Ann: Appendix 4C - quarterly, page-5

Here's what I have my attention on Dej.

In the past year the company have highlighted that the board have reduced in size (refer to announcement dated 30/08/13) as well as a 15% reduction in remuneration by Mr. Foster and Mr. Boyatzis. Note also that Finance Director Mr. Seng Kwa also reduced his time and remuneration by approximately 50%.

The company have increased business with existing clients, the number of ATMs (soon to be 2300) and also contract renewals.

The company have signed a MoU and a Binding Term Sheet with Salt all within a matter of three months.

So what do we now have? As highlighted in the Annual Report (29/07/2014), TSI India should continue to grow as a result of its cash position & the Indian Investment Partners business relationships. Note, company recently achieved cashflow positive levels refer to Annual Report (29/07/2014).

The Independent Investment Research Report (January 2014) highlighted that whilst the company view TSN as a potentially high growth investment, with revenue growth exceptionally strong, TSN are still yet to translate this to earnings.

To address certain issues, the company will need to increase:

1. The number of ATMs online. Tick.

2. The number of banks online. Fingers crossed soon.

3. Transaction volume per day/per ATM. As a result of #1 this should be achievable.

4. Transaction volume per year. As a result of #1 this should be achievable.

5. Percentage revenue fee. Hopefully we get to hear more on this front.

The company would also need to:

* Renegotiate ATM contracts with banks. We can see this is starting to take place.

* Improve margins. As highlighted in the Operations Update dated 20/03/14, "TSI India believe cost reduction initiatives will assist in addressing margins as the  business and ATM market expands".

* Cut costs. Tick.

The company as we now know are taking excellent strides to achieve these objectives.

Proof...today's quarterly report is a start.

Improved quarter.

$2,356,000 (Total cash at end of this qtr) divided by $233,000 (Net operating cash flow) = 10.11 quarters worth, as things stand right now.

The market just has to adjust its time frame that's all.

Onwards and upwards TSN.

Tony