8500% Increase in Usage in the 3Rd Quarter -vs- Last Year For GTC Telecom; Company Reports 24 Million Minutes of Usage for the 3rd Quarter.

Business Editors

COSTA MESA, Calif.--(BUSINESS WIRE)--April 18, 2000

GTC Telecom (OTCBB:GTCC) today announced that the Company has provided over 24 million minutes of long distance and international usage in the 3rd quarter ended March 31, 2000.

That number is more than double that of last quarter's usage of 11 million minutes that GTC Telecom provided for its customer base.

Paul Sandhu, CEO of GTC Telecom commented, "GTC has many exciting new developments going on within the Company. We have once again doubled our customer growth from quarter to quarter, resulting in the largest consumer growth for GTC to date. We see customers joining us daily to take advantage of our great rates, which indicates to us that our message is being heard throughout the country through our ever-growing affiliate program as well as our other means of advertising."

Sandhu continued, "We are also working on another round of financing that will provide GTC with the capital to continue to develop and grow our new proprietary products and services well into the future. We are also looking forward to launching our new products and services in the near future and watching our expansive growth continue. GTC believes that with its current growth rate and affiliate programs that the company should achieve a run rate of $40 million per year by the end of the calendar year 2000.

Interested parties may sign-up or receive more information via the company's Web site, www.gtctelecom.com, or by contacting GTC Customer Service at 800/486-4030.

About GTC Telecom

Founded in 1997, GTC Telecom (www.gtctelecom.com) is a Telecom/Internet company, providing long distance service to small and medium sized businesses as well as residential customers throughout the United States. GTC Telecom has some of the lowest long distance rates in the industry today to compete with AT&T (NYSE:T), Sprint (NYSE:FON), Qwest Communications (Nasdaq:QWST) and IDT Corp. (Nasdaq:IDTC) among others. GTC Telecom offers basic Internet and long distance bundled and non-bundled plans. For basic unlimited 56K dial up Internet access, GTC offers a plan for $9.95 per month. The Company is nearing completion of Callingplanet.com, GTC's Voice over IP PC to Phone product, which will compare to services provided by Net2Phone (Nasdaq:NTOP) and Ursus Telecom (Nasdaq:UTCC). In addition, GTC offers an array of other Internet services, including wireless T1 access, DSL service at www.gtcinternet.com, and a portal site, www.gtczone.com.

Included in this release are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Although the company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations reflected in such forward-looking statements will prove to have been correct. The company's actual results could differ materially from those anticipated in the forward-looking statements as a result of certain factors including sales levels, distribution and competition trends and other market factors.