----

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**SECURITIES      AND EXCHANGE COMMISSION**

**FORM      10-Q**

**QUARTERLY      REPORT UNDER SECTION 13 OR 15(d)**

**OF      THE SECURITIES EXCHANGE ACT OF 1934**

**FOR      THE QUARTERLY PERIOD ENDED **
**MARCH      31, 2006**

**Q      COMM INTERNATIONAL, INC.**

| Utah                                                                          | 87-0674277                                          |
|-------------------------------------------------------------------------------|-----------------------------------------------------|
| (State                or other jurisdiction of incorporation or organization) | (I.R.S.                Employer Identification No.) |

| Yes | |                X                | | No | |__| |
|-----|-------------------------------------|----|------|

| Large                accelerated filer |__| | Accelerated                filer |__| | Non-accelerated                filer |                X                | |
|---------------------------------------------|---------------------------------------|--------------------------------------------------------------------------|

| Yes | |__| | No | |                  X                  | |
|-----|------|----|-----------------------------------------|

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**Q      COMM INTERNATIONAL, INC.**

**QUARTERLY      REPORT ON FORM 10-Q**

**TABLE      OF CONTENTS**

|                       |                                     |                                                                                                                                                                             | **PAGE** |
|----------------------------|------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------|
| **PART                I**  | **FINANCIAL                INFORMATION** |                                                                                                                                                                             |
|                       |                                     |                                                                                                                                                                             |     |
|                       | Item                1.                   | Financial                Statements                                                                                                                          | 3        |
|                       |                                     |                                                                                                                                                                             |     |
|                       |                                     | Unaudited                Condensed Consolidated Balance Sheets as of March 31, 2006 and December                31, 2005                                                         | 3        |
|                       |                                     |                                                                                                                                                                             |     |
|                       |                                     | Unaudited                Condensed Consolidated Statements of Operations and Comprehensive                Loss for                the Three Months Ended March 31, 2006 and 2005 | 4        |
|                       |                                     |                                                                                                                                                                             |     |
|                       |                                     | Unaudited                Condensed Consolidated Statements of Cash Flows for the Three Months                Ended                March 31, 2006 and 2005                        | 5        |
|                       |                                     |                                                                                                                                                                             |     |
|                       |                                     | Notes                to Unaudited Condensed Consolidated Financial                Statements                                                                                     | 6        |
|                       |                                     |                                                                                                                                                                             |     |
|                       | Item                2.                   | Management's                Discussion and Analysis of Financial Condition                and Results of Operations                                                              | 13       |
|                       |                                     |                                                                                                                                                                             |     |
|                       | Item                3.                   | Quantitative                and Qualitative Disclosures About Market Risk                                                                                                        | 21       |
|                       |                                     |                                                                                                                                                                             |     |
|                       | Item                4.                   | Controls                and Procedures                                                                                                                                           | 22       |
|                       |                                     |                                                                                                                                                                             |     |
| **PART                II** | **OTHER                INFORMATION**     |                                                                                                                                                                             |
|                       |                                     |                                                                                                                                                                             |     |
|                       | Item                1.                   | Legal                Proceedings                                                                                                                                                 | 22       |
|                       |                                     |                                                                                                                                                                             |     |
|                       | Item                1A.                  | Risk                Factors                                                                                                                                                      | 22       |
|                       |                                     |                                                                                                                                                                             |     |
|                       | Item                6.                   | Exhibits                and Reports on Form 8-K                                                                                                                                  | 22       |
|                       |                                     |                                                                                                                                                                             |     |

