Phonetime Inc.
TSX : PHD

Phonetime Inc.

April 12, 2011 14:49 ET

Phonetime Extends its $2.5 Million Maturing Senior Debt Facility Through August 30, 2011 While it Negotiates a New Senior Lending Facility

AJAX, ONTARIO--(Marketwire - April 12, 2011) - Phonetime Inc. (TSX:PHD) (the "Company") announced that it has agreed with its senior lender to extend its $2.5 million banking facility through August 30, 2011. This interim agreement has been put in place to allow the Company a period of time to negotiate a new long term facility. The Company's existing facility was previously scheduled to mature on April 30, 2011.

"Phonetime plans to negotiate its long term banking arrangement in the coming months." said Gary Clifford, Chairman and CEO. "Once the Company completes its long term debt facility, the Company expects to resume its growth plan and may seek to raise equity to accelerate and support planned growth."

About Phonetime Inc.

Phonetime handles the completion of long distance telecommunications around the world. In 2010, Phonetime completed 720 million phone calls with duration of over 4 billion minutes in 2010. Phonetime is a best in class provider of outsourced telecommunication services. Phonetime's common shares are traded on the Toronto Stock Exchange under the symbol PHD. More information can be found at the Company's website, www.phonetime.com.

Caution Regarding Forward Looking Information:

This press release contains forward-looking statements, which may be identified by words like "expects", "anticipates", "plans", "intends", "indicates" or similar expressions. These statements are not a guarantee of future performance and are inherently subject to risks and uncertainties. Phonetime's actual results could differ materially from those currently anticipated due to a number of factors set forth in reports and other documents filed by the Company with Canadian securities regulatory authorities from time to time. See www.sedar.com which contains all securities filings.

Contact Information