United American Corp. (UAMA)

[DUCKY]

United American Corporation Increases Investment in United American Telecom with Re-Launch of CaribbeanOne International Gateway


MONTREAL, CANADA, Apr 7, 2005 (CCNMatthews via COMTEX) -- United American
Corporation (NASD OTCBB:UAMA) (NASD OTCBB:UAMAE) announces the official
re-launch of its CaribbeanOne international gateway in Haiti by its wholly-owned
subsidiary United American Telecom. United American Telecom will replace
Teliphone as UAMA's flagship subsidiary due to the announcement of Teliphone
Inc.'s spin-off effective April 15, 2005.

"2004 represented a year of significant investment and focus for United American
Corp. on the Teliphone subsidiary, resulting in a highly valuable asset created
entirely from within United American Corp. The asset's spin-off represents an
incredible dividend opportunity for UAMA shareholders. Now that Teliphone has
its own management team and has demonstrated its independence from the parent
company, it is time for United American Corp. to re-focus on the incubation of
additional value-creating assets in the exploding Voice over Internet Protocol
(VoIP) marketplace". Says Benoit Laliberte, United American Corp.'s President &
CEO.

Mr. Laliberte adds "since the beginning of 2005, we have re-launched our
international VoIP gateway carrier United American Telecom, which is now fully
operational and cash flow positive. As a result, we will more than triple its
call termination capacity (currently 1.8 million minutes per month) in order to
benefit from the surging demand for call traffic management in Haiti." With this
increased capacity, United American Telecom will become the carrier of choice
for other carriers due to its advanced and fully operational web-based billing
system along with locally installed equipment.

The local infrastructure installation permits United American Telecom to benefit
from the government's incentives to increase investment within the country and
to operate without the burden of higher duties and tariffs due to its status as
a domestic carrier.

United American Telecom has two key initiatives for the short to medium term for
its operations:

- To increase its capacity and presence in other neighbouring countries such as
Santa Domingo, Cuba, Puerto Rico and the Bahamas.

- To launch a pre-paid long distance card product for bundled long distance
minutes sold at the retail level to these communities in the US & Canada.

"The profit margin that currently exists is high enough to support the increased
investment in the additional regions. However, we see the real growth coming
from sales at the retail level which will permit United American Telecom to
significantly increase its profit margin over existing wholesale margins. It is
our intention to approach ex-patriot communities in US & Canadian cities and
offer a cost-competitive pre-paid card product in order to benefit from our
vertical integration." adds Mr. Laliberte.

About United American Corporation

United American Corporation is a holding and management company focused on next
generation Voice over Internet Protocol (VoIP) based telecommunications. The
organization currently has five subsidiaries. Each subsidiary operates in a
specific niche market in a fast growing global worldwide IP-based telephony
network. The company has created a network, which provides services from local
IP-based telecommunication to international telecommunication carriers.
Teliphone(TM), Inc operates sophisticated extended local communication VoIP
central office, while United American Telecom, Inc operates CaribbeanONE(TM), a
state-of-the-art International telecommunication route & gateway. United
American has recently announced the spin-off of its Teliphone subsidiary. For
more information, visit the company website at www.unitedamericancorp.com.

This news release contains forward-looking statements that are subject to
various risks and uncertainties. The Company's actual results could differ
materially from those anticipated in such forward-looking statements as a result
of numerous factors that may be beyond the Company's control. Forward-looking
statements are based on the expectations and opinions of the Company's
management on the date the statements are made, and the Company assumes no
obligation to update forward-looking statements should circumstances in
management's expectations or opinions change.



CONTACT: United American Corporation

Benoit Laliberte

[phone]

[e-mail]

or

United American Corporation

Investors Relations

[phone]

[e-mail]