Leading low-cost communications company selected as registrar of new domain names; Free domain name pre-registration offered as part of new service offering

HACKENSACK, NJ -- December 2, 1997 -- IDT Corporation (NASDAQ: IDTC), a leading provider of low-cost communications solutions, today announced that its has been selected as a new top-level Internet domain name registrar. This is one in a series of steps by the Company to begin offering high-end value-added Internet services to the corporate market. As an incentive to spark interest in this new development in the Internet industry, the Company is offering free domain name pre-registration so that users worldwide can secure their sites. To pre-register, please visit nic.idt.net.

This new privilege will allow IDT to register domain names in the following new hierarchies: .firm for businesses, or firms .shop for businesses offering goods to purchase .web for entities emphasizing activities related to the World Wide Web .arts for entities emphasizing cultural and entertainment activities .rec for entities emphasizing recreation/entertainment activities .info for entities providing information services .nom for those wishing individual or personal nomenclature

Businesses and residents who once thought it impossible to secure the domain name of their choice will now be able to expand their offerings with the advent of these new domain names, which are specifically categorized for easier surfing on the Web.

"We are proud to have become one of the select companies who have been chosen to register these new domain names. We expect this to be integral in promoting and procuring new Internet, telecom, and Internet telephony business on a global level," said IDTís President Jim Courter. "Few companies are so well-positioned, and we have been working hard to ensure that all divisions within the Company work hand-in-hand to cross market our vast array of low-cost communications services."

Through becoming a domain name registrar, the Company expects to significantly increase its corporate Internet client base in terms of web hosting, web design, and dedicated Internet access. Additionally, the Company expects to procure new corporate telecom business. IDT is currently conducting pre-registration of the above domains pending official commencement of the new gTLD (generic top level domain) registration process. For more information, please visit nic.idt.net.

IDT was selected with two dozen U.S. companies and fewer than 100 companies worldwide as part of the as part of the IANA (Internet Assigned Number Authority) -sponsored expansion of the Internet Domain Name System. The IANA is the central coordinator for the assignment of unique parameter values for Internet protocols, and formed CORE (Council of Registrars), a committee formed to become the successor to the Internic, who formerly conducted all domain name registrations.

IDT Corporation is a diversified telecommunications company with seven years of innovation within the international telecommunications arena offering a variety of wholesale and retail services. The Company routes and resells international long distance services to individuals and businesses in over 225 countries and to telecommunications carriers in the US and overseas. The Company currently has over 400,000 retail customers using an array of services including international long distance, Internet, and Internet telephony services. The Company is a leader in Internet telephony, routing telephone calls over the Internet at substantially reduced rates.

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.