version of its existing credit facilities. The Tender Offer will not be conditioned upon any minimum number of shares being tendered, but will be subject to the completion of the new borrowings and related loan documentation and other customary conditions that are described in the Tender Offer documents. The Tender Offer documents, which are being distributed to shareholders, also contain tendering instructions and a complete explanation of the Tender Offer’s terms and conditions. All shares purchased by Tucows in the tender offer will be cancelled.

The information agent for the Tender Offer will be Registrar and Transfer Company. 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.tucowsinc.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 Registrar and Transfer Company, the information agent for the tender offer, by directing such request to: Registrar and Transfer Company, 10 Commerce Drive Cranford, NJ 07016, telephone (800) 866-1340.

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 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.com (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 tender offer, including the timing, total number of shares to be purchased under the proposed tender offer and the process for the proposed tender offer. 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.

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

Tucows To Commence its Previously Announced Dutch Auction Tender on November 29, 2012

TORONTO, November 21, 2012 — Tucows Inc. (NYSE AMEX:TCX, TSX:TC) a global provider of domain names, email and other Internet services, today announced that, further to its news release of November 13, 2012, the commencement of its “modified Dutch Auction” tender offer (the “Tender Offer”) has been postponed to November 29, 2012 due to challenges coordinating the Tender Offer around the Thanksgiving holidays. The Tender Offer had previously been expected to commence the week of November 19, 2012.

Tender Offer Statement

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 materials that the Company will send 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 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.com (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 tender offer, including the timing, total number of shares to be purchased under the proposed tender offer and the process for the proposed tender offer. 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@equicomgroup.com

Tucows Announces Plan to Commence Dutch Auction Tender Offer

TORONTO, November 13, 2012 — Tucows Inc. (NYSE AMEX:TCX, TSX:TC) a global provider of domain names, email and other Internet services, today announced its plan to launch a “modified Dutch auction” tender offer (the “Tender Offer”) to repurchase up to 6,500,000 shares of its common stock, representing approximately 14.7% of Tucows’ outstanding shares, at a price per share not less than $1.35 and not greater than $1.50. This price range represents a premium of 9.6% to 21.8% to the year-to-date volume-weighted average price of $1.23 per share for the Company’s common stock. The tender offer is expected to commence the week of November 19, 2012 and will remain open for at least 20 business days.

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. Based on the number of shares tendered and the prices specified by the tendering shareholders, the Company will determine the lowest price per share within the range that will enable the Company to purchase 6,500,000 of its shares (or a lower amount if the offer is not fully subscribed) that are properly tendered. If shareholders of more than 6,500,000 shares properly tender their shares at or below the determined price per share, Tucows will purchase shares tendered by such shareholders, at the determined price per share, on a pro rata basis. Additionally, if more than 6,500,000 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, or approximately 885,000 shares, without amending or extending the tender offer. 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 actually purchase shares at a price that is above a shareholder’s indicated price under the terms of the Tender Offer. Tucows management team and Lacuna, LLC, the Company’s largest shareholder, have agreed not to tender any shares in the tender offer.

Tucows expects to fund the share purchases in the Tender Offer through new borrowings under an amended and extended version of its existing credit facilities. The Tender Offer will not be conditioned upon any minimum number of shares being tendered, but will be subject to the completion of the new borrowings and other customary conditions that will be described in the Tender Offer documents. The 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.

“We remain confident in the ability of our business to deliver consistency, reliability and growth and believe that the repurchase of our shares at such price levels is an attractive investment and a prudent use of cash and consistent with our strategy to return capital to shareholders,” said Elliot Noss, President and Chief Executive Officer of Tucows Inc.

The information agent for the Tender Offer will be Registrar and Transfer Company. 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.tucowsinc.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 Registrar and Transfer Company, the information agent for the tender offer, by directing such request to: Registrar and Transfer Company, 10 Commerce Drive Cranford, NJ 07016, telephone (800) 866-1340.

