June 15, 2006 - VendTek Systems Inc. (TSX-V: VSI) ("VendTek" or "The Company"), a leading provider of software for prepaid service distribution, announces revenues of $26,292,000 for the six-month period ending April 30, 2006 an increase of $10,407,000, or 65%, over the $15,886,000 in revenues for the six month period ended April 30, 2005.

Revenues are mostly comprised of prepaid PIN revenue, which totaled $26,102,000 in the first six months of 2006 compared to $15,831,000 in the same period of 2005, an increase of 65%. License and engineering revenues increased by $92,000 to $102,000 in Q2 2006 compared to $10,000 in Q2 2005. This increase of 920% was due to specialized engineering services being required by a customer as well as software licenses issued for a new customer. Systems and parts sales of $88,000 in the quarter, compared to $45,000 in the same period of 2005, are up by 95% because of increased parts orders from VendTek's legacy vending machine customers and more server sales.

The increase is primarily the result of continued growth of VendTek's subsidiary Now Prepay Corp. The ongoing installation of POS terminals across Canada for the sale of virtual prepaid telecommunications vouchers and the increase in products available for sale via electronic methods provides increased sales revenues.

The consolidated gross profit for the six month period ended April 30, 2006, increased by approximately 192% to $1,467,000 compared to $503,000 in the same period of 2005. The high revenues and profits generated by Now Prepay accounted for the majority of the consolidated gross profits.

Net income for the six months ended April 30, 2006 was $200,000 compared with the six months ended April 30, 2005 net loss of $377,000. This $577,000 increase was due to the growth of virtual PIN telecommunication sales and supplier offered discounts and rebates. The earnings are offset by increased salaries and stock-based option expenses, telecommunication, office and amortization. The net income per share for Q2 2006 increased to $0.00 compared to ($0.01) for Q2 2005.

"We are very pleased to announce another quarter of profitability and revenue growth to our shareholders. In addition to the commercial progress in the quarter we also benefited from the exercising of the outstanding warrants by our shareholders. This resulted in a major influx of new capital that we put to work immediately to increase our margins through taking advantage of supplier discounts. It also helped us to improve our working capital and balance sheet significantly, "said Paul Brock, President of VendTek. He added, "Also, our customer in the United Arab Emirates launched their business in the quarter and we anticipate seeing the financial results from those operations in our next quarter and certainly in our year end results. We are successfully growing our business and the numbers are demonstrating the success of our strategies. "

Cost of Goods was $24,825,000, or 94% of revenues for the quarter ended April 30, 2006, compared to $15,383,000, or 97% of revenues for the quarter ended April 30, 2005. The low margin is indicative of the virtual prepaid telecommunications industry in which Now Prepay conducts its business. However, increased sales volumes and supplier discount options are expected to continue to improve the margin.

The G&A expenses were $960,000 or approximately 4% of revenues during the six months ended April 30, 2006 compared with $711,000 or 4% of revenues, during the six months ended April 30, 2005. Salaries under G&A increased by 22% when Q2 2006 is compared to Q2 2005 due to management and administrative wage increases. Stock-based compensation is the non-cash based option expense which is allocated between salaries and director's fees and for the first two quarters of 2006 was $140,000. Office, rent, computer expenses and banking fees are down from $141,000 in Q2 2005 to $138,000 in Q2 2006. Accounting and legal expenses decreased by $15,000, or 31%, to $34,000 in Q2 2006 compared to $49,000 in Q2 2005. Travel expenses slightly increased to $25,000 in Q2 2006 compared to $18,000 in Q2 2005.

Sales and marketing expenses increased in Q2 2006 by $103,000 (251%) to $144,000 compared to the Q2 2005 expense of $41,000. Expenses for the six month period ended April 30, 2006 and the six month period ended April 30, 2005 were both less than 1% of revenues. The increase in expense is attributed to a reallocation of wages from G&A to Sales (Q2 2006 - $57,000, Q2 2005 - $3,000) and increased travel (Q2 2006 - $78,000, Q2 2005 - $21,000). There was a reduction in trade show costs of $8,000 in Q2 2006 to $8,000 compared to Q2 2005 expense of $16,000.

The complete statements are available at www.sedar.com.

For further information, please contact Samantha Haynes at 604.805.4653 or 1-800-806-4958 or investment@vendteksys.com.

About VendTek and Now Prepay (www.vendteksys.com / www.nowprepay.com)

VendTek Systems Inc. develops and licenses eFresh™ software and related technologies, which provides electronic distribution of prepaid telecommunication and financial services. VendTek is commercializing the eFresh™ software under license to create sustainable and recurring revenues. VendTek's customers and its subsidiaries, Now Prepay Corp. (in Canada) and VendTek Systems Technologies (in China), are using eFresh™ software to build electronic, prepaid services networks which enable consumers to purchase prepaid services via POS and self-serve terminals connected to a central eFresh™ server. This system creates significant value through improved efficiencies compared to the traditional distribution paradigm. eFresh™ reduces shrinkage and inventory requirements while improving consumer access to prepaid services since it is completely electronic and eliminates physical cards and vouchers.

This release contains forward-looking statements within the meaning of the "safe harbor'' provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The Company assumes no obligation to update any forward-looking information contained in this news release.