[June 11, 1999]

LHS Group Completes Acquisition Of Priority Call Management

LHS Group Inc. and Priority Call Management, Inc. announced the completion of the acquisition of Priority Call.

Under the terms of the merger agreement, all shares and options of Priority Call will be exchanged for approximately 5.2 million fully diluted LHS shares. Based on LHS' June 9, 1999 closing price of $29.13 per share, the transaction is valued at approximately $151 million.

"We are pleased to have this second LHS acquisition completed and to include Priority Call's products in our global marketing strategy", states Hartmut Lademacher, LHS Chairman of the Board, CEO.

The acquisition brings LHS a commercially proven prepaid and enhanced services solution for our wireless and wireline customers worldwide. The combined companies generated 1998 revenues of approximately $194 million and employed a global workforce of more than 1,400.

When integrated with LHS' BSCS, Priority Call's ORYX platform will allow LHS' existing and new customers worldwide to offer numerous differentiated services, such as prepaid calling, credit/debit card calling, enhanced messaging and one-number "follow me" services. These value-added services will help LHS customers retain subscribers, increase current revenue per subscriber, attract new customers, and increase network usage. The Priority Call platform and application suite will continue to be offered on a stand-alone basis.

"One way we've consistently talked about increasing the value of LHS is through strategic acquisitions," said Hartmut Lademacher, Chairman and CEO. "Prepaid solutions are playing an increasingly important role in the future of mobile services. This investment furthers the strategic growth of LHS, allowing us to give customers pre-paid functionality now. The acquisition of Priority Call Management is another step toward our goal of becoming an end-to-end solution provider for the global telecommunications industry."

"Joining forces with LHS is a tremendous opportunity for Priority Call," said Andrew D. Ory, founder and chief executive officer of Priority Call. "We are excited about the opportunities this acquisition provides for both companies. By combining two strong companies with similar strategic philosophies, Priority Call will instantly expand its global presence, and LHS will gain additional, value-added functionality to offer its global customers. We look forward to working successfully with the LHS management team and to continuing to serve our customers by providing them expanded product solutions."

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