United American Corporation

United American Corporation

March 21, 2005 09:30 ET

Teliphone Signs Asia Distribution Agreement with Podar Enterprises of India; Initial Value of US$600,000 Annualized Revenues


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: UNITED AMERICAN CORPORATION

OTC Bulletin Board SYMBOL: UAMA

MARCH 21, 2005 - 09:30 ET

Teliphone Signs Asia Distribution Agreement with Podar
Enterprises of India; Initial Value of US$600,000
Annualized Revenues

MONTREAL, CANADA--(CCNMatthews - March 21, 2005) - United American
Corporation's (NASD OTCBB:UAMA) wholly owned subsidiary Teliphone Inc.
has signed an extensive marketing and distribution agreement with Podar
Enterprises of Mumbai, India that will bring Teliphone service to most
of Central, South and East Asia, and Eastern Europe as well as parts of
the Middle East. The agreement gives Podar exclusive distribution
rights for India, China, Russia, Sri Lanka and the United Arab Emirates,
a territory with a combined population of well over 2 billion people.
Podar will begin distribution with India and then continue rolling out
to the other countries over a 12 month period. In addition to
Teliphone's wireless Internet telephone and wired TeliphoneLine, a USB
Teliphone handset will be introduced for these markets which will expand
market potential to all users with a computer and Internet connection.

"We believe there is an enormous untapped market for this product,
particularly when you consider the amount of telephone traffic between
Asia, Europe, the Middle East and North America" said Rajiv Podar, Podar
Enterprise's President, "We intend to focus on companies and individuals
with high international traffic needs and we are very pleased to be
working with Teliphone to develop these markets. The Teliphone product
is a priority for us and will significantly enhance our Infotech
division and its clients, which includes broadband wireless Internet."

George Metrakos, President and CEO of Teliphone adds: "Our agreement
with Podar demonstrates the highly scalable nature of our multi-lingual
platform for telecommunications services. We welcome Podar to the
Teliphone team and look forward to working with them to expand our
services into this market."

The agreement calls for a minimum of 4,000 activations over 12 months in
India which will result in annualized revenue to Teliphone of
approximately US$600,000. Other target activations by country will be
established over the next 45 days. All technical operations will
remain in the Montreal location but Podar will maintain its own customer
support center in Mumbai.

India represents the 6th largest telecom market in the world with a
telephony subscriber base of nearly 80 million and is expected grow by
several million over the next 2 years. International long distance
(ILD) in 2004 was nearly 6 billion minutes with VoIP accounting for just
over 2 billion minutes or 35%. ILD is expected to grow to just over 9
billion minutes by the end of 2006, with VoIP projected to take 55% of
the market, some 5 billion minutes.

About Podar Enterprises

Founded in 1926, The Podar Group of Companies (www.podarenterprise.com)
consists of several operating divisions dealing with Manufacturing,
International Trade, Information Technology and Consulting and operates
in North America, Europe, the Middle East and Africa. The Group's
business activities range from Hotels, Aviation, Satellite Services to
consultancy and Online Education.

Podar Group has established a global business network consisting of over
16 countries giving access to significant trade, investments and joint
venture opportunities. All the divisions combine to make Podar
Enterprises a truly global force with varied international interests.

Its flagship division, Podar Infotech, provides goods and services in
software, telecommunications, business to business platforms, digital
data systems, education and hi-tech consulting.

Under its brand name "WAFT" the company offers a new dimension in
connectivity, offering a comprehensive range of Broadband Wireless
Connectivity Products and provides a full range of easy to install
Wireless LAN and broadband solutions that satisfy the requirements of
both corporate horizontal and industrial vertical applications.

Its extensive international trading and business development experience
in the target regions will ensure that Teliphone will be well
represented.

About Teliphone, Inc

Teliphone Inc. is a leading Voice over Internet Protocol (VoIP)
telecommunications company offering next generation wireless and
wireline internet communications solutions. Teliphone subscribers pay a
monthly fee to make calls from various handheld devices to any phone
number in the world. Teliphone offers its subscribers value-added
services that simplify the way they communicate, through our Single
Point of Contact, Teliphone, TeliphoneLine and iPCS services. Teliphone
was one of the first companies to offer VoIP and Cellular "dual-mode"
services to its subscribers, offering a fully-integrated and web-based
billing structure and innovative unlimited long distance packages. With
a preliminary focus on the consumer/Small Office Home Office (SOHO)
markets, Teliphone is also the infrastructure of choice for consumers
and businesses throughout the world through its private-label
distribution partners. Teliphone Inc. operates its own Main CO (Central
Office) in Montreal, Canada where all worldwide teliphoneTM devices are
controlled, thus giving the company the advantage of centralized
operations and cost reductions. The company has also established a CO
in Manhattan, USA. For more information, visit the company website at
www.teliphone.us.

United American Corporation has announced the spin-off of Teliphone Inc.
with a 1 for 1 shareholder stock dividend for shareholders of record
effective April 15, 2005. (See UAMA.OB press release dated March 9,
2005.)

About United American Corporation

United American Corporation is a holding and management company of next
generation Voice over Internet Protocol (VoIP) based telecommunication
Company. The organization currently has five subsidiaries. Each
subsidiary operates in a specific niche market in a fast growing global
worldwide IP-based telephony network. The company has created a network,
which provides services from local IP-based telecommunication to
international telecommunication carriers. TeliphoneTM, Inc operates
sophisticated extended local communication VoIP central office, while
United American Telecom, Inc operates CaribbeanONE™, a
state-of-the-art International telecommunication route & gateway. For
more information, visit the company website at
www.unitedamericancorp.com.

This news release contains forward-looking statements that are subject
to various risks and uncertainties. The Company's actual results could
differ materially from those anticipated in such forward-looking
statements as a result of numerous factors that may be beyond the
Company's control. Forward-looking statements are based on the
expectations and opinions of the Company's management on the date the
statements are made, and the Company assumes no obligation to update
forward-looking statements should circumstances in management's
expectations or opinions change.

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    United American Corporation
    George Metrakos
    (514) 313-6010
    or
    United American Corporation
    Investors Relations
    (514) 313-5960
    investorsrelations@unitedamericancorp.com