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Table          of Contents

**PART      I - FINANCIAL INFORMATION **

**Item      1. Financial Statements **

**Q      COMM INTERNATIONAL, INC. AND SUBSIDIARIES**

**UNAUDITED      CONDENSED CONSOLIDATED BALANCE SHEETS**

|                                                                                                                                    |   | **For                the Three Months Ended** |        |
|-----------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------|-------------|
|                                                                                                                                    |   | **March                31,****2006**          |        | **December                31, 2005** |   |
| **ASSETS**                                                                                                                              |   |                                          |        |   |   |
| **Current                Assets:**                                                                                                      |   |                                          |        |   |   |
| Cash                and cash equivalents                                                                                                |   | $                                             | 2,160,655   |   | $ | 3,806,904 |   |
| Trade                accounts receivable, net                                                                                           |   |                                          | 791,298     |   |   | 638,725 |   |
| Inventory,                net                                                                                                           |   |                                          | 1,927,564   |   |   | 1,456,937 |   |
| Equipment                held for resale                                                                                                |   |                                          | -           |   |   | 610,000 |   |
| Prepaid                expenses                                                                                                         |   |                                          | 40,033      |   |   | 46,550 |   |
| **Total                Current Assets**                                                                                                 |   |                                          | 4,919,550   |   |   | 6,559,116 |   |
|                                                                                                                                    |   |                                          |        |   |   |   |   |
| **Property                and Equipment, net**                                                                                          |   |                                          | 1,079,656   |   |   | 1,321,564 |   |
|                                                                                                                                    |   |                                          |        |   |   |   |   |
| **Other                Assets:**                                                                                                        |   |                                          |        |   |   |   |   |
| Restricted                cash                                                                                                          |   |                                          | 559,414     |   |   | 532,875 |   |
| Capitalized                software development costs, net                                                                              |   |                                          | 85,674      |   |   | 283,762 |   |
| Intangible                assets, net                                                                                                   |   |                                          | 139,112     |   |   | 24,000 |   |
| Deposits                                                                                                                                |   |                                          | 163,724     |   |   | 162,432 |   |
| **Total                Other Assets**                                                                                                   |   |                                          | 947,924     |   |   | 1,003,069 |   |
|                                                                                                                                    |   |                                          |        |   |   |   |   |
| **Total                Assets**                                                                                                         |   | $                                             | 6,947,130   |   | $ | 8,883,749 |   |
|                                                                                                                                    |   |                                          |        |   |   |   |   |
| **LIABILITIES                AND STOCKHOLDERS’ EQUITY**                                                                           |   |                                          |        |   |   |   |   |
|                                                                                                                                    |   |                                          |        |   |   |   |   |
| **Current                Liabilities:**                                                                                                 |   |                                          |        |   |   |   |   |
| Accounts                payable                                                                                                         |   | $                                             | 406,131     |   | $ | 909,231 |   |
| Accrued                expenses                                                                                                         |   |                                          | 688,347     |   |   | 463,974 |   |
| Capital                lease obligations - current portion                                                                              |   |                                          | 268,235     |   |   | 390,906 |   |
| **Total                Current Liabilities**                                                                                            |   | $                                             | 1,362,713   |   | $ | 1,764,111 |   |
|                                                                                                                                    |   |                                          |        |   |   |   |   |
| **Long                Term Liabilities:**                                                                                               |   |                                          |        |   |   |   |   |
| Related                party obligation, net of unamortized discount of $184,804                                                        |   |                                          | 429,196     |   |   | 390,784 |   |
| Capital                lease obligations, net of current portion                                                                        |   |                                          | 32,095      |   |   | 32,297 |   |
| **Total                Long term Liabilities**                                                                                          |   |                                          | 461,291     |   |   | 423,081 |   |
| **Total                Liabilities**                                                                                                    |   |                                          | 1,824,004   |   |   | 2,187,192 |   |
|                                                                                                                                    |   |                                          |        |   |   |   |   |
| **Commitments                and Contingencies (notes 2, 6, 7, 8, and 11)**                                                             |   |                                          |        |   |   |   |   |
| **Stockholders’                Equity:**                                                                                          |   |                                          |        |   |   |   |   |
| Common                stock, $0.001 par value; 50,000,000 shares authorized, 6,914,795                shares                outstanding |   |                                          | 6,915       |   |   | 6,915 |   |
| Additional                paid-in capital                                                                                               |   |                                          | 35,266,154  |   |   | 35,038,139 |   |
| Accumulated                deficit                                                                                                      |   |                                          | (30,191,988 | ) |   | (28,389,476 | ) |
| Accumulated                other comprehensive income                                                                                   |   |                                          | 52,813      |   |   | 51,747 |   |
| Receivable                from shareholder                                                                                              |   |                                          | (10,768     | ) |   | (10,768 | ) |
|                                                                                                                                    |   |                                          |             |   |   |  |   |
| **Total                Stockholders’ Equity**                                                                                     |   |                                          | 5,132,216   |   |   | 6,696,557 |   |
|                                                                                                                                    |   |                                          |        |   |   |   |   |
| **Total                Liabilities and Stockholders’ Equity**                                                                     |   | $                                             | 6,947,130   |   | $ | 8,883,749 |   |