Tender Offer Statement

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 materials that the Company will send 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 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.com (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 tender offer, including the timing, total number of shares to be purchased under the proposed tender offer and the process for the proposed tender offer. 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@equicomgroup.com

Tucows Reports Continuing Strong Financial Results for Third Quarter of 2012

- Company Achieves Tenth Consecutive Quarter of Record Revenue and Generates Strong Cash Flow From Operations -

TORONTO, November 13, 2012 – Tucows Inc. (NYSE AMEX:TCX, TSX:TC), a global provider of domain names and other Internet services, today reported its financial results for the third quarter ended September 30, 2012. All figures are in U.S. dollars.

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






3 Months

Ended

 Sept 30, 2012 

(unaudited)
3 Months

Ended

 Sept 30, 2011 

(unaudited)
9 Months

Ended

 Sept 30, 2012 

(unaudited)
9 Months

Ended

 Sept 30, 2011 

(unaudited)
Net revenue 29,246 25,094 84,936 70,695
Income before provision for income taxes and change  

in fair value of forward exchange contracts 
1,597 1,090 4,956 2,240
Net income for the period 1,635 (1,178) 3,995 115
Net earnings per common share 0.04 (0.02) 0.09 -
Net cash provided by operating activities 2,237 1,615 4,321 3,202

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

  Revenue Cost of Revenue





3 Months

Ended

 Sept 30, 2012 

(unaudited)
3 Months

Ended

 Sept 30, 2011 

(unaudited)
3 Months

Ended

 Sept 30, 2012 

(unaudited)
3 Months

Ended

 Sept 30, 2011 

(unaudited)
Wholesale        
  Domain Service 22,268 19,698 18,645 16,470
  Value-Added Services   2,603 2,609 532 515
Total Wholesale 24,871 22,307 19,177 16,985
Retail 2,965 1,358 2,064 495
Portfolio 1,410 1,429 205 179
Network, other costs   1,159 1,193
Network, depreciation and amortization costs     193 183
Total revenue/cost of revenue 29,246 25,094 22,798 19,035

NOTE: Beginning in the first quarter of 2012, Tucows reclassified its revenue streams into three distinct service offerings: Wholesale, Retail and Portfolio¹. The realignment is intended to better reflect the manner in which these revenue streams are generated and assessed by management.

“Our third quarter results once again reflect the consistency and reliability of our business, the leverage inherent in our model, and our ability to deliver growth,” said Elliot Noss, President and Chief Executive Officer, Tucows Inc. “Revenue for the quarter grew 17% year-over-year to another record and we generated $2.2 million in cash flow from operations, a portion of which we used to repurchase an additional 1.3 million shares under our normal course issuer bid. In 2012, we have bought back 9.9 million shares and since we began buying back stock, we have now repurchased a total of 33.2 million shares, or almost 45% of outstanding shares. Our core businesses continue to perform well, allowing us to efficiently invest in new opportunities such as Ting. As a result, we remain well positioned to continue to deliver growth while returning capital to shareholders over the long term.”

Net revenue for the third quarter of 2012 increased 17% to a record $29.3 million from $25.1 million for the third quarter of 2011.

Net income for the third quarter of 2012 was $1.6 million, or $0.04 per share, compared with a net loss for the third quarter of 2011 of $1.2 million, or $0.02 per share.

Deferred revenue at the end of the third quarter of 2012 was $73.3 million, an increase of 6% from $68.9 million at the end of the third quarter of 2011 and a decrease of 2% from $74.5 million at the end of the second quarter of 2012.

Cash and cash equivalents at the end of the third quarter of 2012 were $5.0 million compared with $4.5 million at the end of the second quarter of 2012 and $4.7 million from the end of the third quarter of 2011. During the third quarter of 2012, the Company generated cash flow from operations of $2.2 million compared with $1.6 million for the same quarter of 2011. During the quarter, the Company used $1.6 million for the repurchase of stock under its ongoing normal course issuer bid and invested $0.2 million in equipment purchases.

