AMBIENT RETIRES APPROXIMATELY $2.4 MILLION OF LONG-TERM DEBT

Monday July 2, 8:20 am ET
Security Interest on Ambient Property is Terminated


BOSTON--(BUSINESS WIRE)--Ambient Corporation (OTCBB: ABTG - News), a leader in Broadband over Power Lines (BPL) solutions, today announced that it has made the July 2007 payment on its 8% Senior Secured Convertible Debentures in cash and also pre-paid in cash an additional $1,952,700 of these Debentures.

Following the payments made today, the security interest on Ambient's intellectual property in favor of the Debenture holders has been released. Additionally, the accompanying restrictions on Ambient with respect to certain corporate transactions have also been terminated. These developments position Ambient to secure long-term funding on more favorable terms. Additionally, these cash payments significantly reduce further dilution associated with the monthly issuances of below market-price stock to repay principal and interest on the Debentures. Ambient has also advised the Debenture holders that it intends to pay in cash the August 2007 Debenture payment.

John J. Joyce, President and CEO of Ambient, stated, "Our focus continues to be on four primary goals and objectives: stabilizing the capital structure, increasing revenues, enhancing our technology while protecting our intellectual property, and fostering the creation of industry standards. These are what will position Ambient for its future growth."

Mr. Joyce continued, "Paying down the Debentures is yet another step in the stabilizing of our capital structure and positioning the Company for securing more favorable longer-term funding."