MONTREAL, Aug. 10, 2006 (PRIMEZONE) -- United American Corporation (OTCBB:UAMA) is pleased to announce that its majority-owned subsidiary, TeliPhone, has signed an agreement with Intelco Communication of Montreal, Canada, to supply it with a white-label version of its VoIP solution. The deal provides that traffic from Intelco's current and future clients will pass over Intelco's existing network, while transiting through TeliPhone's VoIP softswitch platform. A software royalty for each of Intelco's subscribers will be contributed to TeliPhone.
"We anticipate that the software license model will represent a new and innovative way for us to increase our profitability", says George Metrakos, TeliPhone's President and CEO. "We are hopeful that Intelco's marketing efforts will be complimentary to future growth that we may experience in the in the retail sector, with a particular focus on the international market."
Intelco will also invest in TeliPhone by providing it with the use of its offices, telecommunications network and co-location facilities creating the possibility for significant savings and synergies in the future. "Reducing the out of pocket expenditures of TeliPhone will be a step towards reducing the overall expenses of United American Corp.'s financial position".
About Intelco Communications
Intelco Communications is a leading global telecommunications company involved in both Wholesale and Retail Services. They act as an inter-exchange carrier for over 50 of the leading telecommunications companies worldwide, while they have thousands of retail points of sales distributing calling cards and pre-paid long distance services to hundreds of thousands of consumers worldwide. Based in Montreal, Canada, Intelco is interconnected with the major carriers in Canada, the U.S. and Europe.
About United American Corporation
United American Corporation is a holding and management company focused on next-generation Voice over Internet Protocol (VoIP)- based telecommunications. On the wholesale side, United American Telecom operates an international VoIP settlement and exchange gateway linking Tier 1 and Tier 2 Telecom carriers with United American's installed gateways in countries such as Mali and Gabon, Africa. Its Retail operations center on its flagship TeliPhone(tm) brand, which provides innovative Internet-based telecommunications services to the U.S., Canadian and Indian marketplaces, as well as white-label software platforms to Tier 1 and 2 Telecom carriers. TeliPhone services are present in every continent. For more information, visit the company website at www.unitedamericancorp.com.
This news release contains forward-looking statements that are subject to various risks and uncertainties. The Company's actual results could differ materially from those anticipated in such forward-looking statements as a result of numerous factors that may be beyond the Company's control. Forward-looking statements are based on the expectations and opinions of the Company's management on the date the statements are made, and the Company assumes no obligation to update forward-looking statements should circumstances in management's expectations or opinions change.