ETC Announces Fourth Quarter 2008 Results

March 5, 2009


For Further Information contact: Dean Danner, President
                                 Boni Danner, VP Eng. & Treasurer
                                 (262) 542-5600 * http://www.etcia.com

ETC ANNOUNCES FOURTH QUARTER 2008 RESULTS

WAUKESHA, WISCONSIN, March 5, 2009 	OTC – Pink Sheets
ELECTRONIC TELE-COMMUNICATIONS, INC.	Symbol – ETCIA

Electronic Tele-Communications, Inc. (ETC) today reported its fourth quarter and year end 2008 results. Sales for the quarter were $558,775 compared to $692,223 for the 2007 fourth quarter. The net earnings for the quarter were $30,123 or $0.01 per Class A common share, compared to net earnings of $110,320 or $0.04 per Class A common share for the fourth quarter of 2007. Sales for the 2008 year were $1,854,558, compared to 2007 sales of $2,309,206. The loss for 2008 was $138,064 or $0.06 per Class A share, compared to a loss of $125,272 or $0.05 per Class A share for 2007. Included in both the fourth quarter and year end numbers for 2007 is an income tax adjustment of $52,000 or $0.02 per Class A common share.

Commenting on the results, ETC President Dean Danner said, “In an uneven year, plagued by a worldwide recession that ended with the collapse of the mortgage industry, ETC was still able to generate a small fourth quarter profit. For the year, however, sales were twenty percent lower than 2007. In spite of the lower sales levels, our efforts to control costs minimized the loss to approximately the same as 2007.”

Electronic Tele-Communications supplies voice announcers and Voice Application Platforms to domestic and foreign telephone utilities under the Audichron® and Digicept® brand names. ETC also supports a network of Time Weather and Temperature systems installed throughout the United States. ETC's equipment provides a wide range of audio information and call handling services via telephone networks, computer networks, and the Internet.

From time to time, information provided by ETC, statements made by its employees, and information included in its press releases and other public statements which are not historical facts are forward-looking in nature and relate to trends and events that may affect our future financial position and operating results. Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties including, but not limited to: business conditions in the telecommunications industry, the length and severity of the current worldwide recession and the timing and strength of a subsequent recovery, the Company’s ability to achieve adequate sales levels or sufficient cash flow or cash reserves to support operations, technology changes, backlog, status of the economy, government regulations, sources of supply, expense structure, product mix, major customers, competition, litigation, and other risk factors. Investors are encouraged to consider these risks and uncertainties.

- MORE –

Electronic Tele-Communications, Inc.

Statements of Operations:
                                      (unreviewed)          (unreviewed)
                                   Three Months Ended   Twelve Months Ended
                                      December 31           December 31
                                    2008       2007       2008       2007
Net sales                          558,775    692,223  1,854,558  2,309,206
Cost of products sold              303,842    363,061  1,078,742  1,308,881
Gross profit                       254,933    329,162    775,816  1,000,325

Operating expenses:
 General and administrative         65,910     83,974    232,802    361,489
 Marketing and selling             108,231    116,544    391,179    439,176
 Research and development           45,072     63,534    270,362    253,691
 Relocation Costs                        0        (78)         0     95,194
                                   219,213    263,974    894,343  1,149,550

Earnings (loss) from operations     35,720     65,188   (118,527)  (149,225)
Other income (expense)              (5,597)    (6,868)   (19,537)   (28,047)

Earnings (loss) before
 income taxes                       30,123     58,320   (138,064)  (177,272)
Income taxes                             0    (52,000)         0    (52,000)
Net earnings (loss)                 30,123    110,320   (138,064)  (125,272)

Basic and diluted earnings (loss) per share:
  Class A common                      0.01       0.04      (0.06)     (0.05)
  Class B common                      0.01       0.04      (0.06)     (0.05)

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

Selected Balance Sheet Data:
                                   Dec 31     Dec 31
                                    2008       2007
Current assets                     691,352    899,749
Total assets                       759,167  1,008,652
Current liabilities                968,570    970,829
Total liabilities                1,044,563  1,072,154
Stockholders' equity (deficit)    (285,396)   (63,502)


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