Atlantic Tele-Network, Inc. Reports 2003 Full Year Earnings Increase of 29% And 4th Quarter Earnings Increase of 25% Over 4th Quarter 2002

ST. THOMAS, U.S. Virgin Islands--()--March 12, 2004--Atlantic Tele-Network, Inc. (AMEX:ANK) today reported its operating results for the three months and year ended December 31, 2003. ATN reported net income of $3.2 million, or $0.64 per share ($0.64 diluted), for the quarter ended December 31, 2003, compared to net income of $2.6 million, or $0.51 per share ($0.50 diluted), for the quarter ended December 31, 2002, an increase of 25%. Net income for the full year totaled $12.2 million, or $2.44 per share ($2.43 diluted), compared to earnings of $9.5 million, or $1.90 per share ($1.87 diluted), for 2002, an increase of 29%.

For the full year 2003, total operating revenues rose 11% to $78.9 million, as compared to $70.8 million for 2002. Local exchange service revenues contributed nearly $6 million of this roughly $8 million increase, rising 21%. The increase in local exchange service revenues primarily reflects a 48% increase in GT&T's cellular subscribers, which increased from 79,915 on December 31, 2002 to 118,658 on December 31, 2003. For the same periods, GT&T's wireline subscribers (access lines) increased by 7% from 86,245 to 92,683 also contributing to the increase in revenues.

International long distance revenues rose 6% on greater traffic volumes but lower revenue per minute. Income from telephone operations increased to $34.5 million in 2003, as compared to $27.4 million in 2002, an increase of $7.1 million or 26%. The Company was able to improve margins significantly by holding total telephone operating expenses essentially flat, offsetting a 15% increase in general and administrative expenses and an 8% increase in telephone operating expenses with a 24% reduction in international long distance expenses due to lower average outbound termination rates.

Other operations, comprised of Choice Communications and Call Home Telecom in the United States Virgin Islands and Atlantic Tele-Center (ATC) in Guyana, continued to struggle in their development efforts, increasing revenues by 13%, but also increasing expenses resulting in a loss from other operations of $5.5 million, a 9% increase over 2002. Revenues and losses of other operations were adversely affected by writedowns of accounts receivable at Call Home Telecom.

Cellular operations in Bermuda were up 12% for the twelve months ended December 31, 2003, with equity in earnings of BDC rising to $2 million from $1.8 million in 2002. Both increases reflect subscriber growth, as well as careful attention to costs. BDC ended the year with nearly 17,800 subscribers, as compared to approximately 16,600 subscribers at the end of 2002.

Cornelius B. Prior, Jr., Chairman of the Board and Chief Executive Officer of Atlantic Tele-Network, Inc., said: "We are quite pleased with our overall results in 2003. Management of our GT&T subsidiary did an excellent job of keeping expenses in check while growing subscribers and lines. GT&T has publicly announced a goal of adding around 13,000 access lines in 2004, in continuation of our commitment to extend the core telecommunications infrastructure to new communities in Guyana. GT&T has also begun work on adding a GSM overlay to its TDMA system to allow it to offer new services to its customers. While the fourth quarter saw a substantial increase in cellular subscribers due to seasonal promotions, we do not expect to see the same growth of our base in 2004 and we expect incoming competition, which had originally announced plans to be operational in 2003, to begin offering services some time in 2004. Choice Communications, our U.S. Virgin Islands subsidiary, continued strong growth in its wireless CATV business and we believe that the additional investments we are making to expand and improve the network will lead to improved operating performance in 2004."

For the quarter ended December 31, 2003 telephone operating revenues were $21.9 million, an increase of 14% over the fourth quarter of 2002. Both international long distance revenues and local exchange service revenues posted significant increases in the quarter, with local exchange service revenues rising by $1 million or 13% over the fourth quarter of 2002 due to the aforementioned strong cellular subscriber growth and, to a lesser extent, increased access lines in service.

