YEAR-END REPORT 2009

(NGM: PAY)

(For full report, see attached file)

2009 IN SUMMARY

• The transaction volume in 2009 was SEK 3,089,871 thousand (646,496), an increase of 378 per cent compared to previous year.

• Transaction-based revenue for 2009 was SEK 31,308 thousand (17,188), an improvement of 82 per cent over the previous year.

• Compared to 2008, operating profit/loss before amortization/depreciation strengthened by SEK 25 million to SEK -12,983 thousand (-37,895).

FOURTH QUARTER OF 2009 IN SUMMARY

• The transaction volume in the fourth quarter was SEK 1,007,415 thousand (193,850), an increase of 420 percent compared to the same period of last year.

• Transaction-based revenue for the fourth quarter was SEK 9,263 thousand (4,935), up by 88 per cent over the same period of last year.

• Compared to the fourth quarter of 2008, operating profit/loss before amortization/depreciation rose by SEK 11 million to SEK -498 thousand (-11,521).

SIGNIFICANT EVENTS IN 2009

• Paynova’s revised business model has created sales opportunities that among other things resulted in a volume increase of over 400 per cent in the second quarter compared to the first quarter of the year.

• The now completed cost-cutting programme yielded a significant reduction in total costs starting in the third quarter.

• The effects of the revised business model and cost-cutting programme have resulted in a positive operating cash flow as of September 2009.

• The build-up of operations in the associated company Chinova was started in the second half of the year. Chinova is expected to generate a profit starting in the third quarter of 2010 and to thereby make a significant contribution to Paynova’s earnings as of 2011.

SIGNIFICANT EVENTS AFTER THE END OF THE YEAR

• In connection with the establishment of operations in China, Paynova and Chinova held a well attended seminar in January 2010 to present the opportunities for e-merchants to reach the attractive Chinese market. Parts of Chinova’s business plan were also presented in brief.

• Paynova has a vacancy on its Board of Directors since December 2009, when one of the members resigned from the Board at his own request due to a move abroad. In January 2010 the Nominating Committee, in consultation with the Board of Directors, decided that the vacancy would be filled at the Annual General Meeting on 20 May 2010.

CEO´S COMMENTS

Paynova’s strong volume growth in 2009 is a clear signal that the realignment of our business model has been successful. The combined effects of our completed cost-cutting programme and new business model give us excellent scope to meet our financial target of profitability in 2010. The number of issued price quotes strengthened significantly in 2009, which indicates that this volume growth will continue. Most of 2009 was devoted to the implementation of Paynova’s new business model and although we ourselves adopted the new vision relatively quickly, it takes time for existing and potential customers to make the same adjustment. Since the summer our sales organization has been adapted for our new services and in the second half of the year this started to have a tangible impact among the retailers targeted by Paynova. Our industry is growing more complex and the sales cycles are sometimes long – every new contract has a start-up period before the company can benefit from these volumes. It is therefore vital for Paynova to gain new customers at a healthy pace. In view of our steadily rising price quote backlog and our responsiveness in the dialogue with new merchants, I believe that sales will develop according plan in the coming year. Paynova’s contribution to the establishment of a unique venture in China gives us further reason for confidence.

A few words about Chinova. Chinova offers a secure way for e-merchants in the West to capitalize on the enormous potential of the Chinese market. In order to most effectively handle the scope of the Chinese market, Chinova includes both payment solutions and hosting and marketing services in a single package. Chinova’s services will be a valuable source of support for merchants interested in establishing themselves in the Chinese market. In the past year Paynova devoted considerable effort and invested some SEK 6 million to lay the foundation for Chinova’s operations. Chinova has now taken over responsibility for the ongoing build-up of business activities and future capital procurement. As a result, we can now focus on cooperating in operating sales activities that will give Paynova a financial contribution in the form of transaction revenue during 2010. And it is equally important that Paynova can now free up resources to more actively cultivate the home market in Europe and Scandinavia.

I have previously mentioned new partnerships that will enhance our offering. Several of these projects will be completed in the first quarter of 2010 and will give Paynova one of the most comprehensive ranges of products and services on the market. One especially stellar product is our fraud prevention service, which is visible in the appreciation it has earned from our customers and the fact that more banks are seeking our expertise in this area. Alongside development of our offering, during the spring we are also upgrading our infrastructure including our production system. This will optimize our operating reliability and create more opportunities for forward-looking e-merchants who are not overly concerned with national borders but want to reach consumers outside their already established customer segments.

In conclusion, I would like to thank Paynova’s employees for their far-reaching commitment which has made it possible to boost the company’s performance, quality and ambitions so markedly in such a short period of time.

Stockholm, February 18th 2010

Paynova AB (publ)

Simon Thaning

CEO Paynova

FOR FURTHER INFORMATION, PLEASE CONTACT

Simon Thaning, CEO Paynova

Phone: + 46 8 517 00 14

Mobile: +46 70 787 19 70

Björn Wahlgren, chairman Paynova

Phone: +46 8 517 100 02

Mobil: +46 70 728 74 40

ABOUT PAYNOVA

Paynova is one of the leading suppliers of payment solutions via the Internet. Paynova offers three different services mainly to larger e-retailers, Paynova Sales Partner, Paynova Processing and Paynova Account. In additions to that, Paynova enables western e-retailers to sale their products on the Chinese e-market and a version of Paynova Account that is specially designed for online-gaming, Paynova-InGame. The majority of customers are found in the prioritized segments: travel, retailing and media/network games. The company has been listed on NGM Equity since February 2004. For more information please visit www.paynova.com.