The Futura Loyalty Group Inc.

The Futura Loyalty Group Inc.

June 30, 2011 16:21 ET

Futura Announces Financial Results for 1st Quarter 2011 and Provides Results of Annual and Special Meeting of Shareholders

TORONTO, ONTARIO--(Marketwire - June 30, 2011) - The Futura Loyalty Group Inc. (TSX VENTURE:FUT) ("Futura" or the "Company") has released its financial results for the quarter ended March 31, 2011.

Total revenue from operations for the three-month periods ended March 31, 2011 and 2010 was $403,318 and $292,437, respectively, representing a quarter-over-quarter increase of $110,881 or 38%. This increase was largely the result of increased branded loyalty reward currency sales which rose to $287,267 for the first quarter of 2011, compared to $201,408 for the first quarter of 2010.

The net loss from continuing operations for the three-month period ended March 31, 2011 was $264,731 in comparison to a net loss from continuing operations of $579,215 for the same period of 2010. Revenue from the resale of branded loyalty reward currency combined with reduced 2010 operating expenses accounted for a significant portion of the quarter-over-quarter improvement in net loss.

During the first quarter of 2011, the Company signed a multi-year agreement with The Toronto Automobile Dealers Association (TADA), enabling TADA's 340 dealer-members to offer branded loyalty reward currencies to consumers on the purchase or service of vehicles. Also in the period, TADA entered into a multi-year strategic partnership with the Company to build and manage a customizable rewards program that will be offered to its member dealer base. The innovative program enables each individual dealer to incorporate their branding onto all program materials and serves as a powerful marketing tool to derive incremental sales from existing and new customers.

"I am extremely excited about the reception we've gotten from new car dealers since we started marketing to them 8 weeks ago in conjunction with TADA. It seems our loyalty rewards program value propositions of new customers, more frequent visits from existing customers and higher average ticket size is resonating well with dealers," commented Mark Farrell, CEO of Futura, "and we started generating revenue from our first auto dealer customers in May. We are expecting the new auto dealer segment to be a major driver of growth for the Company."

To review the Company's complete first quarter financial statements, please visit or

The Company is also pleased to announce that its annual and special meeting of shareholders ("AGM") took place on June 29, 2011 at which time the shareholders re-elected David Beutel, Mark Farrell, Jon Gill, Terry Rumsey, Ted Dzialowski and David Campbell as directors of the Company. Previous Board member Jeffrey Mandel did not stand for re-election and the Company thanks Mr. Mandel for all of his efforts and advice over the past two years and wishes him well in all of his current and future endeavors. All other resolutions for consideration at the AGM were passed, including the authorization of the Board, should it deem advisable prior to the next annual meeting of shareholders, to consolidate the issued and outstanding shares of the Company (the "Consolidation") on the basis of one new Common Share for every ten existing Common Shares, or such lesser ratio as the Board may determine at the time of Consolidation, if any. At this time, the Board has no current intention to implement the Consolidation and the Consolidation will only be implemented upon a determination by the Board that the Consolidation is in the best interests of the Company at that time. The Company sought shareholder approval for the Consolidation in order to have flexibility with respect to potential business transactions, including any possible future equity financings. The Consolidation, if determined by the Board to be implemented, will be subject to receipt of all necessary regulatory approvals, including acceptance of TSXV.

About Futura Loyalty Group

The Futura Loyalty Group Inc. is an industry-leading provider of branded loyalty reward currencies, private branded loyalty programs and targeted marketing solutions using email, mobile, direct mail and the web. Futura's loyalty services include member account set up, management and reward redemption platform, a web-based program transaction reporting interface for merchants, a robust offer management system, retail POS Integration for card swipe issuance and a proprietary web based issuance solution. For more information regarding Futura Loyalty Group, visit

The TSX-Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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