HOUSTON, May 24, 2010 (GLOBE NEWSWIRE) -- Everybody's Phone Company, Inc. (Pink Sheets:EVPH), Texas' fastest growing provider of prepaid telephone services, today announced a shareholder update:
Everybody's Phone Company© (the Company) offers local telephone service on a prepaid basis. Specifically, local services include a "bare bones" product providing unlimited local dial tone and 911 emergency access with the option of several customer calling features, for an additional fee, including Call Waiting, Caller ID, Call Forwarding and Speed Dialing. These features may be purchased individually or in a package at reduced rates.
THE COMPANY purchases phone services from the incumbent local exchange carrier at deep discounts (currently up to 26%) and resells the service on a prepaid basis at a premium, allowing attractive profit margins. The markets are households without phone service due to lack of credit history or a poor credit history, and/or the inability to pay a deposit.
THE COMPANY is a flat rate service provider. THE COMPANY is not a measured service provider, which is when service is provided on a "per call" or "minute basis."
Economics -- The prepaid telephone service reseller business has attractive margins, minimal capital expense and minimal bad debt. THE COMPANY acquires heavily discounted telephone service from the incumbent local exchange carriers, such as AT&T, Verizon and charges premium rates yielding above average profit margins. THE COMPANY'S customers must pay prior to receiving service, thereby mitigating bad debts.
Regulatory Approvals -- THE COMPANY possesses regulatory approval to sell and provide local phone service in Texas [Service Provider Certificate of Operating Authority (SPCOA) No. 60785]. THE COMPANY has executed reseller agreements with AT&T and Verizon.
Additional Information -- THE COMPANY now offers two federally-funded programs, the Lifeline Assistance ("Lifeline") and Link-Up America ("Link-Up"), to its customers who qualify. Lifeline and Link-Up are part of the Universal Service Fund (USF), which will distribute more than $8 Billion in 2010 toward helping qualified low income consumers pay for basic telephone service through discounts and subsidies.
Financial Summary, Historical Financials, and Projections: Based on fiscal years ending in December of the year shown as follows:
| ($ Million) | FY 2011 est. | FY 2012 est. | FY 2013 est. | FY 2014 est. | FY 2015 est. |
| Sales | $ 1,079,272 | $ 2,610,000 | $ 7,476,000 | $ 21,334,000 | $ 60,870,000 |
| Net Income EBITDA | $ 74,492 | $ 225,191 | $ 1,407,000 | $ 3,888,000 | $ 10,984,000 |
| Public Profile of EVERYBODY'S PHONE COMPANY | ||||||
| Authorized shares: | 100 Million | Recent price per share: | $ .10 | |||
| Outstanding shares: | 49,851,465 | Exchange: | Pink Sheets | |||
| Est. free-trading shares: | 22,631,465 | Earnings Per Share | <$000> | |||
Investment Opportunities: Everybody's Phone Company common stock trades on the "Pink Sheets." The Company is actively seeking to increase public awareness of an undervalued opportunity.
About Everybody's Phone Company
Everybody's Phone Company sells prepaid, unlimited local (dial tone) telephone service to the residential market, primarily in greater Houston. The Company is fully licensed by the Texas Public Utility Commission to resell telephone services throughout the State. Once EVPH achieves critical mass in Texas, the Company plans to expand its prepaid telecommunications product offerings nationwide. For more information, visit www.everybodysphonecompany.com
The foregoing press announcement contains forward-looking statements that can be identified by such terminology such as "believes," "expects," "potential," "plans," "suggests," "may," "should," "could," "intends," or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from any future results, performance or achievements expressed or implied by such statements. In particular, management's expectations could be affected by, among other things, uncertainties relating to our success in completing acquisitions, financing our operations, entering into strategic partnerships, engaging management and other matters disclosed by us in our public filings from time to time. Forward-looking statements speak only as to the date they are made. The Company does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.