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Table          of Contents

**Q      COMM INTERNATIONAL, INC. AND SUBSIDIARIES**

**UNAUDITED      CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE      LOSS**

|                                                                                           |   | **For                the Three Months Ended****March                31,** |       |
|------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------|------------|
|                                                                                           |   | **2006**                                                                  |       | **2005** |   |
| **SALES                AND REVENUE**                                                           |   |                                                                      |       |   |   |
| Prepaid                PIN sales                                                               |   | $                                                                         | 12,042,202 |   | $ | 7,934,862 |   |
| Prepaid                PIN fees                                                                |   |                                                                      | 370,785    |   |   | 285,661 |   |
| Product                sales                                                                   |   |                                                                      | 834,344    |   |   | 22,065 |   |
| Processing                and other fees                                                       |   |                                                                      | 151,929    |   |   | 234,672 |   |
| **Total                sales and revenue**                                                     |   | $                                                                         | 13,399,260 |   | $ | 8,477,260 |   |
|                                                                                           |   |                                                                      |       |   |   |   |   |
| **COST                OF SALES AND REVENUE**                                                   |   |                                                                      |       |   |   |   |   |
| Cost                of prepaid PIN sales and fees                                              |   |                                                                      | 10,739,750 |   |   | 6,873,246 |   |
| Cost                of product sales                                                           |   |                                                                      | 805,100    |   |   | 16,950 |   |
| Distribution                commissions and fees                                               |   |                                                                      | 1,805,781  |   |   | 1,832,093 |   |
| **Total                cost of sales and revenue**                                             |   |                                                                      | 13,350,631 |   |   | 8,722,289 |   |
| **Gross                Profit (Loss)**                                                         |   |                                                                      | 48,629     |   |   | (245,029 | ) |
|                                                                                           |   |                                                                      |       |   |   |   |   |
| **OPERATING                EXPENSES**                                                          |   |                                                                      |       |   |   |   |   |
| Selling                                                                                        |   |                                                                      | 352,596    |   |   | 227,365 |   |
| General                and administrative                                                      |   |                                                                      | 1,174,908  |   |   | 1,046,258 |   |
| Non-cash                compensation related to operations                                     |   |                                                                      | 228,015    |   |   | - |   |
| Depreciation                and amortization                                                   |   |                                                                      | 48,889     |   |   | 49,277 |   |
| **Total                operating expenses**                                                    |   |                                                                      | 1,804,408  |   |   | 1,322,900 |   |
| **Loss                from operations**                                                        |   |                                                                      | (1,755,779 | ) |   | (1,567,929 | ) |
|                                                                                           |   |                                                                      |       |   |   |   |   |
| **OTHER                INCOME (EXPENSE)**                                                      |   |                                                                      |       |   |   |   |   |
| Interest                income                                                                 |   |                                                                      | 4,911      |   |   | 6,740 |   |
| Interest                and other expense                                                      |   |                                                                      | (51,644    | ) |   | (20,399 | ) |
| Total                Other Income Expense, net                                                 |   |                                                                      | (46,733    | ) |   | (13,659 | ) |
| Loss                before income taxes                                                        |   |                                                                      | (1,802,512 | ) |   | (1,581,588 | ) |
| Provision                for income taxes                                                      |   |                                                                      | -          |   |   | - |   |
|                                                                                           |   |                                                                      |       |   |   |   |   |
| **Net                Loss**                                                                    |   | $                                                                         | (1,802,512 | ) | $ | (1,581,588 | ) |
|                                                                                           |   |                                                                      |       |   |   |   |   |
| **Basic                and Diluted Net Loss per Common Share**                                 |   | $                                                                         | (0.32      | ) | $ | (0.32 | ) |
|                                                                                           |   |                                                                      |       |   |   |   |   |
| **Basic                and Diluted Weighted Average Common Shares                Outstanding** |   |                                                                      | 5,587,000  |   |   | 4,978,000 |   |
|                                                                                           |   |                                                                      |       |   |   |   |   |
| **OTHER                COMPREHENSIVE LOSS**                                                    |   |                                                                      |       |   |   |   |   |
| Net                loss                                                                        |   | $                                                                         | (1,802,512 | ) | $ | (1,581,588 | ) |
| Foreign                currency translation adjustment, net of tax                             |   |                                                                      | (1,066     | ) |   | 18,977 |   |
|                                                                                           |   |                                                                      |       |   |   |   |   |
| **Comprehensive                Loss**                                                          |   | $                                                                         | (1,801,446 | ) | $ | (1,600,565 | ) |

