NTS, Inc., f/k/a Xfone, Inc. (NYSE Amex/TASE: NTS) (“NTS” or “the Company”) announces results for the three months ended March 31, 2012. Revenue Revenue from the Company’s Fiber-To-The-Premise (FTTP) business grew 38.3% to $4.1 million in the first quarter ended March 31, 2012, as compared to $2.9 million for the same prior year period. FTTP revenue represented 27.3% of total revenue for the first quarter of 2012, as compared to 20.7% of total revenue for the first quarter of 2011. Sequentially, fiber revenues grew 12.5% in the first quarter of 2012 as compared to fiber revenues of $3.6 million in the fourth quarter of 2011. Consolidated revenue for the quarter ended March 31, 2012 was $14.9 million, a 4.7% increase compared to $14.3 million in the quarter ended March 31, 2011, mainly attributed to the growth of our FTTP business. Customer Expansion The Company’s total number of FTTP customers as of March 31, 2012 was 8,053 compared to 6,024 FTTP customers as of March 31, 2011, representing an increase of 33.7%. Average Revenue Per User for all of the Company’s fiber markets is approximately $410 per month for business customers and approximately $100 per month for residential customers. The construction of the NTS FTTP network has continued to progress on time with costs below budget. The PRIDE FTTP network build out is financed by $99.9 million in funds from the Federal Broadband Stimulus Program, of which 45.9% is in the form of grants and 54.1% is in the form of low cost long-term loans. New Market Progress As previously announced, during the first quarter of 2012, NTS began laying fiber in the communities of Tahoka, Lamesa, Plainview, Abernathy and Hale Center, Texas and also began signing up fiber customers in the town of Slaton, Texas. Since the close of the first quarter, NTS began signing fiber customers in the towns of Lamesa, Wilson and Meadow, Texas. The Company now has a fiber presence in 12 communities in Texas and continues to make good progress marketing and signing up triple play subscribers in the new communities it has entered.