ATSI Communications, Inc.

SAN ANTONIO, March 23, 2006 (PRIMEZONE) -- ATSI Communications, Inc. (OTC BB:ATSX.OB - News) announced today that revenues for the three months ended January 31, 2006 totaled $2,947,000 and resulted in the sixth consecutive quarter of record revenues since the Company's reincorporation in May 2004. This is a 94% increase in revenues over the three months ended January 31, 2005. ATSI also reported that the Company achieved a major milestone during the quarter by producing positive cash flow from operations for the month of January 2006. Net loss before non-cash items for the three months ended January 31, 2006 was $35,000 vs. a net loss before non-cash items of $24,000 for the three months ended January 31, 2005.

Comment - Significant increase in revenues but the loss troubles me. I would love to see this company turn to profitably soon. Then, I would definitely give this one a look. With that said, the revenue growth is impressive.