1Service Offerings: Wholesale, primarily branded as OpenSRS, is composed of revenue generated by the OpenSRS Domain Service and Other Value-Added Services, including hosted email, SSL and other trust certificates, bulk sale of domain names and advertising from the OpenSRS Domain Expiry Stream, web publishing tools, mobile phone services, third-party marketing funds, and billing software for ISPs. Retail is primarily composed of services to individuals and small businesses, including Hover, which generates revenue from the sale of domain name registration and email, and Ting, which generates revenue from mobile phone services. Portfolio includes revenue generated by the resale of names from the domain name portfolio and advertising revenue from the Company’s domain name portfolio and two large advertising-supported websites.

Conference Call

Tucows management will host a conference call today, Tuesday, November 13, 2012 at 5:00 p.m. (ET) to discuss the Company’s third quarter 2012 results. Participants can access the conference call via the Internet at http://tucowsinc.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 54761695 followed by the pound key. The telephone replay will be available until Tuesday, November 20, 2012 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://tucowsinc.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.com (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. In particular, this release includes forward looking statements regarding our expectations as to our financial results and the impact of our consistent growth and leverage. 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. 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 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, OpenSRS, Hover, Ting, and YummyNames are registered trademarks of Tucows Inc. or its subsidiaries.

For further information:
Lawrence Chamberlain
TMX Equicom for Tucows Inc.
(416) 815-0700 ext. 257
lchamberlain@equicomgroup.com

Tucows Third Quarter Investment Community Conference Call is Tuesday, November 13, 2012 AT 5:00 P.M. (ET)

TORONTO, October 31, 2012– Tucows Inc. (TSX: TC, AMEX: TCX) plans to report its third quarter fiscal 2012 financial results via news release on Tuesday, November 13, 2012 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://tucowsinc.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 54761695 followed by the pound key. The telephone replay will be available until Tuesday, November 20, 2012 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://tucowsinc.com/investors.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over 11 million domain names and millions of email boxes through a reseller network of over 12,000 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 (http://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to U.S. mobile phone users. YummyNames (http://yummynames.com) owns premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

Tucows, OpenSRS, Hover, Ting, and YummyNames are registered trademark of Tucows Inc. or its subsidiaries.

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

Tucows Star Wars Fan Rescues DarthVader.com for Lucasfilm

IN RETURN, LUCASFILM PROVIDES HOLIDAY TOYS TO NEEDY TORONTO NEIGHBORHOOD CHILDREN

TORONTO, Oct. 8, 2012 – Thirty-five years after the release of the first Star Wars film, the domain name DarthVader.com has found its rightful home with George Lucas’ Lucasfilm Ltd. That is thanks to one gallant, sci-fi geek at Tucows Inc. (NYSE AMEX:TCX) (TSX:TC).

“Star Wars had a profound impact on me as a child,” said Tucows Domain Portfolio Vice President Bill Sweetman, wearing a long brown robe and cheerfully tapping the Darth Vader bobblehead on his desk. “The moment I spotted DarthVader.com in a list of deleting domain names, I knew Tucows had to find a way to get this iconic domain name into the right hands. I knew I was its only hope,” Sweetman added.

Tucows quickly donated the DarthVader.com domain name to Lucasfilm. In exchange, Lucasfilm agreed to make a donation to the Tucows Elves Project. This annual charitable effort is organized by Tucows staff and provides toys to the children of lower-income families in the Parkdale neighborhood adjacent to the Tucows Toronto office.

“We’re thrilled to be the new owners of DarthVader.com,” said Miles Perkins, Spokesperson for Lucasfilm, “and we are even more excited about supporting such a worthy cause. We regret having to refuse Bill’s request that we deliver the children’s toys in the Millennium Falcon. It was heartbreaking having to explain to him that it’s not real.”

