American Telesource Executes Interconnection Agreement With Costa Rican Telephone Company.

SAN ANTONIO--(BUSINESS WIRE)--April 29, 1999--

American TeleSource International Inc. (ATSI) (OTC BB:AMTI) today announced its wholly-owned Central American subsidiary, ATSI de Centroamerica, S.A., has executed an international frame relay agreement with RACSA, a division of Instituto Costarricense de Electricidad (ICE), the Costa Rican telephone company.

This agreement enables ATSI to interconnect to the RACSA frame relay network "cloud" in Costa Rica, and provide high quality, low cost connectivity via this protocol throughout the Central American Region, Mexico and the United States.

Alejandro Filloy, general manager of ATSI Central America, stated, "This agreement is significant because it offers a solution to the growing demand for telecommunications services now occurring throughout the Central American region. Much of this growth is attributed to the increasing migration and subsequent investment of U.S. and Mexican companies into countries such as Guatemala, El Salvador and Costa Rica."

Arthur L. Smith, ATSI's chairman and CEO, stated, "Establishing strong relationships remains one of the keys to success in the international marketplace, especially for emerging multinational carriers like ATSI. The RACSA agreement is an important step in the further deployment of our borderless communications strategy."

American TeleSource International Inc. is an emerging multinational carrier serving certain 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 voice and data transport. ATSI has clear advantages over the competition through its corporate framework consisting of unique licenses, interconnection and service agreements, network footprint and extensive distribution channels.

ATSI's wholly owned subsidiary, GlobalSCAPE Inc. (www.globalscape.com), is rapidly becoming a leader in electronic commerce of top Internet-based software, utilizing the Web as an integral component of its development, marketing, distribution and customer relationship strategies.