International long distance revenues increased by $1.7 million or 16% over the fourth quarter of 2002. While total minutes of use increased by 34% during the quarter, reflecting both increased cellular subscribers and lines in service, the average revenue per minute was lower due to a continued shift in the mix of traffic and the overall decline in international rates. International long distance revenues for the quarter ended December 31, 2003 includes $750,000 related to traffic generated in prior periods as GT&T received payment on settled disputes with two international carriers.

The Company recorded other income of $826,000 in the fourth quarter of 2003, compared to expenses of $65,000 in the fourth quarter of 2002. This increase is primarily the result of a substantial net foreign exchange gain in the quarter, but a more modest gain for the year, stemming from a decline in the US dollar value of the Guyanese dollar.

Atlantic Tele-Network, Inc. is a telecommunications company with headquarters in St. Thomas, U.S. Virgin Islands. Its principal subsidiary, Guyana Telephone and Telegraph Company, Limited, is 80% owned by ATN and is the national telephone service provider in the Cooperative Republic of Guyana for all local, long-distance and international service. ATN also owns 44% of Bermuda Digital Communications Ltd., doing business in Bermuda as Cellular One, 100% of Choice Communications, LLC, the largest Internet service provider in the United States Virgin Islands and the only wireless TV provider in the USVI, as well as 100% of Atlantic Tele-Center, Inc., a Web-enabled outsourcing call center in Guyana.

This release contains forward-looking statements within the meaning of the federal securities laws. Actual results could differ materially from these statements as a result of many factors, including matters discussed in the Company's Form 10K annual report for the year ended December 31, 2002, and Form 10-Q quarterly reports for the quarters ended March 31, 2003, June 30, 2003 and September 30, 2003, which are on file with the Securities and Exchange Commission.

SCHEDULE A
                     ATLANTIC TELE-NETWORK, INC.
                     Statement of Operations Data
   For the Three and Twelve Months Ended December 31, 2003 and 2002
                (In Thousands, Except Per Share Data)

                               Three Months Ended  Twelve Months Ended
                                  December 31,        December 31,
                                   (Unaudited)         (Unaudited)
                               ------------------- -------------------

                                 2003      2002      2003      2002
                               --------- --------- --------- ---------
Telephone Operations:
 Operating revenues:
   International long-distance
    revenues                    $12,247   $10,538   $42,017   $39,711
   Local exchange service
    revenues                      8,712     7,736    33,483    27,788
   Other revenues                   962     1,018     3,365     3,311
                               --------- --------- --------- ---------
      Total operating revenues   21,921    19,292    78,865    70,810

 Operating expenses:
   International long-distance
    expenses                      1,646     1,938     7,087     9,344
   Telephone operating
    expenses                      8,935     7,750    30,679    28,309
   General and administrative
    expenses                      1,661     1,702     6,637     5,776
                               --------- --------- --------- ---------
      Total telephone
       operating expenses        12,242    11,390    44,403    43,429
                               --------- --------- --------- ---------
      Income from telephone
       operations                 9,679     7,902    34,462    27,381
                               --------- --------- --------- ---------
Other Operations:
   Revenues of other
    operations                      860     1,170     4,422     3,908
   Expenses of other
    operations                    2,872     2,429     9,896     8,916
                               --------- --------- --------- ---------
      Loss from other
       operations                (2,012)   (1,259)   (5,474)   (5,008)
                               --------- --------- --------- ---------
Other Income (expense):
 Interest expense                  (179)     (173)     (424)     (686)
 Interest income                    127       155       511       991
 Equity in earnings of Bermuda
  Digital Telecommunications        382       285     2,030     1,812
 Other income (expense)             826       (65)      631       344
                               --------- --------- --------- ---------
      Total other income
       (expense), net             1,156       202     2,748     2,461
                               --------- --------- --------- ---------
Income before Income Taxes and
 Minority Interest                8,823     6,845    31,736    24,834
Income Taxes                      4,403     3,586    16,008    12,943
                               --------- --------- --------- ---------
Income before Minority
 Interest                         4,420     3,259    15,728    11,891
Minority Interest                (1,227)     (707)   (3,484)   (2,404)
                               --------- --------- --------- ---------
Net Income                        3,193     2,552    12,244     9,487
                               ========= ========= ========= =========
Net Income Per Share:
 Basic                            $0.64     $0.51     $2.44     $1.90
                               ========= ========= ========= =========
 Diluted                          $0.64     $0.50     $2.43     $1.87
                               ========= ========= ========= =========
Weighted Average Common Shares
 Outstanding:
 Basic                            5,024     5,001     5,018     5,000
                               ========= ========= ========= =========
 Diluted                          5,024     5,071     5,033     5,071
                               ========= ========= ========= =========



