ETC Announces First Quarter 2009 Results

April 24, 2009


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

ETC ANNOUNCES FIRST QUARTER 2009 RESULTS

WAUKESHA, WISCONSIN, April 24, 2009 OTC – Pink Sheets
ELECTRONIC TELE-COMMUNICATIONS, INC. Symbol – ETCIA

Electronic Tele-Communications, Inc. (ETC) today reported its first quarter 2009 results. Sales for the quarter were $383,473 compared to $424,564 for the 2008 first quarter.  The net loss was $126,045 or $0.05 per Class A common share, compared to a net loss of $66,515 or $0.03 per Class A common share for the first quarter of 2008.

Commenting on the results, ETC President Dean Danner said, “The national economic problems are having an effect on many market segments, including ETC’s market segment. As our customers have had to cope with revenue and budget issues, they have reduced services and delayed infrastructure projects. ETC’s first quarter is generally slow anyway, but this quarter we experienced a 10% decline in sales from last year as a result of the national recession. We continue to work with our existing customers and have made some progress in cultivating new customers which we hope will improve sales and earnings as the year progresses.”

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.

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Electronic Tele-Communications, Inc.

Statements of Operations:
                                      (unaudited)
                                   Three Months Ended
                                        March 31
                                    2009       2008
Net sales                          383,473    424,564
Cost of products sold              251,317    280,006
Gross profit                       132,156    144,558

Operating expenses:
 General and administrative         82,167     15,668
 Marketing and selling              94,829    102,406
 Research and development           77,260     87,473
                                   254,256    205,547

Earnings (loss) from operations   (122,100)   (60,989)
Other income (expense)              (3,945)    (5,526)

Earnings (loss) before
 income taxes                     (126,045)   (66,515)
Income taxes                             0          0
Net earnings (loss)               (126,045)   (66,515)

Basic and diluted earnings (loss) per share:
  Class A common                     (0.05)     (0.03)
  Class B common                     (0.05)     (0.03)

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

Selected Balance Sheet Data:
                                   Mar 31     Dec 31
                                    2009       2008
Current assets                     553,832    568,878
Total assets                       606,341    759,167
Current liabilities                988,928    968,570
Total liabilities                1,058,588  1,044,563
Stockholders' equity              (452,247)  (285,396)


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