Access to Money, Inc. Announces Third Quarter 2009 Financial Results

Continued Success in Operational Management and Efficiencies Yields
Improvements in Gross Profit, Adjusted EBITDA and Expenses

CHERRY HILL, N.J., Nov. 12 /PRNewswire-FirstCall/ -- Access to Money, Inc.
(OTC Bulletin Board: AEMI), one of the largest providers and non-bank
operators of ATMs in the United States, today announced its financial results
for the third quarter and nine months ended September 30, 2009. Results from
the Company's April 2008 acquisition of LJR Consulting have been included in
the Company's financial results. Because of the significance of the addition
of the results relating to LJR Consulting, the Company's operating results for
the nine-month period ended September 30, 2009 are not directly comparable to
the results for the nine-month period ended September 30, 2008. However,
third quarter results are directly comparable for the quarters ended September
30, 2008 and 2009.

Highlights for the Third Quarter of 2009:

-- Adjusted EBITDA improved 88.9% to $1.7 million from $0.9 million in
last
year's third quarter, marking the 8th consecutive quarterly
improvement;
-- Gross profit increased 11.4% to $3.9 million from $3.5 million in the
year-ago quarter;
-- Gross profit margins increased 900 basis points to 48.7% from 39.7% in
the third quarter of 2008;
-- Cost of sales decreased $1.1 million or approximately 21.1% to $4.1
million, from $5.2 million in the third quarter of 2008;
-- Strengthened balance sheet with $6.6 million in cash as of September
30,
2009 compared with $4.5 million as of December 31, 2008;
-- Transaction-based sales were $21.8 million compared with $22.9 million
in the year-ago quarter, reflecting the slowdown in the economy and
elimination of underperforming units;
-- Average transaction-based sales per withdrawal transaction improved to
$2.47 from $2.35 in the third quarter of 2008, resulting from the
elimination of poor performing ATMs;
-- Average commission per withdrawal transaction increased to $1.73 from
$1.69 in the third quarter 2008 as a result of increased surcharge
fees;
-- Net transaction-based sales per withdrawal increased to $0.74 from
$0.66
in the third quarter of 2008; and

-- Average number of transacting machines was 11,233 compared with 11,813
in the year-ago third quarter.

Highlights for the Nine Months ended September 30, 2009:

-- Adjusted EBITDA improved approximately 91.3% to $4.4 million from $2.3
million in last year's corresponding nine month period;
-- Gross profit increased approximately 11.0% to $11.1 million from $10.0
million in the year-ago period;
-- Gross profit margins increased 950 basis points to 49.4% from 39.9% in
the first nine months 2008;
-- Cost of sales decreased approximately 24.5% to $11.4 million, compared
with $15.1 million in the corresponding period of 2008;
-- Transaction-based sales improved to $64.4 million compared with $60.8
million in the corresponding period of 2008;
-- Average transaction-based sales per withdrawal transaction improved to
$2.43 from $2.37 in the corresponding period of 2008;
-- Net transaction-based sales per withdrawal were $0.69 compared with
$0.75 in the year-ago nine-month period;
-- Average commission per withdrawal transaction increased to $1.74 from
$1.63 in the first nine months of 2008 as a result of increased
surcharge fees;

-- Average number of transacting machines was 11,329 during the
nine-month
period ended September 30, 2009 compared with 10,584 in the
corresponding period in 2008.

Management Discussion

Richard Stern, President and CEO of Access to Money said, "For the past two
years, our management team has implemented a complete restructuring effort
that included repositioning the portfolio by removing underperforming assets,
improving operating efficiency, reviewing vendor relationships, and
renegotiating contracts. We also identified complementary business partners
and managed the transition towards our core strengths, while focusing on the
sales, service and management of ATMs within the United States. Our
acquisition of LJR Consulting in April 2008, our subsequent integration
efforts, followed by our re-branding into "Access to Money," all contributed
to the significant transformation of our Company, and have helped to set our
strategic direction."

He continued, "Our efforts have resulted in consistent positive improvement in
cash flow, as evidenced by our $2.1 million increase in cash since the end of
last year. Despite the difficult economic conditions, we expect continued
improvements in cash flow. Our cost savings and efficiency measures have
resulted in improvements in gross profits, gross profit margins, adjusted
EBITDA and non-GAAP income, even though the downturn in the economy has
affected our transaction levels."

