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November 11th, 2008

Alternet Systems, Inc. Announces Transtech Sino America Inc.’s Partnership with Banrural for E-Transaction and Mobile Solutions

MIAMI, FLORIDA- Nov 11, 2008 - Alternet Systems, Inc. (OTCBB: ALY I ) today announced that their joint venture with Tianjin IC Card Public Network Systems Co. LTD (TCPS), Transtech Sino America, Inc. has finalized a partnership with Banrural (www.banrural.com), the largest bank in Guatemala with the largest number of bank branches. In the partnership, Banrural will serve as Transtech’s financial partner for E-transaction, E-ticketing and mobile payment solution projects in Guatemala and the surrounding region, with an initial focus on mass transportation e-ticketing solutions. Transtech will benefit from a variety of financial services Banrural provides, including trust managements, cash collection and sales channels through Banrural’s extensive network of ATM’s. Initially, Banrural’s ATM network will be used as a recharge point of sale system for prepaid bus fare collection. Additionally, the Banrural partnership may provide key financing to Transtech’s fleet replacement initiative in Latin America, providing high efficiency and low emission liquid petroleum gas (LPG) buses to municipalities with aging or inefficient bus fleets. The partnership has the potential for additional expansion to include utilities prepayment and municipal services.

Transtech: Alternet’s Strategic Partnership with TCPS in Latin America

Through their joint venture Transtech, Alternet Systems is TCPS' strategic partner in Latin America. TCPS chose Alternet Systems for their experience in Latin America and for their proprietary wireless e-transaction capabilities, which are complementary to TCPS' contactless card and financial terminals. TCPS is a large, established company based just outside of Beijing in Tianjin, China, providing urban mass transportation fare collection with proven contactless card and terminal solutions that have been developed and implemented in the most populated country in the world. TCPS is currently the market leader in China, with more than 57% of the market served. Currently, TCPS' systems are used in 76 cities and process prepaid fares for more than 300 million people. TCPS has issued more than 100 million contactless cards, has proprietary technology in the fare collection industry and has set up a post graduate Research and Development facility in partnership with Hebei Industry University.

Alternet’s E-Transaction Solutions in Latin America

The Company is currently working on E-transaction solutions in Latin America, with the initial focus on providing E-ticketing solutions for the mass transportation industry. The Company chose Latin America for several reasons, including its high annual growth rate, large population, dependence on public transportation and lack of formal banking for many residents.

Some highlights of Alternet's E-transaction business model include:

-- Establishing a recurring revenue foundation through the Company's E- Transaction solution by processing 24 million E-Tickets within the first year following the solution roll out.

-- Sales campaign to market Alternet's mobile (cell phone and PDA) transaction services to support electronic payment transactions in the financial, telecommunications, and utility industries.

-- Strategic partnerships with established industry leaders to provide additional technology enhancements such as video and voice security, prepaid fare collection and green technology for mass transportation fleets

-- The benefits to potential clients using e-transactions, including reduced "bad debts," improved operational and administrative activity, increased payment flexibility and improved cash flow.

Webcast Highlighting Latin American Expansion, Second Quarter Results and $24 Million 2009 Revenue Goal Available Online

CEO Henryk Dabrowski recently conducted a Webcast to discuss the second quarter 2008 and year-to-date earnings results, an update on operations, the company’s E-ticketing solutions and expansion in Latin America.

Further highlights of the Webcast include:

• Focus on mobile and e-ticketing transactions
• Strategic partnerships with partners in China and Singapore
• Mobile transaction processing for pre-paid cell phones and utilities
• Expansion into additional markets in Latin America
• Business development initiatives underway in the Caribbean Basin
• Imminent announcement of first milestone contract
• 2009 revenue goal of $24 million

An archive of the Webcast is available at http://www.investorcalendar.com/IC/CEPage.asp?ID=133304.

ALYI Corporate Fact Sheet

A Fact Sheet highlighting the Company's recent acquisition of TekVoice Communications, E-Transaction technology, mass transportation management services and strategic partnerships is now available.

If you are interested in receiving a copy of the Fact Sheet call 214-556-5927 or send an e-mail to Red River Advisors at [email protected].

About Alternet Systems (www.alternetsystems.com)

Alternet Systems Inc. (OTC BB: ALYI.OB - News) provides: telecommunications services; education and health-care application software and systems; and electronic transaction platforms for the mass transportation and utility markets. Alternet Systems Inc. is a U.S. corporation headquartered in Miami, Florida.

Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the Company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.