Catuity Names Douglas Kilgour as Vice President, Sales and Marketing.

Business/Technology Editors

DETROIT--(BUSINESS WIRE)--April 9, 2002

Catuity, Inc. (NASDAQ: CTTY; ASX: CAT) today announced the appointment of Douglas Kilgour as Vice President, Sales and Marketing. He replaces Rob Kosnick, who has left the company.

Michael V. Howe, President and CEO of Catuity made the announcement noting: "We welcome Doug as Catuity continues to strengthen its management team. He brings a strong background in financial services, e-commerce and smart card marketing to Catuity. He will lead the Catuity sales efforts across all distribution channels. Our software system crosses between the point-of-sale, databases and customer service components and now chip cards, so we need a focused approach in aligning the needs and owners of these functions together."

Kilgour was most recently Vice President for Financial Services at Xdrive Technologies, the leader in enterprise software solutions for content management and business continuity via the Internet. He was also a founder of Smart Card Retail Systems, an innovator in chip-based gift card programs for shopping malls. As Vice President for Operations at Smart Card Retail Systems, Kilgour successfully initiated one of the first non-bank smart card consortiums in the U.S. involving cards, point of sale devices and transaction settlement in a multi-retailer environment.

Kilgour has had senior sales and marketing experience in both Canada and the U.S. and has been a principal in ground breaking Internet, telecommunications and media firms. As Vice President Business Development for Atlanta-based AudioFAX, he led the sales effort for this pioneering company in marketing facsimile technologies developed for Regional Bell Operating Companies. Before leaving Canada for the United States, Kilgour founded and was President of Streetlights, Inc., an out-of-home media company headquartered in Toronto.

He holds a Bachelor of Arts degree from McMaster University in Hamilton, Ontario.

Catuity, Inc. (www.catuity.com) is a leading provider of loyalty software systems. The Catuity software includes an integrated suite of applications that provide loyalty, ticketing, access control and membership. The Catuity Loyalty System is ubiquitous in that it can operate on any device, any card program, and with any payment process, including stored value, smart cards and wireless applications. Catuity unites the brick-and-mortar retailer with the Internet to enable cross-sell capabilities with consistent brand imaging across all channels.

In conjunction with the provisions of the "Safe Harbor" section of the Private Securities Litigation Reform Act of 1995, this release may contain forward-looking statements pertaining to future anticipated projected plans, performance and developments, as well as other statements relating to future operations. All such forward-looking statements are necessarily only estimates of future results and there can be no assurance that actual results will not materially differ from expectations. Further information on potential factors that could affect Catuity, Inc. is included in the Company's Form 10-K, which is filed with the U.S. Securities & Exchange Commission.