Mr. Stern added, "With the restructuring efforts behind us, we are
concentrating on making continued improvements to our operations and
differentiating our services in the marketplace. In line with this strategy,
we have implemented initiatives that we believe will offer benefits to both
customers and consumers alike. For example, we have deployed between 25 and
30 Select-A-Branch test locations at various commercial retail sites and have
seen between a 30.0% and 40.0% increase in transactions at these sites. We
remain excited about this technology and its applications across a broader
portfolio of machines. Moreover, this quarter, the first tranche of student
loans for which we provided outsourcing services, were funded by our financial
institution customers."

He concluded, "Our team continues to work on growing our business through new
customer acquisitions, streamlining our existing business, improving our
operations, and evaluating new business services that complement our core
strengths, as we strive to improve shareholder value."

Third Quarter Financial Results

For the third quarter ended September 30, 2009, sales were $23.3 million
compared with $25.2 million for the same period in 2008. Transaction-based
sales for the third quarter were $21.8 million compared with $22.8 million in
last year's third quarter. The decrease in sales is primarily attributable to
the economic slowdown. Machine sales for the quarter were $690,000, a
decrease of $378,000 from last year's third quarter, due to lower demand of
new machines as compared to the prior year period.

Commissions for the third quarter of 2009 were $15.3 million compared with
$16.5 million in the year-ago third quarter. The decrease in commissions
resulted from the Company's reduction of non-profitable machines and lower
transaction volume due to normal attrition between the third quarters of 2008
and 2009.

Cost of sales from operations decreased approximately 21.0% to $4.1 million
during the third quarter of 2009 as compared to $5.2 million during the third
quarter of 2008. The reduction in cost of sales was due primarily to the
reduction in cost of cash, resulting from a change in cash providers,
improvements in third party service vendor communications, and reduced
processing and telecommunications costs from improved contracts with vendors.

Selling, general and administrative expense, which includes stock compensation
expense, decreased by approximately 12.5% to $2.8 million in the third quarter
of 2009 from $3.2 million in the third quarter of 2008. Part of the reduction
in costs was attributable to the Company's restructuring of its workforce and
consolidation of offices.

Operating income for the third quarter of 2009 was $1.1 million, compared with
$235,000 in the third quarter of 2008.

Net loss for the third quarter 2009 was $2.6 million, or $0.12 per share,
compared with a net loss of $1.1 million or $0.05 per share in the third
quarter 2009. Non-GAAP net loss for the third quarter improved to $0.1
million, or $0.01 per share, compared with a non-GAAP net loss of $1.1 million
or $0.05 per share for the 2008 third quarter.

Adjusted EBITDA for the third quarter of 2009 improved 88.9% to $1.7 million,
compared with $0.9 million in the third quarter of 2008.

Nine Month Financial Results

For the nine months ended September 30, 2009, gross sales were $68.7 million
compared with $67.2 million for the same period in 2008. Transaction-based
sales for the nine-month period were $64.4 million compared with $60.8 million
in the year-ago nine-month period. The increase in sales was primarily
attributable to the additional sales from LJR Consulting, which was acquired
in April 2008. Machine sales were $1.6 million for the first nine months of
2009 compared with $2.3 million in the first nine months of 2008, primarily
because of lower consumer demand related to the economic downturn.

Commissions for the first nine months of 2009 were $46.1 million compared with
$42.0 million in the year-ago period, with the increase primarily the result
of the acquisition of LJR Consulting.

Cost of sales from operations improved approximately 24.5% to $11.4 million
during the nine month period ended September 30, 2009 as compared to $15.1
million during the comparable 2008 period, resulting from the same factors
that produced more favorable costs for the third quarter.

Selling, general and administrative expense, which includes stock compensation
expense, decreased by approximately 25.2% to $8.3 million in the nine month
period ended September 30, 2009, from $11.1 million in the comparable 2008
period. The major portion of this reduction was due to a $1.5 million change
in non-cash stock compensation that occurred in 2008 along with reductions of
$676,000 related to accounting and professional fees and $286,000 of lower
outsourced services costs.

Operating income for the first nine months of 2009 was $2.8 million, compared
with an operating loss of $1.1 million in the year-ago nine-month period.

Net loss for the first nine months of 2009 was $6.5 million, or $0.30 per
share, compared with a net loss of $5.2 million or $0.26 per share, in the
first nine months of 2008. Non-GAAP net loss for the nine-month period ended
September 30, 2009 improved to $1.1 million, or $0.05 per share, compared with
a non-GAAP net loss of $5.2 million, or $0.26 per share in the nine-month
period ended September 30, 2008.

Adjusted EBITDA for the first nine months of 2009 improved by approximately
91.3% to $4.4 million, compared with $2.3 million in the first nine months of
2008.

