SmartCard Marketing Systems Inc.(PINKSHEETS:SMKG) Corporate Update to Shareholders and Investors

SmartCard Marketing Systems Inc. (PINKSHEETS:SMKG) CEO Massimo Barone Stated "We have started 2009 with a good momentum adding 9 New Merchant signups and 19 new Retail Outlets (Groupe Atrium) using the Velocitymoney™ and Velocitymerchant.com platforms for their Card Activations, Card funding, Bill Pay and Pin Debit Online. We are continuing to see moderate growth in transactions month after month with this past weekend surpassing 3800 transactions and 400 average daily transactions during the week generating $4640.00 US in commissions for the week and $1900.00 US in card activations (1 week) totalling $320,000.00 in funds processed. As this segment of our business grows commissions generated from transactions are becoming more significant allowing for the company to limit financing during these market conditions."

Poison Pill Policy Extended

The Board of Directors has extended the duration of the initial Poison Pill put in place last year for an additional 12 months.

Share Structure

At present the company has 200 000 000 shares Authorized and does not intend on increasing the existing structure. Additionally Management and 5 main Investors hold up to 64% of the shares and they have further intentions to continue acquiring shares from the market at these levels.

We seek safe harbor.