Garanti Bank Wins Prestigious Industry Award with OTI's Smart Sticker

Garanti Technology Wins "Best Innovation in a Loyalty Programme" Award in
Cards & Payments Europe 2008 with Bonus Trink(R) Sticker

FORT LEE, N.J. and ISTANBUL, Turkey, Aug. 18 /PRNewswire-FirstCall/ -- On
Track Innovations Ltd (OTI) (Nasdaq: OTIV), a global leader in contactless
microprocessor-based smart card solutions for homeland security, payments,
petroleum payments and other applications, today announced that Garanti
Technology (GT), an affiliate of Garanti Bank, Turkey's third largest private
bank, won the "Best Innovation in a Loyalty Programme" award at the Cards &
Payments Europe 2008, Europe's leading Cards and Payments conference and expo,
for the "Bonus Trink(R)" Sticker project, based on OTI's smart sticker
contactless payment device.
Bonus Trink, an accredited success story by MasterCard Europe, is the
brand mark of Garanti's contactless suite of payment forms including plastic
cards, watches, key fobs and the above mentioned smart sticker, all supplied
by OTI.
OTI's smart sticker is an entirely self-contained, contactless payment
device that adheres to multiple surfaces including mobile phones, PDAs and
more, obviating the need to carry a separate credit card. The special
configuration and adhesive on the back of the smart sticker makes it easy to
attach to any surface, be it metallic, plastic or other. This feature enables
issuers to add contactless payment capabilities to existing mobile devices
independent of the handset type and model. The smart sticker upgrades products
which are already in circulation, providing a quick time-to-market, cost
effective solution, which assists issuers in increasing market share.
Another aspect that has emerged regarding the Smart Sticker, both in
Turkey and in its initial introduction in the US has been the "cool factor"
especially among university students and the 20-35 year old age group.
Payments are made by placing the smart sticker a few inches away from
OTI's Saturn 6000 contactless reader. The Saturn 6000 contactless reader is a
leading cost-to-performance contactless reader in the market today, certified
by the major financial institutions. OTI has delivered several thousand
readers to Garanti Bank for its Bonus Trink Program.
"Mr. Hunsu Erel, Garanti's innovation enthusiast Chief Executive Officer
for Technology, Operation Services and Marketing, remarked: "Loyalty in
payment systems will never be the same with GT."
Oded Bashan Chief Executive Officer & Chairman of OTI said: "Garanti's
continued commitment to innovation is admirable, as the Cards & Payments
committee recognized. We are proud that OTI's solutions are changing the way
people do business in Turkey and all over the world."
About OTI
Established in 1990, OTI (Nasdaq: OTIV) designs, develops and markets
secure contactless microprocessor-based smart card technology to address the
needs of a wide variety of markets. Applications developed by OTI include
product solutions for petroleum payment systems, homeland security solutions,
electronic passports and IDs, payments, mass transit ticketing, parking,
loyalty programs and secure campuses. OTI has a global network of regional
offices to market and support its products. The company was awarded the Frost
& Sullivan 2005 and 2006 Company of the Year Award in the field of smart
cards.
For more information on OTI, visit www.otiglobal.com, the content of which
is not part of this press release.
About Garanti Technology
A subsidiary of Dogus Group (one of the four Turkish conglomerates) and an
affiliate of Garanti Bank, Garanti Technology (GT) provides services including
technology infrastructure, software development on various platforms, internet
applications, integration, system administration, security management, project
management and office application development to companies particularly in
banking & finance and in automotive, construction, media and tourism sectors.
Safe Harbor for Forward-Looking Statements:
This press release may contain forward-looking statements within the
meaning of the "safe harbor" provisions of the Private Securities Litigation
Reform Act of 1995 and other Federal securities laws. Whenever we use words
such as "believe," "expect," "anticipate," "intend," "plan," "estimate" or
similar expressions, we are making forward-looking statements. Because such
statements deal with future events and are based on OTI's current
expectations, they are subject to various risks and uncertainties and actual
results, performance or achievements of OTI could differ materially from those
described in or implied by the statements in this press release. For example,
forward-looking statements include statements regarding our goals, beliefs,
future growth strategies, objectives, plans or current expectations, such as
those regarding the superiority of our products. Forward-looking statements
could be impacted by market acceptance of new and existing products and our
ability to execute production on orders, as well as the other risk factors
discussed in OTI's Annual Report on Form 20-F for the year ended December 31,
2007, which is on file with the Securities and Exchange Commission. Although
OTI believes that the expectations reflected in such forward-looking
statements are based on reasonable assumptions, it can give no assurance that
its expectations will be achieved. Except as otherwise required by law, OTI
disclaims any intention or obligation to update or revise any forward-looking
statements, which speak only as of the date hereof, whether as a result of new
information, future events or circumstances or otherwise.
OTI Contact: Investor Relations
Galit Mendelson Paul Holm
Vice President of Corporate Relations portfoliopr
201 944 5200 ext. 111 212 888 4570
galit@otiglobal.com paulh@portfoliopr.biz

SOURCE On Track Innovations Ltd

Galit Mendelson, Vice President of Corporate Relations, of On Track
Innovations Ltd, +1-201-944-5200 ext. 111, galit@otiglobal.com, or Investors,
Paul Holm of portfoliopr, +1-212-888-4570, paulh@portfoliopr.biz, for On Track
Innovations Ltd