Compliance Systems Corporation Issues CEO Letter to Shareholders

GLEN COVE, N.Y.--(Business Wire)--
Chairman & CEODean Garfinkel of Compliance Systems Corporation (OTCBB: COPI),
issued a shareholder letter that highlights recent corporate accomplishments and
developments.

Esteemed shareholders, friends and followers of Compliance Systems Corporation:

Although we all realize this has been a difficult business environment, the
positive news from COPI is that revenues from our Enhanced Caller ID product
have not been adversely affected by the downturn and, in fact, we are seeing a
significant interest from the market that would lead us to believe that we can
look for an uptick in this revenue stream.

We added to our online series of Guides in December 2008 with the release of our
Canadian Regulatory Guide, which is co-branded with various trade organizations,
one of which is the Canadian Resort Development Association. This provides us
with a very credible presence in the Canadian marketplace.

Our online series of Guides was further expanded with the March 2009 release of
our Charitable Fundraising Regulatory Guide, which is co-branded with the
American Teleservices Association and the American Resort Development
Association. Unlike our existing guides that are focused on Do-Not-Call related
regulations, the Charitable Fundraising Regulatory Guide is directed towards
fundraising professionals. We believe that this release will result in an
increase in revenues from our Guides business and will provide our company with
access to a new and significant market for our core suite of products and
services.

As you may know, we have been working very closely for the past year with one of
the country`s largest telephone carriers, implementing our TeleBlock products
and services across the carrier`s entire network. Over the past few months, this
carrier has been making available our TeleBlock products and services under its
"controlled introductory phase" and we have been advised that they expect to
commercially launch the TeleBlock service later this month. We believe that,
given the size of this carrier`s customer base, having TeleBlock available for
its worldwide customer base may result in dramatic consequences for COPI.

Although we have many telephone carriers and predictive dialer manufacturers
distributing our TeleBlock product and services, one of the leading IP PBX
telephone manufacturers in the country has integrated TeleBlock into its
telephone system product line. This will be the first telephone system
manufacturer`s product line to be fully integrated with TeleBlock. We expect to
jointly announce the availability of this TeleBlock module shortly. This
integration will immediately allow any of the manufacturer`s existing customers
to utilize TeleBlock.

In our last shareholder communication, we outlined our planned course of action
intended to help our company increase revenues, broaden its market presence and
accentuate our company`s footprint in the marketplace. As with most businesses,
we were derailed by the economic downturn and the tightened credit markets. Some
economists believe that the U.S. and worldwide economies will begin to recover
by the end of 2009 and our goal is to position ourselves to take full advantage
the anticipated economic turn around.

In October, 2008, we entered into a non-binding memorandum of understanding
("MOU") with a wholesale Voice-over-Internet-Protocol ("VoIP") transport
company, for a combination of cash, promissory notes and securities of our
company. We began our due diligence reviews, retained auditors to audit the
acquisition target`s financial statements, and commenced negotiations and
drafting of the definitive acquisition agreements and related documentation. We
had hoped to consummate the acquisition by the end of the first quarter of 2009,
having expended funds to complete the due diligence and audit of the acquisition
company, along with working towards the finalization of the documents. The
acquisition is currently on hold pending our securing the necessary financing
and/or restructuring the transaction.

We have been working rigorously to create a viable, sustainable company. Certain
of our existing debt have been restructured, we now have a secured line of
credit and we have negotiated extended credit terms with certain material
suppliers, vendors and creditors. We are continuing to seek financing for the
proposed acquisition of the VoIP transport company, along with securing adequate
funding for operations. If we are successful in securing financing, and we
realize our expectations regarding increased TeleBlock revenues attributable to
the imminent launch of this product by the country`s largest telephone carrier,
we believe that by the end of 2009 we will be properly positioned to move
forward in spite of the current economic environment.

However, no assurance can be given that any of our activities to date will
result in increased revenues, our becoming cash flow positive or that increased
revenue will result in net income for our company. In addition, obtaining
financing has proven to be difficult in the present economic environment, even
for Fortune 500 companies, and financing that we may obtain, if any, may not be
on terms favorable to our company. In addition, any equity financing that we may
obtain could result in significant dilution to our present shareholders.

Our Annual Report on Form 10-K for the year ended December 31, 2009 was filed
with the U.S. Securities and Exchange Commission on April 15, 2009. The Form
10-K contains valuable information on our company and is available through the
SEC web site at www.sec.gov. We urge all readers of this letter to review the
Form 10-K in its entirety for a complete understanding of our business, plans
for the future, financial position and results of operations.

On behalf of the Board of Directors and the entire management team, please allow
me to extend my appreciation for your loyalty and continued support over the
years. We remain dedicated to building the company and shareholder value.

Very truly yours,

Dean Garfinkel
Chairman and Chief Executive Officer

Forward-Looking Statements

To the extent that any statements made herein contain information that is not
historical, these statements are essentially forward-looking. Forward-looking
statements can be identified by the use of words such as "anticipate,"
"believe," "continue," "could," "estimate," "expect," "hope," "intend," "may,"
"plan," "potential," "product," "seek," "should," "will," "would" and variations
of such words. Forward-looking statements are subject to risks and uncertainties
that cannot be predicted or quantified and, consequently, actual results may
differ materially from those expressed or implied by such forward-looking
statements.

Public Communications Company
Michael Selsman, 310-553-5732
ms@publiccommunications.biz

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