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Table          of Contents

**Q      COMM INTERNATIONAL, INC. AND SUBSIDIARIES**

**UNAUDITED      CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS**

|                                                                                                      |   | **For                the Three Months Ended** |       |
|-----------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------|------------|
|                                                                                                      |   | **March                31,**                  |       |
|                                                                                                      |   | **2006**                                      |       | **2005** |   |
| **CASH                FLOWS FROM OPERATING ACTIVITIES**                                                   |   |                                          |       |   |   |
| Net                loss                                                                                   |   | $                                             | (1,802,512 | ) | $ | (1,581,588 | ) |
| Adjustments                to reconcile net loss to net cash used in operating                activities: |   |                                          |       |   |   |   |   |
| Loss                on disposal of property and equipment                                                 |   |                                          | -          |   |   | 22,308 |   |
| Depreciation                and amortization                                                              |   |                                          | 552,781    |   |   | 483,535 |   |
| Amortization                of discount on debentures and notes                                           |   |                                          | 38,412     |   |   | - |   |
| Provision                for doubtful accounts                                                            |   |                                          | -          |   |   | 50,000 |   |
| Loss                of partial deposit on handsets                                                        |   |                                          | -          |   |   | 285,005 |   |
| Gain                on equipment held for sale                                                            |   |                                          | 610,000    |   |   | - |   |
| Non-cash                compensation related to options                                                   |   |                                          | 228,105    |   |   | - |   |
|                                                                                                      |   |                                          |       |   |   |   |   |
| **Change in                operating assets and liabilities**                                        |   |                                          |       |   |   |   |   |
| Accounts                receivable                                                                        |   |                                          | (224,263   | ) |   | (93,195 | ) |
| Inventory                                                                                                 |   |                                          | (470,627   | ) |   | 161,385 |   |
| Prepaid                expenses                                                                           |   |                                          | 6,518      |   |   | (140,474 | ) |
| Accounts                payable                                                                           |   |                                          | (503,100   | ) |   | (275,862 | ) |
| Accrued                liabilities                                                                        |   |                                          | 224,373    |   |   | 103,994 |   |
| Other                assets                                                                               |   |                                          | (1,292     | ) |   | (66 | ) |
|                                                                                                      |   |                                          |       |   |   |   |   |
| **Net                Cash Used in Operating Activities**                                                  |   |                                          | (1,270,005 | ) |   | (984,958 | ) |
|                                                                                                      |   |                                          |       |   |   |   |   |
| **CASH                FLOWS FROM INVESTING ACTIVITIES**                                                   |   |                                          |       |   |   |   |   |
| Change                in restricted cash                                                                  |   |                                          | (26,539    | ) |   | (14,236 | ) |
| Purchase                of Intangible assets                                                              |   |                                          | (135,395   | ) |   | (6,494 | ) |
| Purchase                of property and equipment                                                         |   |                                          | (87,603    | ) |   | (814,857 | ) |
| Capitalized                software development costs                                                     |   |                                          | (4,900     | ) |   | (26,874 | ) |
|                                                                                                      |   |                                          |       |   |   |   |   |
| **Net                Cash Used by Investing Activities**                                                  |   | $                                             | (254,437   | ) | $ | (862,461 | ) |
|                                                                                                      |   |                                          |       |   |   |   |   |
| **CASH                FLOWS FROM FINANCING ACTIVITIES**                                                   |   |                                          |       |   |   |   |   |
| Cash                received from subscription receivable                                                 |   | $                                             | -          |   | $ | 1,114,763 |   |
| Proceeds                from issuance of related party notes payable and warrants                         |   |                                          | -          |   |   | 500,000 |   |
| Payments                on capital lease obligations                                                      |   |                                          | (122,873   | ) |   | (119,263 | ) |
|                                                                                                      |   |                                          |       |   |   |   |   |
| **Net                Cash Provided by Financing Activities**                                              |   |                                          | (122,873   | ) |   | 1,495,500 |   |
|                                                                                                      |   |                                          |       |   |   |   |   |
| Net                decrease in cash and cash equivalents                                                  |   |                                          | (1,647,315 | ) |   | (351,919 | ) |
| Effect                of foreign-exchange-rate changes on cash                                            |   |                                          | 1,066      |   |   | (18,281 | ) |
| Cash                and cash equivalents, beginning of year                                               |   |                                          | 3,806,904  |   |   | 773,052 |   |
|                                                                                                      |   |                                          |       |   |   |   |   |
| **Cash                and cash equivalents, end of year**                                                 |   | $                                             | 2,160,655  |   | $ | 402,852 |   |
|                                                                                                      |   |                                          |       |   |   |   |   |
| Supplemental                Disclosures of Cash Flow Information:                                         |   |                                          |       |   |   |   |   |
| Cash                paid during the period for:                                                           |   |                                          |       |   |   |   |   |
| Interest                                                                                                  |   | $                                             | 54,816     |   | $ | 19,106 |   |
| Income                taxes                                                                               |   |                                          | -          |   |   | - |   |