SCHEDULE B
                     ATLANTIC TELE-NETWORK, INC.
                     Select Operations Statistics
               (In Thousands, Except Access Line Data)

Guyana Telephone & Telegraph Co., Ltd.
 
                                 As of     As of     As of     As of
             2003              12/31/03   9/30/03   6/30/03   3/31/03
                               --------- --------- --------- ---------

Access lines (fixed)             92,683    89,693    88,138    87,057
                               ========= ========= ========= =========

Cellular subscriber lines       118,658   107,807   104,852    92,756
                               ========= ========= ========= =========


                                 As of     As of     As of     As of
             2002              12/31/02   9/30/02   6/30/02   3/31/02
                               --------- --------- --------- ---------

Access lines (fixed)             86,245    83,791    82,043    81,386
                               ========= ========= ========= =========

Cellular subscriber lines        79,915    67,931    57,048    51,244
                               ========= ========= ========= =========


International Long-Distance Traffic:
                                                               Twelve
                                                               Months
         2003                For the Three Months Ended        Ended
                        ------------------------------------  --------
                        12/31/03  9/30/03  6/30/03  3/31/03   12/31/03
                        --------- -------- -------- --------  --------
International Minutes of
 Traffic:
  Inbound                 36,596   29,761   29,820   28,164   124,341
  Outbound                 6,863    6,848    6,331    5,602    25,644
                         -------- -------- -------- --------  --------
    Total international
     Minutes              43,459   36,609   36,151   33,766   149,985

International Minutes of
 Traffic Mix:
  Inbound                   84.2%    81.3%    82.5%    83.4%     82.9%
  Outbound                  15.8%    18.7%    17.5%    16.6%     17.1%
                         -------- -------- -------- --------  --------
    Total International
     Minutes               100.0%   100.0%   100.0%   100.0%    100.0%
                         ======== ======== ======== ========  ========

                                                               Twelve
                                                               Months
         2002                For the Three Months Ended        Ended
                        ------------------------------------  --------
                        12/31/02  9/30/02  6/30/02  3/31/02   12/31/02
                        --------- -------- -------- --------  --------
International Minutes of
 Traffic:
  Inbound                 27,680   26,752   25,475   20,322   100,229
  Outbound                 4,748    4,975    4,644    4,484    18,851
                         -------- -------- -------- --------  --------
    Total international
     Minutes              32,428   31,727   30,120   24,807   119,080

International Minutes of
 Traffic Mix:
  Inbound                   85.4%    84.3%    84.6%    81.9%     84.2%
  Outbound                  14.6%    15.7%    15.4%    18.1%     15.8%
                         -------- -------- -------- --------  --------
    Total International
     Minutes               100.0%   100.0%   100.0%   100.0%    100.0%
                         ======== ======== ======== ========  ========

Contacts

Atlantic Tele-Network, Inc., St. Thomas
Cornelius B. Prior, Jr., CEO, 340/777-8000
or
Michael T. Prior, CFO, 340/715-8233

Contacts

Atlantic Tele-Network, Inc., St. Thomas
Cornelius B. Prior, Jr., CEO, 340/777-8000
or
Michael T. Prior, CFO, 340/715-8233