Use of Non-GAAP Measures

This earnings release includes financial information in accordance with U.S.
generally accepted accounting principles ("GAAP"), as well as non-GAAP
financial measures for the three and nine months ended September 30, 2009.

To supplement its condensed consolidated financial statements presented in
accordance with GAAP, the Company uses the following non-GAAP financial
measures: non-GAAP net loss, non-GAAP loss per basic and diluted shares, and
Adjusted EBITDA. The presentation of this financial information is not
intended to be considered in isolation or as a substitute for the financial
information prepared and presented in accordance with GAAP. In addition, the
non-GAAP financial measures included in this press release may be different
from, and, therefore, not comparable to, similar measures used by other
companies. The Company's non-GAAP measures of net loss and loss per basic and
diluted share used in this release exclude valuation adjustments associated
with its outstanding warrants. Its non-GAAP measure of Adjusted EBITDA
removes the impact of its capital structure (interest expense), fair value
adjustment of warrants, asset base (amortization and depreciation),
stock-based compensation expenses, taxes, and certain non-recurring expenses
from its results of operations.

Management believes that these non-GAAP financial measures provide meaningful
supplemental information regarding its performance by excluding certain
expenses and expenditures that may not be indicative of its core business
operating results. It believes that both management and investors benefit
from referring to these non-GAAP financial measures in assessing its
performance when planning, forecasting and analyzing future periods. These
non-GAAP financial measures also facilitate management's internal comparisons
to its historical performance and its competitors' operating results.
Management believes that these non-GAAP measures are useful to investors in
allowing for greater transparency with respect to supplemental information
used by management in its financial and operational decision making.

The tables below present a reconciliation of the non-GAAP net loss, loss per
basic and diluted share amounts, and adjusted EBITDA to the GAAP net loss and
loss per basic and diluted share amounts, the most directly comparable GAAP
measures for the three and nine months ended September 30, 2009.

About Access to Money, Inc.
Access to Money, Inc. is one of the largest providers and non-bank operators
of ATMs in the United States. With more than 12,000 terminals under contract,
its customers range from national specialty stores, retailers and credit
unions to individual convenience stores, and are located throughout all 50
states. Access to Money also provides student loan outsourcing services to
university credit unions throughout the United States.

FORWARD-LOOKING STATEMENTS
This press release contains "forward-looking statements" within the meaning of
Section 27A of the Securities Act of 1933, as amended (the "Securities Act"),
and Section 21E of the Securities Exchange Act of 1934, as amended (the
"Exchange Act"). All statements other than statements of historical facts
included herein, including without limitation, statements regarding our future
financial position, business strategy, budgets, projected sales, projected
costs and plans and objective of management for future operations, are
forward-looking statements. In addition, forward-looking statements generally
can be identified by the use of forward-looking terminology such as "may,"
"will," "expects," "intends," "plans," "projects," "estimates," "anticipates,"
or "believes" or the negative thereof or any variation there on or similar
terminology or expressions. These forward-looking statements are subject to
risks and uncertainties that could cause actual results to differ materially
from results proposed in such statements. Although we believe that the
expectations reflected in such forward-looking statements are reasonable, we
can give no assurance that such expectations will prove to have been correct.
Important factors that could cause actual results to differ materially from
our expectations include, but are not limited to: a decline in ATM transaction
volume or fees, changes in technology standards, regulatory changes, increases
in interest rates, the inability to obtain cash for our ATMs, market
acceptance of our student loan processing services, demand for student loans,
availability of credit, changes in regulations regarding student loans and
financial institutions, and statements of assumption underlying any of the
foregoing, as well as other factors set forth under the caption "Risk Factors"
in our Annual Report on Form 10-K for the year ended December 31, 2008 filed
with the Securities and Exchange Commission and other filings with the SEC.
Readers are cautioned not to place undue reliance on these forward-looking
statements which speak only as of the date of this press release. All written
and oral forward-looking statements attributable to us, or persons acting on
our behalf, are expressly qualified in their entirety by the foregoing. We
assume no duty to update or revise our forward-looking statements based on
changes in internal estimates, expectations, or otherwise or to reflect events
or circumstances after the date hereof.

