Cordia Announces Financial Results for First Quarter 2008

Strong Growth in Domestic and International VoIP Revenues -
Approximately 400% increase from Same Period Last Year

CLEC Line Count Increases as Consumers Take Advantage of New
Bundle Pricing Plans
WINTER GARDEN, Fla.--(Business Wire)--
Cordia Corporation (OTCBB: CORG), a global communications service
provider of traditional CLEC and Voice over Internet Protocol ("VOIP")
technologies, announced the financial results for its first quarter
ended March 31, 2008.

The Company reported revenues of approximately $12,016,000 for the
quarter ended March 31, 2008, representing an increase of
approximately $1,779,000 for the same period in 2007. Approximately
$655,000 in reported revenues was related to our international and
domestic VoIP service offerings, representing an increase of
approximately $488,000 from the same period last year.

The Company reported a net loss of approximately $838,000 or
($0.13) per basic and fully diluted share for the period ended March
31, 2008, compared to a net loss of approximately $641,000 or ($0.11)
per fully diluted share for the same period ended 2007.

"While the overall financial results of the first quarter didn't
meet our expectations we are pleased with the continued growth in our
VoIP revenues, which nearly doubled from the previous quarter," said
Joel Dupre, Chief Executive Officer of Cordia Corporation. "We have
had three successive quarters of increased revenues and expect this
trend to continue throughout 2008. Our first quarter numbers were
bolstered by our telemarketing success in Brazil and the expansion of
our agent distribution in Asia. We plan on continuing with our
expansion efforts in Brazil by increasing our internal telemarketing
and expanding our agent network in response to the strong acceptance
of our product offerings throughout the country. If current trends
continue, we expect that our Brazil subsidiary will be profitable by
the fourth quarter of 2008."

Mr. Dupre further stated, "During the first quarter we announced
two key initiatives that we expect will further expand our
international operations. First was the formation of our Indian
subsidiary Cordia LT Communications Private Limited ("Cordia LT"), a
joint venture with LT Overseas Ltd. Cordia LT was granted a 15 year
nationwide license to provide IP Telephony, broadband, and ISP
services throughout India. In addition to recently launching VoIP
service offering in India Cordia LT is currently analyzing wireless
network options such as WiMAX and mobile WiMAX. Second was the
execution of our global reseller and network peering agreement with
Bayan Telecommunications Inc., the second largest wireline provider in
the Philippines. We believe these two initiatives will open up
marketing opportunities in rapidly growing markets with relatively low
levels of market penetration."

"Our increased investment in sales and marketing is paying off as
we have seen a steady increase in our CLEC customer base," said Kevin
Griffo, President of Cordia Corporation. "We ended the quarter with
approximately 6% more customers than the previous quarter.
Contributing to this trend was the recent introduction of our $29.95
bundle, which has been well received in the marketplace. This product
offers true value to consumers who are looking to save money over
comparable products from the incumbent carrier." Mr. Griffo continued,
"In addition to the increase in our customer base, we are equally
pleased with the decrease we have seen in our overall bad debt. The
elimination of our MyTel product, which focused on the secondary
credit market, coupled with the value received on our new $29.95
bundle has lowered bad debt by approximately 39% or $550,000 compared
to the previous quarter."

Mr. Griffo further stated, "The expenses incurred during first
quarter have allowed us to grow our business by increasing our line
counts and lowering the bad debt associated with our discontinued
brand. We believe these costs will have a positive effect on our
business going forward. In addition, we have been able to eliminate
the costs associated with using third party telemarketers and have
introduced new competitively priced calling plans both related to the
integration of the Midwest Marketing acquisition. We believe these
cost reducing processes are promoting a reduction in overall bad debt
and churn resulting in a higher quality customer base and look forward
to building upon these successes in the upcoming quarters."

The Company will host a conference call to discuss the financial
results for the first quarter of 2008 at 4:00 p.m. on Wednesday, May
21, 2008. Anyone interested in participating should dial 800-762-8779
(within the United States) or 480-629-9041 (international)
approximately 5 to 10 minutes prior to 4:00 p.m., and the pass code
for entrance into the conference is 3881289. Playback will be
available until June 5, 2008; to listen to the playback, please call
800-406-7325 (within the United States) or 303-590-3030
(international). The pass code for the replay is 3881289.

This call is being webcast by ViaVid Broadcasting and can be
accessed at Cordia's website at www.cordiacorp.com as well as at Via
Vid's website at www.viavid.net, and can be accessed through the above
links until July 21, 2008. To access the webcast, you will need to
have the Windows Media Player installed on your desktop. For the free
download, please visit:
www.microsoft.com/windows/windowsmedia/download.

About Cordia Corporation

Cordia Corporation, through its operating subsidiaries, Cordia
Communications Corp., CordiaIP Corp., My Tel Co, Inc., Northstar
Telecom, Inc., and Cordia International Corp. offers business,
residential, and wholesale customers local and long distance
telecommunications services in more than sixty (60) countries
utilizing traditional wireline and Voice over Internet Protocol
("VoIP") technologies. In addition, Cordia develops and provides a
suite of proprietary web-based billing software and outsourced
services to local, long distance and VoIP telecommunications
providers.

