C-COM Reports a 25.4% Increase in Sales and a 429% Increase in Net Income in the Second Quarter

C-COM Satellite Systems Inc. (TSX VENTURE: CMI) today announced revenues of $1,659,644 for the quarter ending May 31st, 2006 and an Operating Profit of $96,742 or $0.003 cents per share, compared with results from the same quarter last year, when total revenues were $1,323,460 and there was an Operating Profit of $4,226 or $0.0001 cents per share.

For the two quarters ended May 31st, 2006 the company has increased sales by 25.6% achieving year to date sales for the two quarters ended May 31, 2006 of $3,133,408 compared with year to date sales for the two quarters ended May 31, 2005 of $2,494,816.

The company is also now reporting a Net Income of $52,912 year to date compared to the same period last year when there was a Net Income of $24,189, which represents an increase of 119% over the same period last year. This quarter represents the 9th consecutive profitable quarter for the company to date.

Further sales increases and continued profitability are anticipated for the balance of the fiscal year. The company continues to remain debt free with a healthy cash position.

"The increased sales this quarter were the direct result of the wide acceptance and continued increased demand for the iNetVu Mobile platforms, which are becoming the platform of choice for satellite operators and resellers worldwide.

In the forthcoming quarters we will see the iNetVu Mobile being adapted to work with a number of new satellite service providers and capable of delivering increased bandwidth. The company will also expand its product line by introducing new products. The continuous demand for higher Internet bandwidth connectivity, coupled with video and Voice over IP type solutions, will significantly increase the sales of these mobile products worldwide" said Leslie Klein, President and CEO of C-COM Satellite Systems Inc.

The C-COM iNetVu Mobile proprietary antennas, and services associated with these products, are used in mobile applications by corporations, government agencies, law enforcement agencies, homeland security, RV owners, mobile homes, construction trailers, utility vehicles, oil and gas platforms, police, fire and other security and emergency services with a need for affordable mobile 2-way high-speed Internet over Satellite connectivity.

About C-COM Satellite Systems, Inc.

C-COM Satellite Systems, Inc. is a leader in the development and deployment of mobile satellite-based technology for the delivery of two-way high-speed Internet services into vehicles or other mobile structures. The C-COM developed proprietary Mobile self-pointing (iNetVu(TM)) Antenna System allows the delivery of high-speed satellite based Internet services into mobile environments, while stationary; virtually anywhere where one can drive. The iNetVu Mobile antenna has also been adapted to be deployable from transportable platforms.

The iNetVu Mobile units are available in 4 different sizes, interface with a large number of readily available satellite modems and mount easily on top of vehicles or inside transportable platforms. The iNetVu Mobile uses a standard 12 Volt DC power source. It can be activated with a simple push of a button or with a click of the mouse, deploys automatically, locks on to the selected satellite in a few minutes and delivers 2 way broadband Internet access, VoIP and Video services virtually anywhere in the world.

iNetVu(TM) is a registered trademark of C-COM Satellite Systems Inc.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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