X0202 3 2008-03-26 0 0000781891 LML PAYMENT SYSTEMS INC LMLP 0000851909 MILLENNIUM PARTNERS, L.P. C/O MILLENNIUM MANAGEMENT LLC 666 FIFTH AVENUE, 8TH FLOOR NEW YORK NY 10103-0899 0 0 1 0 0001132413 MILLENCO, L.L.C. C/O MILLENNIUM MANAGEMENT LLC 666 FIFTH AVENUE, 8TH FLOOR NEW YORK NY 10103-0899 0 0 0 1 May be deemed a group member. 0001273087 MILLENNIUM MANAGEMENT, L.L.C. 666 FIFTH AVENUE, 8TH FLOOR NEW YORK NY 10103-0899 0 0 0 1 May be deemed a group member. 0001017456 ENGLANDER ISRAEL A C/O MILLENNIUM MANAGEMENT LLC 666 FIFTH AVENUE, 8TH FLOOR NEW YORK NY 10103-0899 0 0 0 1 May be deemed a group member. common stock, no par value (the "Common Stock") 4000000 D Common Stock 6076 D As of the date of the Form 3, Millennium Partners, L.P., a Cayman Islands exempted limited partnership ("Millennium Partners") is the beneficial owner of 4,000,000 shares of common stock, no par value (the "Common Stock"), of LML Payment Systems Inc. (the "Issuer"), and Millenco LLC, a Delaware limited liability company ("Millenco"), is the beneficial owner of 6,076 shares of the Issuer's Common Stock. Millennium Management LLC, a Delaware limited liability company ("Millennium Management"), is the managing partner of Millennium Partners and the manager of Millenco, and consequently may be deemed to have voting control and investment discretion over securities owned by Millennium Partners and by Millenco. Israel A. Englander ("Mr. Englander") is the managing member of Millennium Management. As a result, Mr. Englander may be deemed to be the beneficial owner of any shares deemed to be beneficially owned by Millennium Management. The foregoing should not be construed in and of itself as an admission by Millennium Management or Mr. Englander as to beneficial ownership of the shares owned by Millennium Partners or by Millenco. Pursuant to a Securities Purchase Agreement, dated as of March 26, 2008, between the Issuer and the Millennium Partners, Millennium Partners acquired 4,000,000 shares of the Issuer's Common Stock at $1.80 per share for total consideration of $7,200,000. Millenco is the beneficial owner of 6,076 shares of the Issuer's Common Stock. David Nolan, Co-President 2008-04-04