Safe Harbor

This release contains forward-looking statements that involve
risks and uncertainties. Cordia's actual results may differ materially
from the results discussed in the forward-looking statements. Factors
that might cause such a difference include, among others, availability
of management; availability, terms, and deployment of capital;
Cordia's ability to successfully market its services to current and
new customers, generate customer demand for its product and services
in the geographical areas in which Cordia can operate, access new
markets, all in a timely manner, at reasonable cost and on
satisfactory terms and conditions, as well as regulatory, legislative
and judicial developments that could cause actual results to vary in
such forward-looking statements.

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CORDIA CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS

March 31, December 31,
2008 2007
(unaudited) As Restated
------------- -------------
ASSETS

Current Assets
Cash and cash equivalents $ 434,991 $ 999,039
Cash - restricted 174,627 173,848
Accounts receivable, less allowance for
doubtful accounts of $1,481,205 (2008)
and $2,002,823 (2007) 2,156,097 2,178,984
Prepaid expenses 1,400,644 1,427,093
Loans receivable 341,240 -
Accrued usage receivable 335,349 314,215
------------- -------------

TOTAL CURRENT ASSETS 4,842,948 5,093,179
------------- -------------

Property and equipment, at cost
Office and computer equipment 2,041,857 2,006,879
Computer software 2,230,757 2,059,386
Leasehold improvements 579,331 561,505
------------- -------------
4,851,945 4,627,770
Less: Accumulated depreciation and
amortization 2,554,858 2,237,604
------------- -------------
NET PROPERTY AND EQUIPMENT 2,297,087 2,390,166
------------- -------------

Other Assets
Goodwill 3,398,972 3,398,972
Security deposits and other assets 1,124,150 861,791
Investment in unconsolidated
affiliates 304,085 336,541
------------- -------------
TOTAL OTHER ASSETS 4,827,207 4,597,304
------------- -------------

TOTAL ASSETS $ 11,967,242 $ 12,080,649
============= =============

LIABILITIES AND
STOCKHOLDERS' EQUITY
(DEFICIT)

Current Liabilities
Capital lease obligations, current
portion $ 13,206 $ 12,953
Notes payable, current portion 565,460 557,062
Accounts payable 4,411,757 4,018,814
Accrued expenses 954,174 939,769
Billed taxes payable 8,395,766 8,029,921
Deferred revenue 1,394,395 1,315,900
------------- -------------

TOTAL CURRENT LIABILITIES 15,734,758 14,874,419
------------- -------------

Noncurrent Liabilities
Deferred rent 78,603 82,378
Deferred income tax liability 1,967 2,004
Notes payable, net of current portion 914,250 1,058,804
Capital lease obligation, net of
current portion 21,824 25,221
------------- -------------
TOTAL NONCURRENT LIABILITIES 1,016,644 1,168,407
------------- -------------

COMMITMENTS AND CONTINGENCIES

Stockholders' (Deficit)
Preferred stock, $.001 par value;
5,000,000 shares authorized, none
issued - -
Common stock, $.001 par value;
100,000,000 shares authorized,
6,916,574 shares issued 6,917 6,917
Additional paid-in capital 6,754,207 6,707,581
Comprehensive (loss) (58,481) (48,121)
Accumulated deficit (11,146,034) (10,307,761)
------------- -------------

(4,443,391) (3,641,384)
Less: Treasury stock, at cost, 622,386
(2008) and 589,186 (2007) (340,769) (320,793)
------------- -------------

TOTAL STOCKHOLDERS' (DEFICIT) (4,784,160) (3,962,177)
------------- -------------

TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY (DEFICIT) $ 11,967,242 $ 12,080,649
============= =============
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CORDIA CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)

For the Three Months
Ended
March 31,
2008 2007
------------ ------------
Revenues
Wireline services $11,356,943 $ 9,952,700
VoIP services 654,998 166,994
Business process outsourced services 4,500 117,041
------------ ------------

12,016,441 10,236,735
------------ ------------
Cost of Revenues
Wireline services 6,490,701 5,349,175
VoIP Services 557,400 180,503
------------ ------------
7,048,101 5,529,678
------------ ------------

Gross Profit 4,968,340 4,707,057
------------ ------------

Operating Expenses
Sales and marketing 1,246,289 1,114,941
Bad debts 869,404 595,123
General and administrative 3,291,560 3,130,216
Impairment of goodwill - 284,117
Depreciation and amortization 346,351 250,098
------------ ------------

5,753,604 5,374,495
------------ ------------

Operating Loss (785,264) (667,438)
------------ ------------

Other Income (Expenses)
Other income (expense) (27,065) -
Interest income 1,537 24,742
Interest expense (24,279) (953)
------------ ------------
(49,807) 23,789
------------ ------------

Loss Before Income Taxes and Minority
Interest (835,071) (643,649)

Income tax provision 3,202 -
------------ ------------

Loss Before Minority Interest (838,273) (643,649)

Minority Interest in Loss of Subsidiary - 2,745
------------ ------------

Net Loss $ (838,273) $ (640,904)
============ ============

Basic (Loss) per share $ (0.13) $ (0.11)
============ ============

Weighted Average Common Shares Outstanding 6,296,611 5,620,924
============ ============

Diluted (Loss) per share $ (0.13) $ (0.11)
============ ============

Weighted Average Common and Common
Equivalent Shares Outstanding 6,296,611 5,620,924
============ ============
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Cordia Corporation
Kevin Griffo, 866-777-7777
kgriffo@cordiacorp.com

Copyright Business Wire 2008