OTI | On Track Innovations, Ltd. Secured Contactless Smart Card Solutions for Payments, Petroleum and ID

NEWS & EVENTS

OTI Reports FY 2009 Financial Results • Revenues of $31.4 Million ($38.2 Million Including Discontinued Operations) • Gross Margin Increased to 47% • Net Cash Provided by Operating Activities of $5.1 Million • $32 Million in cash, cash equivalents and short terms investments at year end

On Track Innovations Ltd. (OTI) Schedules FY 2009 Conference Call

OTI’s Smart ID Product Powers Israel’s Airport UniPass Program The UniPass Revolutionary Airport Management System was Developed by the Israel Airports Authority

OTI to Present at Needham Annual Growth Conference

OTI Wins Over $30 Million in Contracts for National eID Program Advance Payment Received; Project is Cash Flow Positive

PARX, OTI's Subsidiary, Expands EasyPark(TM) to Montpellier, the 8th Largest City in France

OTI Teams Up to Receive a $17 Million Contract to Provide Solutions and Systems for Electronic Identification Product

OTI Reports Nine Months 2009 Financial Results • Revenues of $26.3 million • Gross margin increased to 44%

Yapi Kredi of Turkey Selects OTI's Contactless Reader to Expand Its Contactless Payments Program Additional Order to a Total of 2,500 Saturn 6000 Readers This Year

SMARTRAC Acquires OTI’s and MCT’s Inlay Manufacturing Assets and Both Parties Signed a Long Term Supply Agreement • SMARTRAC Acquires the Assets of OTI’s Subsidiary MCT and the Machinery and Inlay Production IP from OTI for €8.5 Million (approx. $12.5 Million) in an Asset Deal • The Parties Signed a Supply Agreement that will Fully Secure Delivery for OTI’s Products and Projects • SMARTRAC Becomes OTI’s Exclusive Supplier for Wire-Embedded and Dual Interface Inlays • The Parties Agreed to Settle all Open Patent Disputes

OTI's Wholly Owned Subsidiary in Poland -- ASEC --- Wins Additional Award for 700,000 Multi-Application Contactless Cards From the City of Warsaw Contactless Cards are Used for Public Transportation and Parking Solutions

HuaDa-ZhiBao and OTI Win Supply Contract for China’s Ministry of Foreign Affairs Electronic Passport Chips This Award is in Addition to the Inspection Equipment Award Reported Last Week

China’s Ministry of Foreign Affairs Selects OTI and HuaDa-ZhiBao to Supply Electronic Passport Inspection Equipment Initial Phase Includes 300 Units

DigiCore Selects OTI’s Contactless Reader to Enable Contactless Payments for South African Intermodal Transportation • Initial Order for 4,000 Saturn 6500 Readers Received • Commitment to Procure Further Larger Order Quantities in Subsequent Project Phases

HSBC Bank A.Ş. Launches ‘Advantage Hizz’ Contactless Payments Program Using OTI Product Solutions OTI Supplies Contactless Payment Devices Such as Key Fobs, Smart Stickers and Saturn 6000 Contactless Readers

OTI and Gilbarco Veeder-Root Provide Integrated Contactless Payment Infrastructure for Woolworths “ePump” Program OTI Provides Contactless Reader Solutions and Additional Services

OTI Awarded $4 Million Contract for a Limited Scale First Stage eID System OTI’s Magna™ Platform, Offers an End-to-End Turnkey National eID Solution

ABOUT OTI

Established in 1990, OTI 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 and loyalty programs. 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.