Call Genie Inc.

Call Genie Inc.

November 25, 2008 08:30 ET

Call Genie Completes Voluntary Stock Option Surrender Program

TORONTO, ONTARIO--(Marketwire - Nov. 25, 2008) - Call Genie Inc. (TSX:GNE) ("Call Genie" or the "Corporation") today announced the completion of a voluntary stock option surrender program. Under the program, various employees and directors surrendered previously issued stock options for cancellation. The exercise prices associated with those options were in excess of the current trading price of the Call Genie common shares and, in many cases, were significantly in excess of the current market. Management and the directors of Call Genie are of the view that the surrendered options were providing limited motivational benefit for employees. Participation in the option cancellation program was entirely voluntary and no agreements or commitments have been made to holders with respect to the receipt of new options.

The Board approved program resulted in the cancellation of 8,707,666 stock options. Of those cancelled options, 6,230,000 were surrendered by directors and senior officers of the Corporation. The cancelled options, which entitled the holders thereof to purchase up to an aggregate of 8,707,666 common shares of the Corporation, had a weighted average exercise price of $0.77. As a result of the program, the Corporation has recovered approximately $1,225,000 of stock based compensation expense previously recorded in its financial statements. For the nine month period ended September 30, 2008, the Corporation incurred $1,185,846 of stock based compensation expense.

"The Board of Directors remains of the view that stock options encourage Call Genie personnel to act as owners, which helps align their interests with those of the shareholders, and represent an important incentive to employees in their efforts on behalf of the Corporation," stated Richard Devries, Chairman of the Board of Directors of Call Genie. "At this time, the Board of Directors anticipates that stock options will continue to be used to as an incentive to employees."

About Call Genie Inc.

Call Genie is a leading global provider of local mobile search and advertising solutions that connect ready to transact consumers directly with local merchants for local directory businesses, directory assistance services and local media publishers. Call Genie solutions are deployed in 11 countries around the world. Call Genie has been awarded the Excellence in Integrated Ad Management award by the Pelorus Group, has won the Yellow Page Association Industry Excellence Award for Marketing Innovation, the Whitaker Innovation Award, and the 118 Tracker Award for both Technology Innovation in the UK and most recently, Outstanding Contribution to the Industry.

The TSX Exchange has neither approved nor disapproved the contents of this news release.

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