Financial Tables

Access to Money, Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
(In thousands, except per share amounts)

Three months ended Nine months ended
September 30, September 30,
----------------------- --------------------
2009 2008 2009 2008
-------- -------- -------- --------
Sales $23,319 $25,221 $68,694 $67,158
Commissions 15,291 16,518 46,109 42,041
-------- -------- -------- --------
Net sales 8,028 8,703 22,585 25,117

Cost of sales:
Cost of vault cash 490 998 1,461 3,018
Other 3,627 4,251 9,978 12,089
-------- -------- -------- --------

Gross profit 3,911 3,454 11,146 10,010

Selling, general and
administrative expense 2,769 3,208 8,211 9,463
Stock compensation expense 30 11 95 1,629
-------- -------- -------- --------

Operating income (loss) 1,112 235 2,830 (1,082)

Interest expense and
amortization of debt
issuance costs 1,290 1,358 3,873 2,773
Loss on early extinguishment
of debt - - - 1,456
Other expense (income),
net (13) (244) (107) (302)
Loss on asset disposal 13 182 77 193
Change in fair value of
warrants 2,450 - 5,445 -
-------- -------- -------- --------

Net loss $(2,628) $(1,061) $(6,458) $(5,202)
======== ======== ======== ========

Weighted average common
shares outstanding 21,786 21,486 21,667 19,786

Basic and diluted loss per
share $(.12) $(.05) $(.30) $(.26)

Access to Money, Inc.
Condensed Consolidated Balance Sheets
(In thousands)

(Unaudited) (Audited)
September 30, December 31,
2009 2008
------------- -------------
Assets
Current assets:
Cash $6,628 $4,535
Restricted cash 800 2,012
Accounts receivable, net of allowance of
$284 in 2009 and $684 in 2009 2,868 2,998
Leases receivable, net - 176
Inventories 578 505
Prepaid expenses and other 327 308
Deferred financing costs 259 259
------------- -------------
Total current assets 11,460 10,793

Property and equipment, net 3,104 2,815
Non-current leases receivable, net - 786
Intangible assets, net 1,816 2,120
Goodwill 10,654 10,657
Deferred financing costs, long term 142 337
Other assets 388 593
------------- -------------
Total assets $27,564 $28,101
============= =============

Liabilities and Shareholders' Deficit
Current liabilities:
Accounts payable $6,206 $6,851
Accrued and other expenses 5,789 5,369
Term loans 1,710 2,067
------------- -------------
Total current liabilities 13,705 14,287

Long term liabilities:
Term loans and other debt 17,995 17,032
Warrants 6,938 -
------------- -------------

Shareholders' deficit:
Common stock, $0.001 par value - 70,000
shares authorized; 21,786 and 21,486
shares issued and outstanding at
September 30, 2009 and
December 31, 2008 135,852 145,938
Additional paid-in capital 63 63
Accumulated deficit (146,989) (149,219)
------------- -------------
Total shareholders' deficit (11,074) (3,218)
------------- -------------
Total liabilities and shareholders'
deficit $27,564 $28,101
============= =============

Adjusted EBITDA Reconciliation
(Unaudited)
($millions)

Three months ended Nine months ended
September 30, September 30,
----------------------- --------------------
2009 2008 2009 2008
-------- -------- -------- --------
Net Loss $(2.6) $(1.1) $(6.5) $(5.2)
Add:
Interest expense 1.3 1.4 3.9 2.8
Depreciation and
amortization 0.5 0.5 1.4 1.4
Loss on early extinguishment
of debt - - - 1.5
Non-cash stock compensation
expense - - 0.1 1.6
Loss on asset disposal - 0.1 0.1 0.2
Change in warrant value 2.5 - 5.4 -
----------------------- --------------------
Adjusted EBITDA $1.7 $0.9 $4.4 $2.3

Reconciliation of GAAP to Non-GAAP Net Loss
(Unaudited)
($millions, except per share amounts)

Three months ended Nine months ended
September 30, September 30,
----------------------- --------------------
2009 2008 2009 2008
-------- -------- -------- --------
GAAP net loss $(2.6) $(1.1) $(6.5) $(5.2)
Impact of change in warrant
valuation (2.5) - (5.4) -
----------------------- --------------------
Non-GAAP net loss $(0.1) $(1.1) $(1.1) $(5.2)

Three months ended Nine months ended
September 30, September 30,
----------------------- --------------------
2009 2008 2009 2008
-------- -------- -------- --------
GAAP loss per basic and
diluted share $(0.12) $(0.05) $(0.30) $(0.26)
Impact of change in
warrant valuation (0.11) - (0.25) -
----------------------- --------------------
Non-GAAP loss per basic
and diluted share $(0.01) $(0.05) $(0.05) $(0.26)

SOURCE Access to Money, Inc.

Richard Stern, President & CEO of Access to Money, Inc., +1-856-414-9100; or
Investors, Linda Decker, Vice President of Porter, LeVay & Rose, Inc.,
+1-212-564-4700, for Access to Money, Inc.