Telefficiency Launching C.L.E.C. Services.

MISSISSAUGA, Ontario--(BUSINESS WIRE)--Oct. 22, 1999--

TELEFFICIENCY HOLDING CORPORATION (TTFC.NASD.OTC.BB), today announced that the company plans to offer Competitive Local Exchange Carrier (C.L.E.C.) services to its approximately ten thousand Southern Ontario customers by the new millennium. C.L.E.C. services include business telephone lines, long distance service and internet access.

To lead the charge into C.L.E.C. services the company has hired Jean-Marie Baudot who has the experience to both develop and manage our new C.L.E.C. services group. This new offering brings Telefficiency to the next level of providing total communication solutions to new and existing customers.

Baudot will set up and manage the offering of C.L.E.C. services to over ten thousand existing customers with approximately seventy thousand telephone lines and will orchestrate a sales and marketing plan to offer these services to new customers as well. The initial start date is targeted for January 3, year 2000.

Baudot, 45, formerly with Optel Communications of Toronto, was responsible for the start up of operations in Montreal, Quebec. Baudot developed all sales and marketing plans for the Quebec marketplace, and was successful in converting over ten thousand customer telephone lines in the first year of operation.

"Telefficiency is an excellent example of how rapidly the communications industry is evolving, with its forward-looking thinking it is transforming itself from a sales and service provider of hardware to providing total communication solutions. With our existing base of over ten thousand customers and approximately seventy thousand telephone lines this will dramatically accelerate our expansion into the C.L.E.C. service environment," said Baudot.

Telefficiency is a leading North American telecom company that sells, installs and services business telecommunications systems primarily to the small to medium-sized business market. The Company's mission is to become the leader in the North American interconnect market by providing total communication solutions via state of the art systems, software and network services.

This release contains "forward-looking statements" within the meaning of Section 21E of the Securities and 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 will prove to have been correct. Important facts that may cause actual results to differ (the "Cautionary Statements") include but are not necessarily limited to, political and economic stability of the countries in which the Company intends to operate, the availability of commercially viable projects in which the Company may participate, or the Company's ability to obtain adequate financing. All subsequent written and oral forward looking statements attributed to the Company or persons acting on its behalf regarding the subject matter hereof are expressly qualified in their entirety by the Cautionary Statements.