The domain name experts at Tucows regularly rescue and donate valuable domain names to individuals and organizations the company admires. Previous domain name rescues and donations include FreddieMercury.com, PhilCollins.com, and KidneyCar.com.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over 11 million domain names and millions of email boxes through a reseller network of over 12,000 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 (http://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to U.S. mobile phone users. YummyNames (http://yummynames.com) owns premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

About Lucasfilm

Lucasfilm, the Lucasfilm logo, STAR WARS® and related properties are trademarks and/or copyrights, in the United States and other countries, of Lucasfilm Ltd. and/or its affiliates. TM & © Lucasfilm Ltd. All rights reserved. All other trademarks and trade names are properties of their respective owners.

For further information:
Michael Goldstein, Tucows
mgoldstein@tucows.com
416-538-5451

Ting Announces New Features For Small Business Mobile Customers

Highlights Clarity, Control and Significant Monthly Savings

TORONTO, Sept. 25, 2012 – Ting, a mobile phone service from Tucows Inc. (NYSE AMEX:TCX, TSX:TC), today announced a set of new product features aimed at small business customers. The service promises small businesses greater control over their monthly mobile phone bills and tighter management of their mobile phone accounts.

The Ting web page for businesses (ting.com/business) previews some new tools in the control panel, such as user-level alerts, which will email or text an account administrator or even disable a device when a particular user hits specified usage levels. It offers a downloadable spreadsheet to help businesses calculate their potential savings. It also outlines aspects of the Ting pricing plan that are most crucial to business customers, including:

  • Unlimited devices per account with pooled usage
  • Pay-per-use pricing, with no limits or overage penalties
  • Independent plans for voice, text and data

“Small businesses probably have more to gain than anyone from a mobile plan that makes sense,” explained Tucows CEO Elliot Noss. “These people are forced to juggle multiple accounts, they are penalized for their heavy usage and, too often, they lack clear visibility into their usage and their bill.”

“Ting is dedicated to bringing clarity and control to mobile phone service,” continued Noss. “For small businesses, that means time and money that can be spent on something else.”

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over 11 million domain names and millions of email boxes through a reseller network of over 12,000 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 (http://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to U.S. mobile phone users. YummyNames (http://yummynames.com) owns 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:

Media Contacts:
Emily Harris
Global Strategy Group
212-235-6239
eharris@globalstrategygroup.com

OpenSRS Announces Industry Best Wholesale Pricing on Extended Validation SSL

- Also adds new Subject Alternative Name (SAN) SSL certificates -

TORONTO, September 20, 2012 – Tucows Inc. (NYSE AMEX:TCX) (TSX:TC), a global provider of domain names and other Internet services, today announced significantly reduced pricing for resellers on Extended Validation (EV) SSL certificates through its OpenSRS wholesale Internet services division.

OpenSRS resellers will immediately benefit from the lowest published wholesale list prices on Symantec Secure Site Pro with EV, GeoTrust True BusinessID with EV, Thawte SSL Web Server with EV, Trustwave Extended Validation SSL with EV, and Comodo EV SSL certificates.

“We’re taking this leadership role on Extended Validation SSL pricing because we strongly believe the advantages of EV should be accessible to a wider range of potential users,” said Dave Woroch, EVP Sales, OpenSRS. “Our resellers will now be able to offer the benefits of EV SSL to more of their small- and mid-sized business customers and, in turn, consumers will benefit from the increased protection that EV SSL provides.”

In addition to lower EV SSL pricing, OpenSRS also announced the addition of new Subject Alternative Name (SAN) SSL certificates from Symantec, GeoTrust and Thawte. These products are often used to secure Unified Communications (UC) servers including Microsoft Exchange and allow for multiple domain names to be added to a single SSL certificate.

The addition of SAN certificates further ensures that OpenSRS resellers are able to provide the appropriate SSL certificate for their customers no matter the brand, type, price point or level of protection required.

A full product and price list is available at http://opensrs.com/ssl

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over twelve million domain names and millions of value-added services through a reseller network of over 12,000 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.com (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).

i2Coalition Officially Formed

Today, September 17, 2012, marks the official formation of the Internet Infrastructure Coalition or i2Coalition, a group dedicated to supporting private investment to drive the “nuts and bolts” of the Internet for continued growth. i2Coaltion includes more than 40 industry leading infrastructure providers and tech firms.

