ETC Announces Third Quarter 2010 Results

October 25, 2010

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


WAUKESHA, WISCONSIN, October 25, 2010 OTC – Pink Sheets

Electronic Tele-Communications, Inc. (ETC) today reported its third quarter 2010 results. Sales for the quarter were $510,465 compared to $383,102 for the 2009 third quarter. The net earnings for the quarter were $80,311 or $0.03 per Class A common share, compared to a net loss of $77,274 or $0.03 per Class A common share for the third quarter of 2009.

Sales for the first nine months of 2010 were $1,293,687 compared to sales of $1,229,538 in the first nine months of 2009. The loss for the first nine months of 2010 was $41,511 or $0.02 per Class A common share, compared to a loss of $262,749 or $0.10 per Class A common share for the first nine months of 2009.

Commenting on the results, ETC President Dean Danner said, “Positive earnings in the third quarter are encouraging, but continuing weakness in both the telecommunications equipment market and the time / temperature announcement services market continues to be a concern. Increased sales of our Emcee systems in the quarter coupled with the cost reduction steps taken earlier in the year contributed to the improved results.”

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 adverse effects of the recent 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, which may cause the Company’s actual future results to be materially different than those expected in its forward-looking statements. ETC does not undertake to update its forward-looking statements.

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Electronic Tele-Communications, Inc.
Statements of Operations:
                                      (unreviewed)          (unreviewed)
                                   Three Months Ended     Nine Months Ended
                                      September 30          September 30
                                2010           2009       2010       2009
Net sales                          510,465    383,102  1,293,687  1,229,538
Cost of products sold              247,696    230,482    711,685    769,291
Gross profit                       262,769    152,620    582,002    460,247

Operating expenses:
 General and administrative         73,354     71,231    221,954    222,684
 Marketing and selling              54,817     85,082    167,933    269,873
 Research and development           46,431     66,421    173,805    212,566
 Restructuring Charge                    0          0     35,151          0
                                   174,602    222,734    598,843    705,123

Earnings (loss) from operations     88,167    (70,114)   (16,841)  (244,876)
Other income (expense)              (7,856)    (7,160)   (24,670)   (17,873)

Earnings (loss) before
 income taxes                       80,311    (77,274)   (41,511)  (262,749)
Income taxes                             0          0          0          0
Net earnings (loss)                 80,311    (77,274)   (41,511)  (262,749)

Basic and diluted earnings (loss) per share:
  Class A common                      0.03      (0.03)     (0.02)     (0.10)
  Class B common                      0.03      (0.03)     (0.02)     (0.10)

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

Selected Balance Sheet Data:
                                   Sep 30     Dec 31
                                    2010       2009
Current assets                     524,846    512,673
Total assets                       533,197    533,655
Current liabilities              1,203,002  1,112,312
Total liabilities                1,251,035  1,162,973
Stockholders' equity              (717,838)  (629,318)

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