IDT Receives S&P Rating
Leading multinational carrier receives B+ rating, highest in its sector,
from Standard & Poor's

Hackensack, NJ -- Oct. 8, 1998
IDT Corporation (Nasdaq:IDTC) today announced that it has received a credit rating of B+ on both the Company and its Senior Notes by Standard and Poor's, two levels above other companies in its sector.

The rating applies to both the Company as well as its $100 million
high-yield debt that was issued in February 1998 at 8 ¾%. The company's
strong operating results, notably its growth in revenues, cash flow and
earnings, help differentiate IDT from its peers.

The Company is pleased to have such a strong rating from one of the premier rating agencies in the world, whose critical analysis of the Company's results further validates the Company's leadership in the emerging multinational carrier group.

"S&P's in-depth analytical insight has proven what we've been trying to
communicate for a long time- that we're one of the leaders in the industry,"
said Ilan Slasky, IDT's Chief Financial Officer. "We're honored with the
recognition."

IDT is a leading emerging multinational carrier that combines its position
as an international telecommunications operator, its experience as an
Internet service provider and its leading position in Internet telephony to
provide a broad range of telecommunications services to its wholesale and
retail customers worldwide. The company provides its customers with
integrated and competitively priced international and domestic long
distance, pre-paid calling cards, Internet access and, through its Net2Phone product offerings, Internet telephony services including Net2Phone Direct, Net2Fax, and Click2Talk. For more information about IDT's Internet telephony services, please visit www.net2phone.com.

Except for historical information, all of the expectations and assumptions
contained in the foregoing are forward-looking statements involving risks
and uncertainties. Important factors that could cause actual results to
differ materially from such forward-looking statements, include, but are not
limited to, the competitive environment for Internet telephony, changes of
rates of all related telco rates and services, legislation that may affect
the Internet telephony industry, IDT's ability to operate the services
described on a large scale commercial level. For additional information
regarding these and other risks associated with the company's business
refer to the company's reports filed with the SEC.