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Table          of Contents

**Q      COMM INTERNATIONAL, INC. AND SUBSIDIARIES**

**NOTES      TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

*Basis      of Presentation*

*Nature      of Business*

*Consolidation*

*Accounting      Estimates*

*Definite-life      intangible assets*

*Net      Loss Per Common Share*

*Realization      of assets - *

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Table          of Contents

*Stock      Options*

|                                                                                                                                                             |   | For                the Three Months EndedMarch                31, 2005 |       |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------|------------|
| Net                loss, as reported                                                                                                                             |   | $                                                                      | (1,581,588 | ) |
| Plus                stock-based employee compensation expense included in reported net                loss,                net of related tax effects            |   |                                                                   | -          |   |
| Less                stock-based employee compensation expense determined under fair value                based method for all awards, net of related tax effects |   |                                                                   | (183,443   | ) |
|                                                                                                                                                             |   |                                                                   |       |   |
| Pro                forma net loss                                                                                                                                |   | $                                                                      | (1,765,031 | ) |
|                                                                                                                                                             |   |                                                                   |       |   |
| Basic                net loss per common share, as reported                                                                                                      |   | $                                                                      | (.32       | ) |
| Pro                forma net loss per common share                                                                                                               |   | $                                                                      | (.36       | ) |

*Reclassifications*

*Recently      Enacted Accounting Standards*

*Accounting      for Certain Hybrid Financial Instruments — an amendment of FASB      Statements No. 133 and 140.*
*Application      of Statement 133 to Beneficial Interests in Securitized Financial      Assets.*

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Table          of Contents

|                                                                                            |   | March                31, |       | December                31, |   |
|-------------------------------------------------------------------------------------------------|--------|--------------------------|------------|-----------------------------|--------|
|                                                                                            |   | 2006                     |       | 2005                        |   |
|                                                                                            |   |                     |       |                        |   |
| Point                of sale terminals and related items - in service                           |   | $                        | 1,825,352  |                        | $      | 1,821,225 |   |
| Office                and computer equipment                                                    |   |                     | 572,141    |                        |   | 488,665 |   |
|                                                                                            |   |                     |       |                        |   |   |   |
| Total                cost of depreciable equipment                                              |   |                     | 2,397,492  |                        |   | 2,309,809 |   |
| Accumulated                depreciation and amortization                                        |   |                     | (1,464,457 | )                           |   | (1,134,947 | ) |
|                                                                                            |   |                     |       |                        |   |   |   |
| Property                and equipment in service, net                                           |   |                     | 933,035    |                        |   | 1,174,943 |   |
| Point                of sale terminals and related items - not placed in                service |   |                     | 146,621    |                        |   | 146,621 |   |
|                                                                                            |   |                     |       |                        |   |   |   |
| Total                                                                                           |   | $                        | 1,079,656  |                        | $      | 1,321,564 |   |

