Acies Corporation Announces Financial Results for Fiscal First Quarter of 2008

Record First Quarter Revenues Reported With 12% Increase Over Prior Year

NEW YORK- (BUSINESS WIRE) - August 10, 2007 - Acies Corporation (OTCBB:ACIE), a business services company specializing in providing payment processing services primarily to small- to medium-size merchants across the United States, today announced its financial results for its fiscal first quarter ended June 30, 2007.

Financial Highlights for the Quarter Ended June 30, 2007 Compared to Quarter Ended June 30, 2006:

• Revenues increased 12% to $3,373,139, up from $3,013,179.

• Gross margin was $374,651, as compared with $399,775, decreasing as a result of a greater concentration of merchants in certain lower-margin industries, and a greater proportion of business sourced through the lower-margin indirect sales channel.

• General, administrative and selling ("G&A") expenses totaled $580,134 which represented 17.2% of revenues, compared to $487,772, which represented 16.2% of revenues.

• Net loss increased to $237,293, or $0.00 per share, from a loss of $87,997, or $0.00 per share. The increase was due principally to the decreased gross margin, and interest expense relating to amounts borrowed under our credit facility.

Oleg Firer, President and Chief Executive Officer of Acies, commented, "Although we are pleased with the 12% year-over-year revenue increase for the quarter, we have implemented measures to bring our growth rate back to its historically higher levels. We have made changes in our sales team and strategy, as we continue to focus our efforts on certain industry verticals, including petroleum, supermarkets, restaurants and hospitality. In addition, we have upgraded our operations infrastructure to better complement our marketing strategy and support future growth." Firer added, "I am confident that Acies will be back on track toward our goal of growing revenue to reach profitability as soon as possible."

About Acies Corporation (pronounced "ay-see-us")

Headquartered in New York City, Acies Corporation is a financial services company that, through its wholly owned subsidiary, Acies, Inc., specializes in providing payment processing and online banking services to small, medium, and large-size merchants across the United States. Acies' payment processing services enable merchants to process Credit, Debit, Electronic Benefit Transfer (EBT), Check Conversion, and Gift & Loyalty transactions. Acies also offers traditional and next-generation point-of-sale (POS) terminals, which enable merchants to utilize Acies' payment processing services. Acies' banking services offer customers traditional banking services and the ability for customers to apply for an on-line bank account and pay bills electronically. For more information, visit http://www.aciesinc.com.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: This press release contains or may contain forward-looking statements such as statements regarding the Company's growth and profitability, growth strategy, liquidity and access to public markets, operating expense reduction, and trends in the industry in which the Company operates. The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in the Company's filings with the Securities and Exchange Commission, including the risk factors in its form 10-KSB for the year ended March 31, 2005. The Company assumes no obligation to update these forward-looking statements to reflect actual results, changes in risks, uncertainties or assumptions underlying or affecting such statements, or for prospective events that may have a retroactive effect.

For More Information, Please Contact: 

Acies Corporation Jeffrey A. Tischler Executive Vice President and Chief Financial Officer 212-931-5182 jeff@aciesinc.com