Press Release

Year 2006 / Monday July 17, 5:30 am ET

FreeStar Technology Corp.'s Subsidiary Rahaxi Processing Oy. to Market Hypercom's Optimum Point-of-Sale Terminals in Finland

Finnish EMV Certification Achieved, Extends Hypercom's T2100 Into New Market

DUBLIN, Ireland, July 17 /PRNewswire-FirstCall/ -- FreeStar Technology Corp. (OTC Bulletin Board: FSRT - News), an international card payments processor and technology company, today announced that its Finnish-based, wholly owned subsidiary, Rahaxi Processing Oy., has received the Finnish EMV certification required to sell Hypercom's Optimum T2100 card payment terminal (Hypercom Corp. NYSE: HYC) in Finland, and is commencing product sales immediately.

Rahaxi Processing will be the first distributor of the T2100 in Finland, giving local merchants access to a high-speed terminal capable of supporting traditional magnetic stripe cards, more secure chip and PIN transactions, and value-added applications such as gift and loyalty cards in the same device.

EMV is the standard created by Europay, MasterCard and VISA International to ensure that all Europay, MasterCard, and VISA branded smart cards and all smart card reading terminals work together to deliver global interoperability and enhanced security. Chip and PIN technology is being implemented in Finland to increase security by using smart cards in tandem with Personal Identification Numbers (PINs).

"The Finnish EMV certification of Hypercom's T2100 strengthens Rahaxi Processing's line of secure EMV-card transaction processing hardware and software products with a terminal that has clear advantages for a variety of merchant environments," said FreeStar Technology CEO Paul Egan. "The combination of speed, chip and magnetic stripe card support, and multi-application capabilities promises to make the T2100 an important part of Rahaxi Processing's offerings."

"Rahaxi Processing has been an important Hypercom partner in Finland for two years and has helped us build a terminal base in that country that now exceeds 80,000 units," said O.B. Rawls IV, senior vice president, International Sales, Hypercom Corporation. "Its commitment and the securing of Finnish EMV certification for our Optimum T2100 will provide the opportunity for us to penetrate the market even further, take advantage of local chip and PIN opportunities, and continue to drive our sales in this region."

Hypercom's Optimum T2100 is a high-speed 32-bit EMV 4.0 and Visa PED-certified device with an integrated EMV-compliant smart card reader, built-in printer, large memory to accommodate multiple applications, internal PIN security, support for multiple languages and currencies, hand-over countertop design and graphical interface that guides customers through transactions with clear prompts.

"We believe the EMV certified, full point-to-point payment terminal and our close co-operation with Hypercom will attract significant new business," said Jyrki Matikainen, sales manager, Rahaxi Processing. "With this certification, Rahaxi Processing adds to its already extensive range of EMV-certified payment processing solutions and services, giving the company the ability to reach a much wider client base as the migration to chip and PIN usage is gaining rapidly in the region."

For global merchants with mobile needs, Hypercom offers the Optimum M2100 mobile payment terminal, which uses wireless GSM or GPRS communications to transact payments for mobile businesses such as pizza delivery, sporting events, market traders, shopping kiosks and taxis.

About FreeStar Technology Corporation

FreeStar Technology Corp. is a payment processing company. Its wholly owned subsidiary Rahaxi Processing Oy., based in Helsinki, has a robust Northern European BASE24 credit card processing platform. Rahaxi currently processes in excess of 1.8 million card payments per month for such companies as Finnair, Ikea and Stockmann. FreeStar is focused on exploiting a first-to- market advantage for its Enhanced Transactional Secure Software, which is a software package that empowers consumers to consummate e-commerce transactions with a high level of security using credit, debit, ATM (with PIN) or smart cards. The company, based in Dublin, Ireland, maintains satellite offices in Santo Domingo, Dominican Republic, Helsinki and Geneva. For more information, please visit http://www.freestartech.com or http://www.rahaxi.com.

About Hypercom

Global payment technology leader Hypercom Corporation (NYSE: HYC - News) delivers a full suite of high security, end-to-end electronic payment products and services. The company's solutions address the high security electronic transaction needs of banks and other financial institutions, large scale retailers, smaller merchants, quick service restaurants, and users in the transportation, healthcare, prepaid, unattended and many other markets. Hypercom solutions enable businesses in more than 100 countries to securely expand their revenues and profits.
http://www.hypercom.com

Forward Looking Statements

Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. When used in this press release, the words "expects," "anticipates," "believes," "plans," "will" and similar expressions are intended to identify forward-looking statements. These are statements that relate to future periods and include, but are not limited to, statements regarding our adequacy of cash, expectations regarding net losses and cash flow, statements regarding our growth, our need for future financing, our dependence on personnel, and our operating expenses. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the companies, are forward-looking statements that involve risks and uncertainties. Forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, those discussed above as well as risks set forth above under "Factors That May Affect Our Results." These forward-looking statements speak only as of the date hereof. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Technical complications that may arise could prevent the prompt implementation of any strategically significant plan(s) outlined above. The companies caution that these forward-looking statements are further qualified by other factors including, but not limited to, those set forth in FreeStar's Form 10-KSB filing and other filings with the U.S. Securities and Exchange Commission (available at http://www.sec.gov). FreeStar undertakes no obligation to publicly update or revise any statements in this release, whether as a result of new information, future events, or otherwise.

For more information, please contact:

FreeStar Technology Corporation,
Paul Egan
Tel: 809-368-2001
E-mail: pegan@freestartech.com
or
Investor Relations:
Stern & Co.
Arun Chakraborty
Tel: 212-888-0044
E-mail: achakrab@sternco.com

Source: FreeStar Technology Corporation