American TeleSource Comments On Recent Stock Activity.

SAN ANTONIO--(BUSINESS WIRE)--Aug. 8, 2000

American TeleSource International, Inc. "ATSI" (AMEX:AI) commented today on its recent stock activity.

Arthur L. Smith, ATSI's Chairman and CEO, stated, "It is important to emphasize that our short-term and long-term strategies remain intact. We are focused on building a premier next-generation carrier, targeting the lucrative paired markets between the U.S. and Latin America, primarily Mexico. In the past 60 days, ATSI has delivered on several major strategic initiatives, further solidifying and enhancing its competitive position within its target market. Regardless of the recent stock activity, we are moving forward to a satisfactory conclusion of these transactions. We remain committed to increasing stockholder value that is sustainable long-term."

-- ATSI Signs Definitive Agreement to Acquire Genesis

Communications. The transaction will expand ATSI's geographic

presence and market coverage into 85 of the top 100 counties

in the U.S. in terms of Latino population. Genesis has

successfully penetrated the Latino markets in the United

States and has captured a customer base consisting of 65,000

long distance customers and 10,000 local service customers,

generating a significant amount of communication traffic to

Mexico. Genesis is certified as an inter-exchange carrier 

("IXC") in eleven states and as a local exchange carrier

("CLEC") in nine states. Activities remain on track with the

closing of the transaction expected within the Company's

current fiscal quarter.

-- ATSI Secures Mexican Long Distance Concession. This highly

valuable license will enable the Company to expand its

operations and services to both urban and semi-rural locations

in Mexico over time, while simultaneously decreasing operating

costs for its services. ATSI will now be allowed to eliminate

the "middleman" and interconnect to the local network in areas

where it is currently delivering services. ATSI's network plan

includes an OC-192 fiber optic network, which would be the

first of its kind built in Mexico by a competitive carrier.

The highly scalable, state-of-the-art network, equipped with

Internet telephony technology, will allow for integration of

voice, data, Internet, and video services on a single network.

ATSI's network architecture plan incorporates a broadband

fiber network that will interconnect to a satellite network

equipped with Voice over Internet Protocol (VoIP) gateways to

serve as many as 115 Mexican cities, many of which are already

served by ATSI Communication Centers. By using digital rather

than analog signals, VoIP is a leading-edge technology that

provides numerous advantages over the traditional method for

transporting voice traffic. This next generation, cross-border

network would interconnect to a U.S. network that extends into

key markets that generate a majority of the communications

traffic destined for Mexico, many of which are currently

served by Genesis Communications.

-- ATSI Signs $15 Million Financing for Mexico Network Buildout;

Credit Suisse First Boston Affiliate to Lead Funding. This

funding should serve as the financial cornerstone for the

buildout of the Company's network under its Long Distance

Concession in Mexico and the enhancement of its operations

over the coming months. ATSI is committed to building

strategic value by enhancing its physical presence in Mexico

under the Concession.

-- ATSI sets record date for GlobalSCAPE share distribution. ATSI

stockholders will receive one share of GlobalSCAPE Common

Stock for each twenty shares of ATSI Common Stock held as of

the July 14, 2000 Record Date. As normal, the SEC has provided

comments to GlobalSCAPE's Form 10 registration statement. The

Company anticipates making the distribution as soon as

practical after the Record Date and the addressing of the SEC

comments. The distribution is expected to occur on or before

Sept. 8, 2000.

Mr. Smith further commented, "These transactions transform ATSI into one of the leading carriers serving the Latino markets between the U.S. and Mexico. Mexico is undergoing a transformation of its own with the election of a new President, Vicente Fox. Fox's pro-NAFTA administration is expected to bring additional growth opportunities to ATSI in a telecommunications corridor that is currently the most lucrative in the world in terms of revenue."

American TeleSource International, Inc. is an emerging international carrier serving the rapidly expanding niche markets in and between Latin America and the United States. The Company's borderless strategy includes the deployment of a "next generation" network for more efficient and cost effective service offerings of domestic and international voice and data. ATSI has clear advantages over the competition through its corporate framework consisting of unique licenses, interconnection and service agreements, network footprint, and extensive retail distribution. ATSI's e-commerce subsidiary, GlobalSCAPE, Inc. (www.globalscape.com) is a leader in the development, marketing, distribution and support of award winning Internet-based software in a broad array of categories including file management, multimedia utilities and Web site development tools.

This news release contains forward looking statements. These statements describe management's beliefs and expectations about the future. We have identified forward looking statements by using words such as "expect," "believe," and "should." Although we believe our expectations are reasonable, our operations involve a number of risks and uncertainties, and these statements may turn out not to be true. More detailed information about American TeleSource International, Inc. is available in the Company's public filings with the Security and Exchange Commission.