Rapid Link Signs Definitive Agreement to Purchase Telenational Communications

LOS ANGELES, May 3  /PRNewswire-FirstCall/ -- Rapid Link, Inc. (OTC:RPID.OB) (BULLETIN BOARD: RPID.OB) , one of the leading providers of Internet Phone services to niche markets like the military, today announced signing of the definitive Stock Purchase Agreement for the acquisition of Telenational Communications, Inc.  The closing of the Telenational transaction is contingent upon Rapid Link's receipt of necessary financing to complete the acquisition.  The Company is working with a well-known investment banking firm to assist it in the fundraising process and has been in ongoing discussions with a number of potential investors.  Rapid Link remains confident that it will secure the necessary financing on terms that are acceptable to it within the time period required to consummate the Telenational transaction.

"We are very excited to have cleared all of the major hurdles in finalizing this acquisition," stated John Jenkins, CEO of Rapid Link.  "We can now focus on closing the financing and combining the two entities. Telenational has consistently been net income positive over the past few years which will significantly improve our bottom line going forward."

"Operationally, this is an ideal fit bringing together two competitors who both have expertise serving military personnel.  We are able to further support that strengthened position with the availability of better products through Rapid Link's new Sysmaster VOIP system," commented Chris Canfield, President of Telenational.  "I am very excited about the future of our new combined Company, and I believe that we will be recognized as one of the premier VOIP companies specializing in niche market opportunities."

"The combined Company will double the size of Rapid Link in terms of revenue.  Management believes the combined Company will be operating profitably during our fiscal fourth quarter ending October 2006," stated David Hess, President of Rapid Link.  "Going forward, we will be well positioned to grow and capitalize on additional accretive acquisition opportunities; a number of which that have already been identified and slated for additional due diligence.

Michael Prachar, V.P. of Operations for Telenational, added, "The synergies between the two companies will be recognized quickly by centralizing operations to our new telecom facility located in Omaha, Nebraska.  Together, we will realize a dramatic increase in efficiency that will go right to the bottom line."

About Telenational Communications, Inc.

Founded in 1988 as Telenational Communications LP, the Company specialized as a long distance carrier with operations in the North America and Europe. Incorporated in 1997 as Telenational Communications, Inc. ("TNC"), the Company has continued to operate from its global headquarters in Omaha, Nebraska.

About Rapid Link, Inc.

Founded in 1997 as Dial Thru International Corporation, Rapid Link provides value-added Internet Phone (IP) communication services to customers, both domestically and internationally.  Rapid Link is a leading niche market provider that has focused on the US military and other key niche markets through its proven, high-quality Internet telephony products, services and infrastructure for service providers, businesses and individuals worldwide. The Company's IP service offerings include multiple service plans that reside on Rapid Link's state-of-the-art IP network.  The Company offers PC-to-PC, PC- to-phone, phone-to-phone calling on their unique set of IAD's -- Internet Access Device's -- that provide a new low cost phone service that is delivered through a broadband connection.  Rapid Link's back office provides billing, operations management, marketing support, inventory management, accounts payable, accounts receivable, sales force automation, commission management, trouble ticket reporting.  Customers can manage their telecommunications services in a real-time environment through the Company's tested back office support structure.  Rapid Link's network spans more than 15 countries on five continents.  For more information, visit http://www.rapidlink.com/.

Forward-Looking Statements:

This press release contains forward-looking statements, involving risks and uncertainties. Such statements are based on management's current expectations and are subject to certain factors, risks and uncertainties that may cause actual results, events and performance to differ materially from those referred to or implied by such statements. In addition, actual future results may differ materially from those anticipated, depending on a variety of factors which include, but are not limited to, Rapid Link's ability to attract investors, Rapid Link's future operating results, and general economic conditions affecting consumer spending, including uncertainties relating to global political conditions. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company does not intend to update any of the forward-looking statements after the date of this release to conform these statements to actual results or to changes in its expectations, except as may be required by law.

   Contacts:
   David Hess
   President and COO
   Rapid Link, Inc.
   Tel.:  [phone]

   The Ruth Group
   Investors:
   John Quirk
   Tel.: [phone]

   Media:
   Susan Kim
   Tel: [phone]


DATASOURCE: Rapid Link, Inc.



CONTACT:  David Hess, President and COO of Rapid Link, Inc., +1-310-566-

1701; or Investors: John Quirk, [phone], or Media: Susan Kim, +1-646-

536-7032, both of The Ruth Group 



Web site:  http://www.rapidlink.com/ 

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