FUT The Futura Loyalty Group Inc.

The Futura Loyalty Group Inc. (TSX VENTURE: FUT) ("Futura" or the "Company") has closed the second tranche of an equity financing previously announced on June 30, 2011 by way of a private placement of an aggregate of 3,000,000 units ("Units") at a price of $0.05 per Unit for gross proceeds of $150,000 (the "Second Closing"). The Second Closing was completed on July 15, 2011 (the "Closing Date"). Each Unit consists of one common share of the Company (a "Common Share") and one Common Share purchase warrant (a "Common Share Warrant"). Each Common Share Warrant entitles the holder to purchase one Common Share at a price of $0.10 for a period of 5 years from the Closing Date. The gross proceeds from the Second Closing are intended to primarily be used to fund ongoing sales and operations.

All of the securities issued on the Closing Date are subject to restrictions on resale until November 16, 2011 as prescribed under applicable securities laws and the policies of the TSX Venture Exchange ("TSXV"). The private placement is subject to final approval by the TSXV. After giving effect to the Second Closing, an aggregate of 182,915,651 Common Shares are issued and outstanding.

The Company also announced that it has reached an agreement with it debt holders to extend the maturity date until August 31, 2012 of certain promissory notes (as set out in a press release dated April 21, 2009) in consideration of an increase in the annual interest rate from 12% to 15% and certain convertible debentures (as set out in a press release dated February 17, 2009) in consideration of an increase in the annual interest rate from 10% to 13%. The total principal amount of convertible debentures is currently $1,432,403, down $257,400 from the original principal amount of $1,689,803 as a result of certain debenture holders electing to convert their debentures into Common Shares. All other terms of the debentures remain the same. The extension is subject to the final approval of the TSXV. The Company has also secured a further extension of the loan as set out in a press release dated May 4, 2011 from December 28, 2011 until August 28, 2012.

About Futura Loyalty Group

The Futura Loyalty Group Inc. is an industry-leading provider of branded loyalty reward currencies, private branded loyalty programs and targeted marketing solutions using email, mobile, direct mail and the web. Futura's loyalty services include member account set up, management and reward redemption platform, a web-based program transaction reporting interface for merchants, a robust offer management system, retail POS Integration for card swipe issuance and a proprietary web based issuance solution. For more information regarding Futura Loyalty Group, visit www.tflg.ca.

Forward-Looking Statements

This news release includes certain forward-looking statements that are based upon current expectations, which involve risks and uncertainties associated with our business and the environment in which the business operates. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking statements, including those identified by the expressions "anticipate", "believe", "plan", "estimate", "expect", "intend" and similar expressions to the extent they relate to the Company or its management. The forward looking statements are not historical facts, but reflect the Company's current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations, including any risks and uncertainties described herein, as well as the risks and uncertainties detailed in our final long form prospectus dated November 29, 2005 filed with the regulatory authorities.

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

Contacts: The Futura Loyalty Group Inc. Mark Farrell CEO 416-775-3160 mfarrell@tflg.ca www.tflg.ca