Preferred Voice Receives SystemAcceptance.

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DALLAS--(BUSINESS WIRE)--Aug. 30, 2000

Local Phone Company Completes Network Testing of VIP System

Preferred Voice, Inc. (OTCBB:PFVI) announces the successful installation and customer acceptance of their Voice Integrated Platform System

This installation interconnects a Nortel central office switching system with the Preferred Voice VIP System. The installation provides a variety of voice recognition services to all subscribers within the Loretel local dialing area.

Steven Katka, General Manager of Loretel Systems said, "As I have stated in the past, one of the main purposes for installing a digital central office switch was to provide all of our customers the best service options available, such as voice mail, caller ID, etc. In keeping with this commitment, we will now offer voice-activated services from Preferred Voice." Katka added, "The Preferred Voice relationship has proven to be everything we expected, from revenue sharing to the interface, installation, and professionalism of everyone involved."

Rick Stone, Executive Vice President at Preferred Voice said, "The majority of speech recognition companies boast of providing and interfacing speech recognition into the telephony environment. We know the challenges and the answers to successful deployment within a telephone network. A lot of companies talk a good game; Preferred Voice delivers."

About Loretel Systems

Loretel Systems, Inc., a subsidiary of Alliance Telecommunications and Hector Communications (AMEX:HCT), was founded in 1931. They provide digital telecommunication services to approximately 13,000 access lines in Northwest Minnesota and Eastern North Dakota.

About Preferred Voice

Preferred Voice, Inc., based in Dallas, Texas, is the leading voice recognition technology company, providing services to ILEC, CLEC and wireless companies nationwide. Preferred Voice has developed its Voice Integrated Platform System (VIP) on an industrial grade, fault-tolerant, Windows NT-based server, which combines the company's proprietary software with the natural dialogue speech recognition technology of Philips Speech Processing, a division of Royal Philips Electronics (NYSE:PHG) -- one of the global market leaders in speech recognition. Preferred Voice has signed agreements with telephone carriers that total more than three million subscriber lines. For more information and a live demonstration, please visit: www.preferredvoice.com.