American Telesource International, Inc. cuts losses.

SAN ANTONIO, Texas--(BUSINESS WIRE)--July 2, 1996--American Telesource International, Inc. ("ATI") recorded revenues of approximately $4.8 million for the fiscal quarter ended April 30, 1996 which resulted in a net loss of approximately $140,000 for the period.

This compared favorably with the same period in the prior year, when the Company produced revenues of approximately $1.5 million resulting in a net loss of approximately $535,000. This 220% increase in revenue is attributable to significant growth of ATI's private network and long distance services customer base in Latin American and the Caribbean Basin, along with the completion of a $1.4 million sale of a satellite and fiber network to EVAMEX, Mexico's second largest milk producer.

H. Douglas Saathoff, Chief Financial Officer of ATI states "this period also compares well to the previous quarter ended January 31, 1996, when the Company recorded revenues of approximately $2.8 million, resulting in a net loss of $830,000."

American Telesource International, Inc. is the owner of The San Antonio International Teleport, and is a provider of international networks via satellite for voice, data, fax and Internet, and call services for domestic and international long distance. ATI, with corporate headquarters in San Antonio, Texas, currently trades under the symbol "ATIL.CDN" on the Canadian Dealing Network (CDN) in Toronto.

CONTACT: Don L. Merrill, Jr., [phone]

FAX: [phone]

Internet: http://www.ati.net