Question: Why does ERF Wireless believe that this is a good time to initiate a wide-scale broadband wireless venture?

Answer: Wireless broadband, by all expert accounts, is poised to be the next high-growth sector of the telecom industry.

Question: Where will ERF Wireless find wireless broadband companies to acquire?

Answer: Over two years ago, ERF Wireless began compiling a database of wireless broadband companies and their demographics. This database continues to be refined and is the basis for selecting specific acquisition targets.

Question: Is ERF Wireless a public company or will it go public at some time in the future?

Answer: ERF Wireless is already a fully reporting public company that trades on the NASDAQ Bulletin Board Exchange under the trading symbol (BB: ERFW). Anyone can buy or sell ERF Wireless public stock at any stock brokerage. All major quotation systems provide price quotations for ERF Wireless.

Question: I notice that the trading volume has been fairly low during the past few months. Do you expect the volume to increase in the future?

Answer: Yes. Almost two years ago, the company went through a recapitalization in preparation for the fast-growth acquisition program that is currently being initiated. As a result of this recapitalization, the amount of ERF Wireless outstanding common stock was significantly reduced to only slightly more than four million shares and most of the larger stockholders entered into one-year lockup agreements. Although the daily volume was reduced at that time, it is expected to continue to grow back to significantly higher levels with the current addition of new stockholders and investors.

Question: Will ERF Wireless do an IPO in the future?

Answer: ERF Wireless cannot do an IPO in the future since it is already a fully reporting public company. However, ERF Wireless does plan to move from trading on the NASDAQ Bulletin Board Exchange to a larger national exchange, such as the NASDAQ Small Cap Exchange or the American Stock Exchange, as soon as it achieves all of the listing requirements.

Question: How is ERF Wireless currently financed?

Answer: ERF Wireless has been in the wireless business for more than two years and serves several thousand wireless customers throughout Texas, Louisiana and Oklahoma. These recurring-revenue customers provide much of the operating overhead cash flow needed by ERF Wireless. Additional operational and growth cash needs have been provided by private investment from various individuals, institutional investors and other entities.

Question: Will ERF Wireless utilize public or private financing to fund its acquisition and growth campaign?

Answer: ERF Wireless is utilizing public financing. In addition, ERF Wireless is receiving private financing from high-net-worth individuals who recognize the potential from an investment in ERF Wireless before the acquisition and growth activity is fully reflected in the ERF Wireless stock pricing.

Question: When ERF Wireless issues stock in a Private Placement to raise capital, will the stock that is issued be immediately tradable?

Answer: No. Any new public stock issued as part of a Private Placement must first be issued as SEC Rule 144 restricted stock. It will then either be registered by the company or the holder may sell under Rule 144 after holding the stock for 12 months.

Question: Why is ERF Wireless acquiring wireless broadband businesses rather than building its own wireless networks?

Answer: ERF Wireless is continuing to construct a portion of its planned wide area footprint. In many cases, however, it is more economical and time-efficient to acquire large blocks of wireless broadband coverage area than to construct a similar footprint. In addition, the acquisition of the footprint eliminates a potential competitor in the geographical area where it is acquired.

Question: Since ERF Wireless has its corporate headquarters located near Houston, Texas, will the acquisition strategy initially focus on the Southwest United States?

Answer: Not necessarily, although many of the broadband networks in the Southwest are more familiar to ERF Wireless and offer excellent acquisition opportunities.

Question: Since ERF Wireless was founded in 2003 and only recently initiated its acquisition and growth campaign, why should an investor invest at this time?

Answer: Most public company stocks do not reflect their true value until a large number of investors become aware of the company through effective execution of the company business plan. Therefore, the upside potential of the stock is much greater if the investor can acquire the stock early, before Wall Street takes notice.

Question: What wireless broadband technology does ERF Wireless primarily utilize in its national wireless broadband footprint?

Answer: ERF Wireless utilizes a combination of high-capacity, point-to-point, proprietary wireless technology, plus industry standard, point-to-multipoint technology, including Wi-Fi, Wi-Max and Meshing Technology.

Question: Why would a wireless broadband company have an interest in selling its network to ERF Wireless?

Answer: Most wireless broadband networks are privately funded and have a few hundred or, at most, a few thousand customers. Most of these companies have not grown to the size where the economies of scale are possible for all of their overhead functions and, therefore, still require some cash infusion by their investors. These investors are locked into their investment and have no near-term path to liquidity without selling to ERF Wireless or someone doing a similar rollup of wireless broadband networks. By combining a number of these networks, ERF Wireless can reach the economies of scale that produce positive cash flow and profitability. In this case, one plus one can actually equal to three.

The information contained herein is believed to be accurate and is based upon sources which are considered reliable but are not guaranteed by the company. This information is subject to change without notice and the company assumes no responsibility for the information contained herein. This does not represent an offer to buy or sell any security. This profile is protected by applicable copyright laws. No permission is granted to copy, distribute, modify, or post any text, graphics, design or logos.