VENDTEK ANNOUNCES SALE OF POS TERMINALS TO CANADIAN TIRE

December 12, 2003 – VendTek Systems Inc. (TSX-V: VSI) (“VendTek” or “The Company"), a leading provider of automated transaction technology,
and its wholly owned subsidiary Now Prepay, are pleased to announce an agreement with Canadian Tire Petroleum for Now Prepay POS terminals with e-Fresh software for deployment in their 221 petroleum bars across Canada. With this agreement, Canadian Tire will be able to offer its gas bar customers pre-paid electronic phone cards as part of its convenience store offering.

Now Prepay president Doug Buchanan commented, “This is a major step for
VendTek and Now Prepay. We are thrilled to have Canadian Tire deploy our
terminals and software across Canada. Canadian Tire has major presence in
the Canadian retail market and according to Canadian Tire an estimated 60%
of Canadians shop at Canadian Tire on a monthly basis. Distributing prepaid
products and services electronically is another way that Canadian Tire will
now provide even more top-of-the-line services to their customers.”

To date, Now Prepay has deployed 2300 e-Fresh licensed POS terminal clients in Canada.

For more information, or to receive news and updates as they become
available, please contact Investor Relations at 1-800-806-4958 or
604.940.2239 or via e-mail investment@vendteksys.com.

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

VendTek Systems Inc. develops, markets, and sells e-Fresh, which is a suite of software applications use to electronically distribute prepaid telecommunication products and financial services. Commercialization of
e-Fresh under license is VendTek's strategy to create sustainable and recurring revenues.

VendTek's customers and its subsidiaries, Now Prepay Corp. and VendTek Systems Technologies (Beijing), are using e-Fresh software to build electronic, prepaid services networks which enable consumers to purchase prepaid services via POS and self-serve terminals connected to a central server. This system creates significant value through improved efficiencies compared to the traditional distribution paradigm. e-Fresh reduces shrinkage and inventory requirements while improving consumer access to prepaid services since it is completely electronic and eliminates physical cards and vouchers.

About Canadian Tire www.canadiantire.ca

Canadian Tire Corporation, Limited (TSX: CTR.a, CTR) operates more than
1,000 stores, gas bars and car washes in an inter-related network of
businesses engaged in retail, financial services and petroleum. Canadian
Tire Retail, with 450 stores operated by Associate Dealers across Canada, is the country’s most-shopped retailer, offering a unique mix of products and
services through three specialty categories in which the organization is the
market leader — Automotive, Sports and Leisure, and Home Products.
www.canadiantire.ca offers Canadians the opportunity to shop online.

PartSource is an automotive parts specialty chain with 39 stores designed to meet the needs of major purchasers of automotive parts – professional automotive installers and serious do-it-yourselfers. Canadian Tire Petroleum is one of the country’s largest and most productive independent retailers of gasoline, operating 221 gas bars and 43 car washes. Mark's Work

Wearhouse is a specialty retail organization that operates 315 stores in Canada, selling casual work and work-related apparel and footwear. Canadian Tire Financial Services manages related financial products and services for retail and petroleum customers, and also markets other value-added products to our customers. More than 45,000 Canadians work across Canadian Tire’s organization from coast-to-coast in the enterprise’s retail, financial services, and petroleum businesses.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.