Solution Features Panic Button Alert Service For Bus Drivers

TYLER, Texas---July 29, 2005--Teletouch Communications, Inc. (AMEX:TLL), a U.S. leader in wireless messaging and communications today announced the signing of the Duncanville, Texas Independent School District ("DISD") for the "VTrax: Powered by Guidepoint(TM)" fleet tracking system, including emergency panic button alert response services. The DISD is a current customer of Teletouch's Two-Way Radio Systems group.

Teletouch recently began installation of the first group of VTrax units in the DISD's nearly 90-unit bus and van transport fleet. Authorized DISD managers and school personnel will have the ability to track monitored district vehicles online, through any available Internet connection, any time -- day or night. In addition, if an authorized manager can't get to Web access for any reason, Teletouch's 24/7/365 call center is always available for assistance in locating vehicles.

A special feature of the VTrax solution includes a hidden Panic Alert Button for drivers to activate if they or their passengers are in a dangerous or threatening situation. Once an alert is activated, a digital message is sent to Teletouch's call center for dispatch. Operators can then follow the vehicle's movements in real time, simultaneously calling 911, emergency response and the appropriate pre-approved school district personnel.

T. A. "Kip" Hyde, Jr., Teletouch CEO stated, "We are pleased to provide the VTrax solution with the panic alert feature for the Duncanville ISD. This advanced technology service is specifically designed for any potentially at-risk mobile resource. Our response center answers over a million calls per year, and is well equipped to provide complete emergency coordination services, when and if necessary. Plus, VTrax users may call for updates anytime if they are unable to get access online. We applaud the DISD for taking this proactive step on behalf of their students, parents and drivers."

The VTrax: Powered by Guidepoint fleet solution is targeted to small and mid-size enterprises with fleets of 2-to-200 vehicles. Designed with a "less is more" philosophy, VTrax offers the features most desired by small fleet operators, including ignition on/off and history reporting, stop reporting, and location-based tracking.

VTrax: Powered by Guidepoint is completely digital, and operates on the Cingular(R) GSM/GPRS/Edge nationwide network. Teletouch customers can reach the fleet services group by calling toll-free, 888-GPS-FIND (888-477-3463), or by logging on to http://www.teletouch.com/vtrax_login.htm.

About Teletouch

Teletouch Communications, Inc., a proven U.S. leader in wireless messaging and related network management, provides a complete suite of mobile asset tracking solutions using sophisticated, yet cost-effective GPS-based hardware and software products for fleets, hazardous materials and "worker-down" emergency notification applications. In addition to its telemetry business, Teletouch offers two-way radio communications, cellular and wireless messaging services throughout the United States. Teletouch's common stock is traded on the American Stock Exchange under stock symbol: TLL. Additional product, business and financial information for Teletouch is available at www.Teletouch.com.

All statements in this news release that are not based on historical fact are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act 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 (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). 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 "Additional Factors That May Affect Our Business" in the Company's most recent Form 10-K and 10-Q filings. In addition, we operate in a highly competitive and rapidly changing environment, and new risks may arise. Accordingly, investors should not place any reliance on forward-looking statements as a prediction of actual results. We disclaim any intention to, and undertake no obligation to, update or revise any forward-looking statement.

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