USLD signs pay telephone agreement with GTE; USLD extends and expands its services under agreement with G-Five Corp.; USLD acquires TransAmerica Communications.
USLD has entered into an agreement with GTE to provide repair and refund services (211) for GTE pay telephones nationwide. Other services covered under the agreement include but are not limited to local, information and technology services. This agreement is set to expire on Dec. 31, 1999.
USLD also has extended its current agreement with G-Five Corp., a California aggregator of over 300 private pay telephone affiliates, adding three years under their current contract. Under the agreement, USLD will provide expanded communications services, including operator, direct dial and local services, to approximately 12,000 privately-owned pay telephones throughout the State of California. Mark Harlan, president of G-Five Corp., said, "We are very pleased with the quality and expanded range of USLD's communications services. Based on our long-standing relationship, we believe they are a leader among single-source providers in this industry. We look forward to continuing our long and mutually beneficial relationship with USLD."
USLD's Chairman of the Board and Chief Executive Officer, Larry M. James, stated, "The agreement with GTE and the expansion of the G-Five agreement allow USLD to capitalize on its unique position within the operator services industry and to expand our operator service business in the local market. USLD also has entered into discussions to provide similar services to other local telephone companies, although no other definitive agreements have been reached at this time."
USLD also announced its acquisition of TransAmerica Communications, Inc., a regional direct dial long distance service provider headquartered in Boca Raton, Fla. TransAmerica brings to U.S. Long Distance a high quality customer base concentrated in the Southeast, which currently is generating revenues on an approximate $2.2 million annual run rate. James stated, "TransAmerica's existing customer base complements the Company's network expansion strategy as its customers will be serviced directly by the Company's newest DEX 600 switch located in Atlanta, Ga. In addition, TransAmerica's sales team will join forces with USLD's, creating an experienced, competitive presence in the Southeast."
In addition, USLD announced that L. Lowry Mays, Chairman and CEO of Clear Channel Communications, Inc., has agreed to serve on the USLD Board of Directors. Commenting on the appointment, James stated, "I am delighted that Lowry has agreed to join the USLD team, serving as our newest board member. He has proven his ability to add shareholder value, and we believe his experience will help USLD as we continue to grow our business and create value for our shareholders."
Certain statements contained herein are "forward-looking statements" (as such term is defined in the Private Securities Litigation Reform Act of 1995). These statements are based upon the belief of the Company's management, as well as assumptions made beyond information currently available to the Company's management. Because such "forward-looking statements" are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause results to differ materially from those expressed or implied by such forward-looking statements include, but are not limited to, competitive factors, general economic conditions, customer relations, relationships with vendors, government supervision and regulation, product introductions and acceptance, technological changes, changes in industry practices, and other factors discussed in filings made by the Company with the Securities and Exchange Commission.
U.S. Long Distance is a publicly traded company, providing service primarily to business customers throughout the United States. The Company offers an integrated group of communications services including direct dial long distance, local service, pre-paid calling cards, travel cards, Internet access, data transmission and calling center services. The U.S. Long Distance network consists of a highly advanced, digital switching system that provides nationwide fiber-optic access throughout the United States.
CONTACT: U.S. Long Distance, San Antonio
Karen R. Mella, 210/525-6228
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|Date:||Jun 24, 1997|
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