Atlantic Tele-Network (ATNI)

Full Year 2006 Highlights

·                  Revenue increases 52% to $155.4 million

·                  Operating Income increases 41% to $52.3 million

·                  Earnings increase 71% to $23.2 million

·                  Earnings Per Share increase 56% to $1.70

·                  Strong contributions to year-over-year results from acquired businesses

Salem, MA (March 1, 2007) — Atlantic Tele-Network, Inc. (NASDAQ: ATNI) today reported earnings for the quarter and year ended December 31, 2006.  For the year ended December 31, 2006, revenue was $155.4 million, an increase of $53.1 million or 52% as compared to revenue of $102.3 million for the year ended December 31, 2005.    For the year ended December 31, 2006, earnings were $23.2 million as compared to $13.6 million for the same period in 2005, an increase of $9.6 million or 71%.  On a per share basis, earnings increased by 56% to $1.70 per share from $1.09 per share for the year ended December 31, 2005.

Revenue for the quarter was $42.0 million, an increase of $10.6 million or 34% as compared to revenue of $31.4 million for the quarter ended December 31, 2005.  Earnings were $6.6 million as compared to $2.9 million for the quarter ended December 31, 2005, an increase of $3.7 million or 128%.  On a per share basis, earnings increased by 87% to $0.43 per share from $0.23 per share for the quarter ended December 31, 2005.  Excluding the impact of a $2.1 million reserve taken in the fourth quarter of 2005,

earnings for the three months and year ended December 31, 2006, increased $1.6 million and $7.5 million, respectively, or 32% and 48%, respectively.

Per share data for the three months and year ended December 31, 2006 were affected by the Company’s sale in the third quarter of 2.6 million shares of the Company’s common stock at $19.00 per share in an underwritten public offering, from which the Company received $46.3 million in net proceeds.

Share and per share amounts for all periods also reflect the effects of the 5-for-2 split of the Company’s common stock, which took place on March 31, 2006.

“Our main objective for the year was to develop new sources of revenue and growth without negatively impacting earnings.  Thus far, we have exceeded our goals.  This announcement of our full year results for 2006 concludes a very satisfying year” said Michael T. Prior, Chief Executive Officer of Atlantic Tele-Network, Inc.  “Our recently added rural wireless business (Commnet) and New England telephone, data and service provider (Sovernet) both had a strong year.  In particular, the team at Commnet completed an ambitious expansion of our rural wireless network in the Southwest, while continuing to grow multiple sources of revenue from core voice roaming services for major US carriers, to data roaming and roaming for international carriers.  And, we are pleased as well that most of our pre-existing businesses were able to deliver very respectable results for the year.  In Guyana, GT&T managed to grow revenues, operating income and profits despite an increase in cellular competition.   In 2006, we extended coverage and increased the capacity of our GSM network in Guyana and extended the wireline network to new areas as well.  Choice Communications managed to continue to grow revenue and reduce operating losses, reaching our goal of self-funding all cash operating expenses by year-end.”

Mr. Prior added, “Looking ahead, we expect to invest significant additional capital in our U.S. businesses which we believe have attractive opportunities to expand the reach of their networks and add new services. Our main challenge in 2007 appears to be greater competition in Guyana, where the existing nationwide wireless competitor was acquired in late 2006 by a large, aggressive, regional operator.  The increased competition is likely to put pressure on our wireless operating margins and market share in Guyana.  Overall, we expect to grow consolidated earnings in 2007, but do not think the organic growth will be as strong as in 2006.”