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FTI Turns to Qualcomm's OmniTRACS System to Increase Productivity byEliminating Time on the Phone

– August 12, 1997 – Qualcomm Incorporated (NASDAQ:QCOM) announced that Dearborn Heights, Mich.-based FTI, a Frederick-Thompson Company, has signed a multi-million dollar contract to purchase 1,000 OmniTRACS® satellite mobile communications units. Terms of the agreement also include the purchase of Qualcomm's SensorTRACS® performance reporting system.

Formed in 1996 through the merger of two companies, Frederick Transport and Bill Thompson Transport, FTI is a fleet driven entirely by owner operators. The company will charge its drivers a minimum fee for the first ten-months use of the OmniTRACS system, after which time no additional fees will be incurred. "Driver satisfaction and profitability is our number one concern," stated Ed Swartout, president of FTI. "We didn't want to charge a large sum for the OmniTRACS system because it will benefit us as much as our drivers. We see it as a valuable tool that will help them to be even more profitable. And when our drivers are more profitable the company is more profitable." The company currently enjoys an impressive thirty percent driver turnover rate.

FTI selected the OmniTRACS system because "it does what Qualcomm says it will do," stated Swartout. "We also want to reduce the number of phone calls our driver managers were handling. By reducing their time on the phone, our driver managers will be able to increase their efficiency from managing fifty drivers to seventy-five and still improve their internal productivity by generating more loads instead of fielding calls all day."

"By using the OmniTRACS system, FTI will realize the numerous benefits only a data system offers," stated John Sarto, president of Qualcomm's OmniTRACS division. "Placing emphasis on employee and customer satisfaction is a top goal for Qualcomm. We're pleased to be working with a company like FTI that also realizes the value of such goals."

With over 200,000 OmniTRACS units sold worldwide, Qualcomm is the leader in providing mobile communications and information management systems to the transportation industry. Qualcomm currently has systems operating in the United States, Canada, Europe, Brazil, Mexico, Japan, Korea and Malaysia.

Headquartered in San Diego, Qualcomm develops, manufactures, markets, licenses and operates advanced communications systems and products based on its proprietary digital wireless technologies. The Company's primary product areas are the OmniTRACS system (a geostationary satellite-based, mobile communications system providing two-way data and position reporting services), CDMA wireless communications systems and products and, in conjunction with others, the development of the Globalstar™ low-earth-orbit (LEO) satellite communications system. Other Company products include the Eudora Pro™ electronic mail software, ASIC products, and communications equipment and systems for government and commercial customers worldwide. For more information on Qualcomm products and technologies, please visit the Company's web site at http://www.qualcomm.com.

Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including timely product development, change in economic conditions of the various markets the Company serves, as well as the other risks detailed from time to time in the Company's SEC reports,including the report on Form 10-K for the year ended September 24, 1996 and most recent Form 10-Qs.

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Topics: Corporate
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