FREEDOMPAY, INC. SECURES $8 MILLION INVESTMENT IN SERIES B ROUND

WAYNE, PA — January 8, 2002 - FreedomPay, Inc., a leading provider of point-of-sale cashless payment and rewards network, today announced that the company has received $8 million in funding from Nokia Venture Partners. This new infusion of capital will be used to support FreedomPay’s continued national expansion of its cashless network for small payment transactions, including the launch of its new system in Canada.

“Over the past two years, FreedomPay has successfully grown its cashless payment network by partnering with customers who benefit by providing cashless payments for their customers where typically a cashless payment method is not available, these include fast food restaurants, corporate cafeterias, convenience stores and vending machines.” said Tom Durovsik, CEO and co-founder of FreedomPay. “With the availability of our turnkey cashless network, merchants that only offered cash as a form of payment can now offer the convenience of cashless coupled with automated rewards.”

“We at Nokia Venture Partners realized the value of FreedomPay’s solutions from the onset of the company and will maintain our support of its expansion efforts nationwide,” said Partner Pete Buhl. “We look forward to assisting them with future growth opportunities.”

In addition to the convenience of cashless payment, FreedomPay allows its customers to gain access to hundreds of rewards, discounts and promotions on many of the products and services they use everyday. FreedomPay is dedicated to developing and sustaining compelling offers that focus on its core values of universal availability, ease of use and significant savings and rewards.

About FreedomPay
FreedomPay, Inc., headquartered in Wayne, PA, is the leading provider of a cashless payment network for ubiquitous, micro-payments utilizing Radio Frequency Identification (RFID) technology. The FreedomPay system offers a reliable low-cost platform through which retailers can provide customers the quickest and most convenient way to pay and reach their customers with highly targeted promotions and rewards at the point-of-purchase. Leading investors include Nokia Corporation’s Nokia Venture Partners, Sun America/AIG and Kellett Investments. For more information about FreedomPay, its partners and how it works, visit www.FreedomPay.com or call 1-888-495-0222.

About Nokia Venture Partners
Nokia Venture Partners is a leading global venture capital firm based in Menlo Park, California. Launched in 1998, Nokia Venture Partners has USD$650 million under management and leads investments in early stage mobile technology companies around the world. The fund is backed by a number of limited partners including BMC Software, CDBWebTech, Goldman Sachs, Nokia, and others, and has a strong track record of leveraging its combined resources, experience and contacts to help build successful mobile businesses. The firm also has offices in Washington DC, London and Helsinki. For more information, visit www.nokiaventurepartners.com.