Our November credit card processing dollar volume increased 119% from the comparable month one year ago, while transaction volume in November grew 95% year-over-year. December experienced similar gains with dollars processed gaining 114% over the comparable month one year ago and transaction volume growing 85% over December 2005.

Volumes for the fourth quarter of 2006 outpaced those of the prior year quarter by 143% for dollars processed and 234% for transactions processed. In 2006, we processed 328% more in transactions and 143% more in dollar volume than we processed in 2005.

Michael Long, CEO of Payment Data Systems, stated, “I am pleased with the growth that we experienced in 2006. As we look into early 2007, with the projected addition of the insurance carrier processing volume, we should be processing transactions at new record levels for our company. It is also customary for me to do a recap of the previous fiscal year along with a look into the coming year. There is a great deal to be excited about as we look into 2007 and I expect we will communicate that review sometime next month.”