Tucows is proud to be one of the founding members in the i2Coalition.

The idea for the i2Coalition came about in 2011, when many of the founding members joined together during the winning campaigns educating the public and elective officials about the intrusive Stop Online Piracy Act (SOPA) and the Protect IP Act (PIPA). The i2Coaltion will continue the mission to advocate for public policy goals essential for Internet infrastructure growth. As part of the launch, i2Coalition co-founder and Board Chair Christian Dawson outlines the group’s public policy priorities and mission in the following video:

The i2Coalition supports the needs of the Internet infrastructure industry to develop market-based standards to drive innovation, which is crucial for continued growth. It intends to be a unified voice for public policy advocacy and education for the industry.

If you or your company shares that vision and serve the Internet infrastructure industry, please consider joining the i2Coalition by visiting the i2Coalition membership page to learn more.

Tucows Reports Continuing Strong Financial Results for Second Quarter of 2012

- Company Achieves Ninth Consecutive Quarter of Record Revenue -

TORONTO, August 13, 2012 – Tucows Inc. (NYSE AMEX:TCX, TSX:TC), global provider of domain names and other Internet services, today reported its financial results for the second quarter ended June 30, 2012. All figures are in U.S. dollars.

Summary Financial Results

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






3 Months

Ended

 June 30, 2012 

(unaudited)
3 Months

Ended

 June 30, 2011 

(unaudited)
6 Months

Ended

 June 30, 2012 

(unaudited)
6 Months

Ended

 June 30, 2011 

(unaudited)
Net revenue 28,153 23,046 55,690 45,601
Income before provision for income taxes and change  

in fair value of forward exchange contracts 
1,409 638 3,359 1,151
Net income for the period 696 566 2,360 1,294
Net earnings per common share 0.02 0.01 0.05 0.02
Net cash provided by operating activities 4 825 2,084 1,587

Summary of Revenues and Cost of Revenues

(In Thousands of US Dollars)

  Revenue Cost of Revenue





3 Months

Ended

 June 30, 2012 

(unaudited)
3 Months

Ended

 June 30, 2011 

(unaudited)
3 Months

Ended

 June 30, 2012 

(unaudited)
3 Months

Ended

 June 30, 2011 

(unaudited)
Wholesale        
  Domain Service 21,668 18,220 18,011 15,101
  Value-Added Services   2,589 2,208 537 507
Total Wholesale 24,257 20,428 18,548 15,608
Retail 2,298 1,278 1,357 419
Portfolio 1,598 1,340 216 198
Network, other costs   1,214 1,235
Network, depreciation and amortization costs     192 220
Total revenue/cost of revenue 28,153 23,046 21,526 17,680

NOTE: Beginning in the first quarter of 2012, Tucows reclassified its revenue streams into three distinct service offerings: Wholesale, Retail and Portfolio1. The realignment is intended to better reflect the manner in which these revenue streams are generated and assessed by management.

“The second quarter was our ninth consecutive quarter of record revenue, up 22% year-over-year,” said Elliot Noss, President and Chief Executive Officer, Tucows Inc. “Our strong performance was driven by meaningful growth in each of our three service categories. Wholesale continues to benefit from new service introductions and customer wins. Retail continues to grow as a result of our relentless focus on customer experience. Our Portfolio is providing predictable revenue streams with strong inventory sales.”

Mr. Noss continued, “With this kind of consistency in our performance and leverage in our business model, plus promising new opportunities on the horizon like gTLDs and Ting, Tucows is well positioned to deliver continued growth and to return capital to shareholders over the long term.”

Net revenue for the second quarter of 2012 increased 22% to a record $28.2 million from $23.0 million for the second quarter of 2011 and was driven by growth in each of the Company’s three service categories.

Net income for the second quarter of 2012 was $0.7 million, or $0.02 per share, compared with net income for the second quarter of 2011 of $0.6 million, or $0.01 per share.

Deferred revenue at the end of the second quarter of 2012 was $74.5 million, an increase of 12% from $66.8 million at the end of the second quarter of 2011 and an increase of 2% from $73.0 at the end of the first quarter of 2012.

