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GTC Telecom Corp. Set to Expand Local Presence
[July 21, 2004]

GTC Telecom Corp. Set to Expand Local Presence

COSTA MESA, Calif. --(Business Wire)-- July 21, 2004 -- GTC Telecom Corp. Executes Interconnection Agreement With SBC Texas; Plans to Begin Offering Local Phone Service to Texas Residents within Sixty Days

GTC Telecom Corp. (OTCBB: GTCC) ("GTC"), a nationwide provider of long distance and Internet service announced today that it recently entered into an Interconnection Agreement with Southwestern Bell L.P. dba SBC Texas to utilize elements of SBC's telecommunications network in the State of Texas. This will allow GTC to expand its local telecommunications offering to Texas residents within SBC Texas's extensive network coverage. As previously announced, GTC recently began offering local telecommunications services in Florida. GTC will continue this trend by offering Texas consumers full featured, high quality local service plans at extremely competitive prices. GTC will combine its new local product offerings with its proven, reliable long distance service to provide Texas consumers with a choice for their telecommunication needs.



For additional information on GTC's current product offerings, please visit GTC's website at www.gtctelecom.com.

About GTC Telecom


Founded in 1997, GTC Telecom and its subsidiaries provide long-distance, calling card, conference calling and toll-free services, as well as Internet access to residential customers throughout the United States. GTC Telecom provides its services directly to consumers, as well as through affiliate marketing programs. For more information visit www.gtctelecom.com.

This release may contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. Investors are cautioned that all forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from current expectations. GTC Telecom urges investors to review in detail the risks and uncertainties contained within its filings with the Securities and Exchange Commission.

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