Alliance Group Services Signs $150 Million Deal with AT&T; Strong Indication of Rebound in Telecom

Alliance Group Services, Inc., a leading long distance provider, has signed a new $150 million long-term, network services agreement with AT&T. Citing increased demand for its services in the past couple of months, Alliance added new capacity and products, signaling a resurgence in the telecommunications sector. Alliance, having great confidence in the increased suite services utilizing the AT&T backbone, initiated this long-term agreement and founded an international carrier termination arm to complement its existing telecom operation.

“We see a rebound in telecom; especially for those companies that are nimble enough to add to their products and services to accommodate the customer’s increasing requirements. The addition of this division allows us to tap into a market that is projected to grow at incredible rates over the next five years,” said Tom Coughlin, Chairman of Alliance, “We have signed a distribution agreement with the largest retail organization in the world to deliver an international prepaid calling card.” “Our product will be placed in over 1200 stores nationwide.” “We are confident that our success marks the beginning of resurgence in the telecommunications sector.”

Alliance is well positioned to capitalize on the projected high growth and demand for affordable calling options through incorporation of its international division and addition of increased infrastructure. Alliance has added a switch at 60 Hudson Street in NYC, the crossroads of telecommunications networks, allowing it to route calls efficiently over direct international routes. This provides customers with cost effective routing options, base on a predetermined set of requirements, specified by each customer.

The incorporation of its international termination division is the first in a planned series of growth strategies initiated earlier this year. The Company’s primary growth strategy moving into 2004 is to continue to add to its operation through acquisitions of complimentary technologies and organizations.