Cash and cash equivalents at the end of the second quarter of 2012 were $4.5 million compared with $6.4 million at the end of the first quarter of 2012 and relatively unchanged from the end of the second quarter of 2011. During the second quarter of 2012, the Company generated cash flow from operations of $4,000 compared with $825,000 for the same quarter of 2011. Cash flow from operations during the second quarter of 2012 was impacted by the Company investing $1.1 million in applications to own and operate six new gTLD registries under ICANN’s new gTLD program. In addition, the Company used $1.6 million for the repurchase of stock under its ongoing normal course issuer bid, $0.3 million for principal repayments under its credit facility and invested $0.2 million in equipment purchases.

1Service Offerings: Wholesale, primarily branded as OpenSRS, is composed of revenue generated by the OpenSRS Domain Service and Other Value-Added Services, including hosted email, SSL and other trust certificates, bulk sale of domain names and advertising from the OpenSRS Domain Expiry Stream, web publishing tools, mobile phone services, third-party marketing funds, and billing software for ISPs. Retail is primarily composed of services to individuals and small businesses, including Hover, which generates revenue from the sale of domain name registration and email, and Ting, which generates revenue from mobile phone services. Portfolio includes revenue generated by the resale of names from the domain name portfolio and advertising revenue from the Company’s domain name portfolio and two large advertising-supported websites.

Conference Call

Tucows management will host a conference call today, Monday, August 13, 2012 at 5:00 p.m. (ET) to discuss the Company’s second quarter 2012 results. Participants can access the conference call via the Internet at http://tucowsinc.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 99525100 followed by the pound key. The telephone replay will be available until Monday, August 20, 2012 at midnight. To access the archived conference call as an MP3 via the Internet, go to http://tucowsinc.com/investors.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over twelve million domain names and millions of value-added services through a reseller network of over 12,000 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.com (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. In particular, this release includes forward looking statements regarding our expectations as to our financial results and the impact of our consistent growth and leverage. 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. 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 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, OpenSRS, Hover, Ting, and YummyNames are registered trademarks of Tucows Inc. or its subsidiaries.

For further information:
Lawrence Chamberlain
TMX Equicom for Tucows Inc.
(416) 815-0700 ext. 257
lchamberlain@equicomgroup.com

Ting Offers Samsung Galaxy SIII on Sprint’s 4G LTE Network

TORONTO, August 2, 2012 – Tucows Inc. (NYSE AMEX:TCX, TSX:TC), a global provider of domain names and other Internet services, today announced that its mobile phone service, Ting, has made the Samsung Galaxy SIII available for pre-order on its website at ting.com.

Devices will ship in three to six weeks. The 16GB Samsung Galaxy SIII is at $529, the 32GB at $579. These will be the first Ting devices to use Sprint’s 4G LTE network. Both the 16GB and 32GB are available in Pebble Blue and Marble White.

“It’s a killer device,” said Scott Allan, Director of Ting. “We have a lot of potential customers who have been waiting for this. They won’t have to wait much longer.”

To thank customers for waiting the three to six weeks, Ting will pick two of the first two hundred pre-orders and waive the cost of the device entirely.

Samsung Galaxy SIII shoppers are strongly encouraged to go to the savings calculator at ting.com/calculator to determine how quickly their monthly savings on service will cover the upfront cost of the device.

After that, pre-orders can be placed at ting.com/devices.

About Tucows

Tucows is a global Internet services company. OpenSRS (http://opensrs.com) manages over 11 million domain names and millions of email boxes through a reseller network of over 12,000 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 (http://ting.com) is a mobile phone service provider dedicated to bringing clarity and control to U.S. mobile phone users. YummyNames (http://yummynames.com) owns premium domain names that generate revenue through advertising or resale. More information can be found on Tucows’ corporate website (http://tucows.com).

Media Contacts:
Emily Harris
Global Strategy Group
212-235-6239
eharris@globalstrategygroup.com