8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT PURSUANT

TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of Earliest Event Reported) March 6, 2007

ATSI Communications, Inc.

(Exact Name of Registrant as Specified in Its Charter)

Nevada

(State or Other Jurisdiction of Incorporation

1-15687 (Commission File Number)	74-2849995 (I.R.S. Employer Identification No.)
3201 Cherry Ridge, Building C, Suite 300 San Antonio, Texas (Address of Principal Executive Offices)	78230 (Zip Code)

(210) 614-7240

(Registrant’s Telephone Number, Including Area Code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act.

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act

Item 8.01 Other Events

On Monday, March 5, 2007, ATSI Communications, Inc. (the "Registrant") issued a press release announcing that the Company will redeem each share of its Series H Convertible Preferred Stock outstanding on April 26, 2007 (the "Redemption Date") for one (1) share of the Company's common stock. After the Redemption Date, all certificates representing shares of the Series H Convertible Preferred Stock will be deemed to be converted into and to represent the same number shares of common stock. A copy of this press release is being furnished herewith as Exhibit 99.1 and is incorporated herein by reference.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

Exhibit 

Number  Description 

Exhibit 99.1 Press Release, dated March 5, 2007

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

ATSI Communications, Inc.
Dated: March 6, 2007
By:	/s/ Antonio Estrada
	Antonio Estrada
	Corporate Controller

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EX-99.1

EXHIBIT: 99.1

	NEWS RELEASE
	Contact:	Jack Eversull
		The Eversull Group
		972-991-1672
		972-991-7359 (fax)
	E-mail:	jack@theeversullgroup.com
	Web Site:	www.atsi.net

ATSI Announces April 26, 2007 Redemption Date for Series H Convertible Preferred Stock

San Antonio, Texas - March 5, 2007 - ATSI Communications, Inc. (OTC BB: ATSX) announced today that the Company will redeem each share of its Series H Convertible Preferred Stock outstanding on April 26, 2007 (the "Redemption Date") for one (1) share of the Company's common stock. After the Redemption Date, all certificates representing shares of the Series H Convertible Preferred Stock will be deemed to be converted into and to represent the same number shares of common stock.

Holders of the Series H Convertible Preferred Stock will receive a notice of redemption and other necessary documents from American Stock Transfer and Trust Company, Inc. (AST), ATSI's transfer agent. All documents have also been posted on the Company's web site at www.atsi.net.

Each issued and outstanding share of Series H Convertible Preferred Stock is presently convertible at the option of the holder into one and one-half (1 1/2) shares of common stock. The Series H convertible preferred holder may exercise their right of conversion at any time prior to the Redemption Date by submitting their certificate representing shares of Series H Convertible Preferred Stock to American Stock Transfer and Trust Company, Inc. with a request for conversion. All conversion requests must be received on or before April 25, 2007 to be effective. Any certificates received by the transfer agent after the Redemption Date will not receive the conversion premium and will be redeemed for one (1) share of common stock. Shareholders with shares of Series H Convertible Preferred Stock being held at a brokerage firm should send the information to their broker for conversion.

ATSI Communications, Inc. operates through its two wholly owned subsidiaries, Digerati Networks, Inc. and Telefamilia Communications, Inc. Digerati Networks, Inc. is a premier global VoIP carrier serving rapidly expanding markets in Asia, Europe, the Middle East, and Latin America, with an emphasis on Mexico. Through Digerati’s partnerships with established foreign carriers and network operators, interconnection and service agreements, and a NexTone powered VoIP network, ATSI believes it has clear advantages over its competition. Telefamilia Communications provides specialized retail communication services that includes VoIP services to the high-growth Hispanic market in the United States. ATSI also owns a minority interest of a subsidiary in Mexico, ATSI Comunicaciones, S.A. de C.V., which operates under a 30-year government issued telecommunications license.

Except for the historical information contained herein, the matters discussed in this release include certain forward-looking statements, which are intended to be covered by the safe harbor provided by Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. We have identified forward-looking statements by using words such as "expect," "believe," "should," “may,” “intend,” and “anticipate” or words of similar import.Those statements include, but may not be limited to, all statements regarding our management's intent, belief and expectations, such as statements concerning our future and our operating and growth strategy. Although we believe our expectations are reasonable, our operations involve a number of risks and uncertainties, and these statements may turn out not to be true. These risks and uncertainties include the assumption that we will continue as a going business; our inability to predict or anticipate changes in regulations or the actions of domestic and foreign governments; and the continued availability of funds in amounts and on acceptable terms.More detailed information about ATSI Communications, Inc. is available in the Company’s public filings with the Securities and Exchange Commission. We believe that the assumptions underlying the forward- looking statements included in this release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by us or any other person that our objectives and plans will be achieved. All forward-looking statements made in this release are based on information presently available to our management. We assume no obligation to update any forward-looking statements, except as required by law.