Mr. Tyler Burns reports

WILAN PROVIDES FINANCIAL UPDATE

Wi-LAN Inc. has provided a financial update.

The company is disappointed with the decision in its Texas litigation case against Apple yesterday, but would like to take this opportunity to remind shareholders of the company's strong financial position and results to date. The patent that was at issue in that case expires in just over three months and is only one patent in the company's portfolio of more than 3,000. Since refocusing the company on intellectual property licensing in mid-2006, the company has signed more than 270 licence agreements worth between $725-million and $750-million.

For the third quarter of 2013 ended Sept. 30, 2013, revenues will be $20.7-million which is in line with the previously provided guidance. Revenues for the fourth quarter are expected to be between $26-million and $28-million. Revenues for the full 2013 fiscal year, ending on Dec. 31, 2013, are expected to be in the range of $85-million to $87-million. Revenues for the fourth quarter and the full year include contributions from licence agreements signed in the fourth quarter, several of which have revenue components that are not expected to recur in future periods and management's estimate of running royalties yet to be reported.

Since the company refocused in mid-2006, through to the end of the third quarter this year, Wi-LAN has recorded more than $400-million in consolidated revenues.

The company is pleased to report that its estimated backlog position, which consists of the value of signed licence agreements characterized as having fixed periodic payments plus management's estimate of revenues to be reported and collected upon under signed running royalty licence agreements, is now between $325-million and $350-million. The company expects the majority of these revenues to be collected over the next four fiscal years with some licence agreements extending for more than seven years.

The company's estimated revenue backlog represents its estimates of revenues yet to be recorded from signed licence agreements. These estimates consider the market forecasts for the technologies covered within the company's patent portfolio, publicly available and, in certain cases, privately provided forecasts for existing licensees' product sales, and the relevant licence rates in effect in these signed agreements. The timing of licence agreement closings, breadth and depth of product portfolios licensed, and other external market forces may cause the company's estimated revenue backlog to vary from one reporting period to the next.

The company's revenues result from the licensing of intellectual property which, by its very nature, is directly affected by the timing of the closure of licence agreements, the nature and extent of specific licences including actual rates, product sales by licensees which can be subject to seasonality and overall market demands, as well as the timeliness of the receipt of licensee royalty reports. In addition, certain revenues may be of a one-time nature.

Wi-LAN's imperative is to negotiate the best possible licence as measured over the long-term, and accordingly, the timing of actual licence signings may vary from that forecasted. Actual results may vary materially from the guidance provided as a consequence of the above-noted factors.