| Terminal                equipment |   | $      | 14,605  |   |
|-----------------------------------|--------|--------|---------|--------|
| Customer                locations |   |   | 135,395 |   |
|                              |   |   |    |   |
| Total                             |   | $      | 150,000 |   |

| Customer                locations             |   | $      | 135,395 |   |
|-----------------------------------------------|--------|--------|---------|--------|
| Less:                accumulated depreciation |   |   | (11,283 | )      |
|                                          |   |   |    |   |
| Total                                         |   | $      | 124,112 |   |

| 2006   |   | $      | 62,056  |   |
|--------|--------|--------|---------|--------|
| 2007   |   |   | 67,698  |   |
| 2008   |   |   | 5,641   |   |
|   |   |   |    |   |
| Total  |   | $      | 135,395 |   |

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Table          of Contents

| Capitalized                software development costs, net, December 31, 2005 |   | $      | 283,762    |   |
|------------------------------------------------------------------------------------|--------|--------|------------|--------|
|                                                                               |   |   |       |   |
| Capitalized                software development costs, March 31, 2006         |   |   | 2,634,659  |   |
| Accumulated                amortization                                            |   |   | (2,548,985 | )      |
|                                                                               |   |   |       |   |
| Capitalized                software development costs, net, March 31, 2006    |   | $      | 85,674     |   |

| **Year                Ending December 31:**                   |   |   |     |
|---------------------------------------------------------------|--------|--------|----------|
| 2006                                                          |   | $      | 276,530  |   |
| 2007                                                          |   |   | 10,630   |   |
| 2008                                                          |   |   | 10,630   |   |
| 2009                                                          |   |   | 10,630   |   |
| 2010                                                          |   |   | 9,744    |   |
|                                                          |   |   |          |   |
| Total                                                         |   |   | 318,164  |   |
| Less                interest and other costs             |   |   | (17,834  | ) |
|                                                          |   |   |          |   |
| Present                value of future minimum lease payments |   |   | 300,330  |   |
| Less                current portion                           |   |   | (268,235 | ) |
|                                                          |   |   |          |   |
| Long-term                portion                              |   | $      | 32,095   |   |

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Table          of Contents

| **Year                Ending December 31:** |   |   |    |
|---------------------------------------------|--------|--------|---------|
| 2006                                        |   | $      | 115,000 |   |
| 2007                                        |   |   | 148,000 |   |
| 2008                                        |   |   | 158,000 |   |
| 2009                                        |   |   | 19,000  |   |
| Total                                       |   | $      | 440,000 |   |

**Stock      Options - **

|                                   | 2006                    |   | 2005                    |
|----------------------------------------|-------------------------|--------|-------------------------|
| Dividend                yield          | 0%                      |   | 0%                      |
| Expected                life           | 10                years |   | 10                years |
| Expected                volatility     | 86%                     |   | 113%                    |
| Risk-free                interest rate | 4.6%                    |   | 4.3%                    |

