Teletouch Communications Inc. (OTCBB: TLLE) shares galloped ahead 16.7% to 63 cents Monday, on word of two contracts with the state of Texas. Volume for the stock was nearly 7,000 shares, or roughly double its daily average.

A news release July 25 told investors of two multi-year statewide purchasing contracts awarded to Teletouch, along with a report on related current purchase orders received. The first announcement was the approval of Teletouch as the Texas Multiple Award Schedule (TXMAS) contract holder #TXMAS-11-84060 for a term of five years, initially providing public safety products from Whelen® Engineering Company, Inc. Participation for buyers in the TXMAS program is open to all cities and counties, as well as schools and school districts throughout the state of Texas.

The release went on to explain that TXMAS contracts are established as an alternative purchasing method by Texas Procurement and Support Services (TPASS). The TXMAS contracts are developed from and are related to contracts awarded by the federal government. As a result of the Company’s recent General Services Administration (GSA) multi-year contract award, Teletouch was accepted to the TXMAS program for its comprehensive product line of public safety, emergency vehicle lighting and siren equipment.

Teletouch CEO Kip Hyde was quoted in the same release as saying, “The recent awards of these two state purchasing contracts are significantly increasing sales in our public safety equipment division.”

Hyde continued, “Purchase Orders received midway through the first quarter of our current fiscal year 2012 have already exceeded last fiscal year’s total sales of $1.2 million. Our pipeline for the full fiscal year (ending May 2012) appears strong and the division’s sales could have total sales of $6 – $8 million.”

For over 46 years, Teletouch, based in Fort Worth, has offered a comprehensive suite of wireless telecommunications solutions, including cellular, two-way radio, GPS-telemetry and wireless messaging.