Transcontinental Sees Strong Improvement in Profitability

For more detailed financial information, please see Management’s Discussion and Analysis for the Second Quarter ended April 30, 2010 at www.transcontinental.com, under “Investors.”

Operating Highlights
Below are the main operating highlights to date.

• In response to growing demand from its customers, Transcontinental enhanced its marketing communications solutions that use new media and digital platforms by acquiring LIPSO Systems on April 30, 2010. LIPSO is a Canadian leader in aggregated mobile solutions encompassing connectivity, transaction management and applications development. This acquisition allows Transcontinental to add several new key services to its marketing communications offering, including cell phone bar-code reading, electronic couponing for retail sales and electronic ticketing for transportation and entertainment.