ETC Announces Second Quarter 2000 Results

Waukesha, WI—July 24, 2000

For Further Information contact: Dean Danner, President
                                 Jeff Nigl, Chief Financial Officer
                                 (262) 542-5600 * http://www.etcia.com

WAUKESHA, WISCONSIN, July 24, 2000                     The NASDAQ Stock Market
ELECTRONIC TELE-COMMUNICATIONS, INC.                            Symbol - ETCIA

Electronic Tele-Communications, Inc. (ETC) today reported second quarter 2000 earnings of
$217,500  or $0.09 per Class A share on sales of $3,369,368 compared to second quarter 1999
earnings of $23,965 or $0.01 per Class A share on sales of $2,875,246. Sales for the first six
months of 2000 were $6,465,780, compared to 1999 six month sales of $6,144,353. Earnings for the
first six months of 2000 were $294,178 or $0.12, compared to $201,823 or $0.09 for the first six
months of 1999.

Commenting on the 2000 results, ETC President Dean Danner said, “ETC is pleased with the
improved results from last year and the first quarter of this year. Sales levels are in line
with projections, having returned to normal levels after a slow start to the year as a result of
customer concerns with Y2K. Sales in the first half of 2000 consisted of our DNA product line,
while sales in the 1999 periods included some one time sales of Y2K upgrades.”

“Although we anticipate continued strong demand for our systems, third quarter earnings will be
slightly impacted by approximately $.02 per share for the cost of the relocation of our Atlanta
and Pleasanton offices. Our Atlanta office is moving to Norcross Georgia after nearly 30 years
in its current location in Atlanta’s Doraville suburb and our Pleasanton office will move to a
new facility near by the current location. The new locations provide both offices a facility
that better fits our operations, will improve productivity, and will reduce long term costs.”
Danner said.

Electronic Tele-Communications is a supplier of Voice Application Processing Platforms to
domestic and foreign telephone utilities and of messaging systems to the commercial market.
ETC's equipment, compatible with most telephone systems, provides a wide range of audio
information and call handling services via telephone networks, computer networks, and the
Internet. ETC, with corporate headquarters in Waukesha, Wisconsin also has operations in
Atlanta, Georgia and Pleasanton, California.

Certain statements in this press release which are not historical facts are "forward-looking”
statements as defined in the Private Securities Litigation Reform Act of 1995. Any
“forward-looking” statements are provided in compliance with the “Safe Harbor” provision of the
Private Securities Litigation Reform Act of 1995.  “Forward-looking” statements involve a number
of risks and uncertainties including, but not limited to, technology changes, backlog,
acquisitions, status of the economy, governmental regulations, sources of supply, expense
structure, product mix, major customers, level of order flow, competition, litigation, and other
risk factors detailed in the Company’s filings with the Securities and Exchange Commission.
Investors are encouraged to consider the risks and uncertainties included in those filings.

Consolidated Statements of Operations:

                                   Three Months Ended    Six Months Ended
                                        June 30               June 30

                                    2000       1999       2000       1999
Net sales                        3,369,368  2,875,246  6,465,780  6,144,353
Cost of product sold             1,606,579  1,451,053  3,261,978  3,034,798
Gross profit                     1,762,789  1,424,193  3,203,802  3,109,555

Operating expenses:
 General and administrative        305,252    298,242    644,516    652,553
 Marketing and selling             758,497    676,088  1,329,832  1,317,115
 Research and development          444,842    423,835    879,406    857,952
                                 1,508,591  1,398,165  2,853,754  2,827,620

Earnings from operations           254,198     26,028    350,048    281,935
Other income (expense)              (3,998)       937    (11,970)     1,888

Earnings before income taxes       250,200     26,965    338,078    283,823
Income taxes                        32,700      3,000     43,900     82,000
Net earnings                       217,500     23,965    294,178    201,823

Basic and diluted earnings
 per share:
  Class A common                      0.09       0.01       0.12       0.09
  Class B common                      0.09       0.01       0.12       0.05

Weighted average shares outstanding
 for basic and diluted           2,509,147  2,508,947  2,509,126  2,508,947

Selected Balance Sheet Data:
                                   Jun 30     Dec 31
                                    2000       1999
Current assets                   4,082,066  3,245,415
Total assets                     7,401,725  6,679,675
Current liabilities              1,372,628    945,056
Total liabilities                1,372,628    945,056
Stockholders' equity             6,029,097  5,734,619

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