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Teletouch Distribution Group – PCI Wholesale Launches Innovative New Interactive Website for Dealer Network

August 21, 2008

Teletouch Communications, Inc. (OTC: TLLE), a leading U.S. cellular, mobile electronics and related services provider, today announced that PCI Wholesale (“PCIW”), the distribution division of Teletouch’s wholly owned subsidiary, Progressive Concepts, Inc., recently launched a new website, www.pciwholesale.com, featuring an innovative, first-in-the-industry interactive Adobe(R) Flash(R)-based user interface for product display, marking a whole new approach to wholesale consumer electronics product placement and sale.

When Teletouch President and Chief Operating Officer, T. A. “Kip” Hyde, Jr. wanted to revamp and update the distribution subsidiary’s long-standing dealer support site, the approach the team took was to create a unique and novel way to showcase key vendors and products, engaging the users in a “real” (aka “as installed”) setting, highlighting key product categories.

Working through a local interactive agency, Teletouch built a custom Flash-based user interface designed to not only showcase PCIW’s traditional automotive products, but also provide users a fun, engaging way to easily navigate through the Company’s extensive product offerings.

The first fully articulated example of the new user interface was for the automotive segment, utilizing the Company’s show truck, “Hawk01″ in a fully interactive mode. The vehicle boasts some of the most advanced car/truck accessories on the market today, from its multimedia receiver and multiple flat screen headrest/overhead video monitors, to its roof-mounted satellite dish, Bluetooth(R) hands-free kit, license-plate back-up camera, 1400-Watt amplifiers, dual sub-woofers, GPS and web-based theft location systems, all fully integrated. Loaded with product, many of PCIW’s key manufacturers are featured, including JVC, Parrot, Myron & Davis, Audiovox, Phoenix Gold, TracVision, Boyo, Metra and others.

To showcase each of the products and components throughout, the website storyboard called for not only extensive photography of the interior and exterior of the vehicle, but also a level of flash animation not typically found in competing wholesale websites. Design requirements also called for connectivity between the new site and the Company’s existing databases. By developing an XML feed to the new site, PCIW can easily maintain product selections to feature on the fly, as well as provide key locations for manufacturers to showcase their latest products online.

Hyde said, “In this initial feature product group, we wanted users to be able to move through the vehicle as if they were seeing it in person. As users go through the site, they can click on virtually any item they see and get the related details and specifications for that product, or easily navigate to all of the products and vendors in the associated product category. Current PCIW dealers can log-in to order, while new dealers can search for product, then sign-up to become a PCIW partner. Traffic to the site has already increased and we look forward to adding new online tools to provide dealers with ever easier ways to order, and learn more about the products we distribute.”

A market leader in both the automotive entertainment and wireless segments for nearly 35 years, PCIW provides the latest in consumer electronics products and services, along with training and support for its dealers for Bluetooth, signal enhancement technologies and other digital advancements for the car, home and office. More information is available at www.pciwholesale.com.

About Teletouch Communications

For more than 40 years, Teletouch has offered a comprehensive suite of telecommunications products and services including cellular, two-way radio, GPS-telemetry, wireless messaging and public safety/emergency response vehicle products and services throughout the U.S. Teletouch’s wholly-owned subsidiary, Progressive Concepts, Inc. (PCI), is a leading provider of AT&T Mobility(R) services (voice, data, entertainment), as well as other mobile, portable and personal electronics products and services to individuals, businesses and government agencies. PCI operates a chain of retail stores and sells under the “Hawk Electronics” brand; through Hawk-branded sub-agents; its own direct sales force and through the Internet at various sites including: www.hawkelectronics.com, www.hawkexpress.com, among others. PCI also operates a national wholesale distribution business, known as PCI Wholesale, which serves smaller cellular and automotive retailers, car dealers and rural cellular carriers throughout the country; Dealers and Retailers see www.pciwholesale.com. Additional information on Teletouch’s Emergency Vehicle Products group can be found at www.teletouchevp.com. Teletouch’s common stock is traded Over-The-Counter on the Pink Sheets electronic exchange under stock symbol: TLLE. Additional information about Teletouch can be found at http://www.teletouch.com.

All registered trademarks and trade names, including Adobe(R) Flash(R), Bluetooth(R) and all other trade names are those of their respective owners, with all rights reserved.

All statements in this news release that are not based on historical fact are “forward-looking statements” within the meaning of the PSLRA of 1995 and the provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. While management has based any forward-looking statements contained herein on its current expectations, the information on which such expectations were based may change. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of risks, uncertainties, and other factors, many of which are outside of our control, that could cause actual results to materially differ from such statements. Such risks, uncertainties, and other factors include, but are not necessarily limited to, those set forth under the caption “Risk Factors” in the Company’s most recent Form 10-K and 10-Q filings, and amendments thereto, as well as other public filings with the SEC since such date. The Company operates in a rapidly changing and competitive environment, and new risks may arise. Accordingly, investors should not place any reliance on forward-looking statements as a prediction of actual results. The Company disclaims any intention to, and undertakes no obligation to, update or revise any forward-looking statement.




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