MicroTel's XCEL Japan Limited Wins $400,000 Contract.

Business Editors

RANCHO CUCAMONGA, Calif.--(BUSINESS WIRE)--May 24, 2001

MicroTel International Inc. (OTCBB: MCTL) ("MicroTel") today announced that its XCEL Japan Ltd. subsidiary (XJL) has been awarded a major contract for chip and wire electronic components, which are a new resale product for MicroTel's Electronic Components Group.

The contract calls for the delivery of more than $400,000 of products over an eight month period beginning in June 2001.

Commenting on the contract, Shigeo Fujii, managing director of XJL stated, "This contract is evidence of XJL's ability to identify what we believe to be state of the art electronic components for new customers. Moreover, our applications provide tailored solutions and exceptional value to XJL's customers."

Bill Miller, vice president and general manager of XET Corporation, XJL's parent company, commented, "We are extremely pleased that XJL won such a large order given the adverse Japanese economy. This is a significant order for our newest business unit, and demonstrates its ability to achieve revenue and earnings growth even under difficult conditions."

About MicroTel International

MicroTel International Inc. is an international telecommunications electronics company comprising three wholly owned subsidiaries -- CXR Telcom Corporation in Fremont, Calif., and CXR, S.A. in Paris, France, which together comprise the Telecommunications Group, and XET Corporation in Rancho Cucamonga, which together with its international subsidiaries comprise the Electronic Components Group.

CXR Telcom Corporation and CXR, S.A. design, manufacture and market field and central office electronic telecommunications test instruments, voice, data and video transmission and network access equipment.

XET Corporation designs, manufactures and markets electronic components including predominately digital switches and power supplies. The company operates out of facilities in the U.S., France, England and Japan.

Safe Harbor Statement Under the Private Securities

Litigation Reform Act of 1995

With the exception of historical information, the matters discussed in this news release are forwarded-looking statements that involve a number of risks and uncertainties. The actual future results of MicroTel could differ from those statements. Factors that could cause or contribute to such differences include, but are not limited to, MicroTel's ability to deliver products under the new contract in a timely and cost effective manner, the projected growth in the telecommunications and electronic components markets, the ability of MicroTel to expand its presence in these markets, trends in MicroTel's financial condition and results of operations, MicroTel's ability to distinguish itself from its current and future competitors, the continued demand for MicroTel's products, worldwide economic conditions, changes in governmental regulations and policies, the emergence of competitive products and services and unforeseen technical issues and those factors contained in the "Risk Factors" Section of the company's Form 10-K/A for the year ended Dec. 31, 2000, and Form 10-Q for the quarter ended March 31, 2001.