Economic Conditions driving consumer demand for Expedited Payments lift TIO's business



    
    "Record transactional revenue and expense reductions position TIO for
    profitable growth"
    

    BURNABY, BC, Sept. 23 /CNW/ - TIO Networks Corp., (TSX-V: TNC), North
America's leading multi-channel expedited bill payment processor is pleased to
provide an update of activities since its Q3 financial report ended April
30th, 2008. The network continues to experience substantial increases in
transactions, payment volumes and transactional revenues. In August the
company processed a record 558,000 transactions worth more than $45 million
US.
    In the fourth quarter of TIO's fiscal year ended July 31, 2008 management
undertook an in-depth review of its operations and reduced G&A expenses to
reflect its new "processing-centric" business model. Strong growth in
transactional revenue, gross margins, reduced G&A and reduced capital
expenditures have positioned TIO to deliver positive EBITDA results in its
current quarter of operations, Q1, 2009 and the best annual financial
performance as a bill payment processor in the history of the Company.
    The Company has identified a behavioral change in the bill paying habits
of US consumers in the face of the ailing US economy. A growing demographic is
paying at the last minute and using expedited payments as a tool to manage
cash flow and steer clear of costly late fees. This behavioral change is
leading to increasing consumer awareness and interest in TIO's premium priced
expedited bill payment services. This growing interest has enabled the company
to increase a number of its transaction rates, which has improved gross
margins.
    This consumer demand for expedited payments is creating business momentum
for TIO's services within the payment Industry and helping drive the rapid
growth of The TIO Network. From April 30th to June 20th, the number location
end-points in TIO's processing network had grown 150% from approx 4,000 to
over 10,000 location end-points. Subsequent to June 20, 2008, the Company
added another 600 end-points to its network.
    The Company continues to develop new opportunities to grow the network
through 3rd party self-service and clerk assisted networks. It is also working
on further unlocking the value of its expedited bill payment relationships by
processing to online and bank-based consumers.

    About TIO Networks

    TIO is the leading multi-channel expedited bill payment processor serving
the largest Telecom, Wireless, Cable and Utility bill issuers in North
America. With over 10,000 endpoints to its processing network, TIO symbolizes
fast, convenient, safe and secure access to expedited payment services. For
more information, please visit www.TIOnetworks.com

    This document contains forward-looking statements based upon current
expectations that involve a number of business risks and uncertainties. These
business risks and uncertainties may cause actual results, events or
developments to be materially different from any future results, events or
developments expressed or implied by such forward looking statements.

    
    The TSX Venture Exchange has not reviewed this news release and does not
    accept responsibility for its adequacy and accuracy.
    

    %SEDAR: 00010068E




For further information:

For further information: John Lewis, Business Development - TIO
Networks, Tel: (416) 364-2266, Email: jrlewis@TIOnetworks.com


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