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Table          of Contents

|                                                          |   | For                the Three Months Ended |    |
|---------------------------------------------------------------|--------|-------------------------------------------|---------|
|                                                          |   | March                31, 2006             |    |
|                                                          |   | Shares                                    |    | WeightedAverageExercise                Price |   | WeightedAverageRemainingContractual                Term |   | AggregateIntrinsic                Value |   |
| Outstanding                at beginning of period             |   |                                      | 637,334 |   | $ | 4.72 |   |   | 7.7                years |   |   |   |   |
| Granted                                                       |   |                                      | 145,000 |   |   | 2.22 |   |   |   |   |   |   |   |
| Forfeited                                                     |   |                                      | (25,542 | ) |   | 5.35 |   |   |   |   |   |   |   |
| Expired                                                       |   |                                      | (26,458 | ) |   | 5.34 |   |   |   |   |   |   |   |
|                                                          |   |                                      |    |   |   |   |   |   |   |   |   |   |   |
| Outstanding                at end of period                   |   |                                      | 730,334 |   |   | 4.18 |   |   | 7.9                years |   | $ | 33,350 |   |
|                                                          |   |                                      |    |   |   |   |   |   |   |   |   |   |   |
| Vested                and expected to vest in the future      |   |                                      | 657,300 |   |   | 4.18 |   |   | 7.9                years |   | $ | 30,015 |   |
|                                                          |   |                                      |    |   |   |   |   |   |   |   |   |   |   |
| Exercisable                at end of period                   |   |                                      | 245,581 |   |   | 5.70 |   |   | 7.2                years |   | $ | 2,779 |   |
|                                                          |   |                                      |    |   |   |   |   |   |   |   |   |   |   |
| Weighted-average                fair value of options granted |   |                                      | 145,000 |   |   | 1.92 |   |   |   |   |   |   |   |

**Warrants**

|                                              |   | For                the Three Months Ended |      |
|---------------------------------------------------|--------|-------------------------------------------|-----------|
|                                              |   | March                31, 2006             |      |
|                                              |   | Shares                                    |      | WeightedAverageExercise                Price |   |
| Outstanding                at beginning of period |   |                                      | 2,148,659 |   | $ | 8.61 |   |
|                                              |   |                                      |      |   |   |   |   |
| Outstanding                at end of period       |   |                                      | 2,148,659 |   |   | 8.61 |   |
|                                              |   |                                      |      |   |   |   |   |
| Exercisable                at end of period       |   |                                      | 2,148,659 |   |   | 8.61 |   |

----

Table          of Contents

|                                        |   | Options                    Outstanding |      | Options                    Exercisable                         |   |
|---------------------------------------------|--------|----------------------------------------|-----------|----------------------------------------------------------------|--------|
| Range                    of Exercise Prices |   | Number                    Outstanding  |      | Weighted                    Average Remaining Contractual Life |   | Weighted                    Average Exercise Price |   | Number                    Exercisable |   | Weighted                    Average Exercise Price |   |
| $3.51                                       |   |                                   | 230,000   |                                                           |   | 4.27                    years |   | $  | 3.51 |   |   | 230,000 |   | $  | 3.51 |   |
| $                    5.25 - $ 7.80          |   |                                   | 359,095   |                                                           |   | 1.69                    years |   |   | 6.81 |   |   | 359,095 |   |   | 6.81 |   |
| $9.75                                       |   |                                   | 1,544,231 |                                                           |   | 2.21                    years |   |   | 9.75 |   |   | 1,544,231 |   |   | 9.75 |   |
| $11.25                    - $15.00          |   |                                   | 15,333    |                                                           |   | 1.90                    years |   |   | 12.03  |   |   | 15,333 |   |   | 12.03   |   |
| $                    3.51 - $15.00          |   |                                   | 2,148,659 |                                                           |   |   |   |   | 8.61 |   |   | 2,148,659  |   |   | 8.61 |   |

|                                                                                                       |   | Compensatory |      | Non-Compensatory |   | Total     |   |
|------------------------------------------------------------------------------------------------------------|--------|--------------|-----------|------------------|--------|-----------|--------|
| Stock                options issued to employees and board members under stock option                plans |   |         | 687,000   |             |   | -         |   |   | 687,000 |   |
| Stock                options issued to employees outside stock option plans                                |   |         | 43,334    |             |   | -         |   |   | 43,334 |   |
|                                                                                                       |   |         |      |             |   |      |   |   |   |   |
| Total                                                                                                      |   |         | 730,334   |             |   | -         |   |   | 730,334 |   |
| Warrants                issued to non-employees                                                            |   |         | 330,000   |             |   | 1,818,659 |   |   | 2,148,659 |   |
|                                                                                                       |   |         |      |             |   |      |   |   |   |   |
| Total                options and warrants outstanding                                                      |   |         | 1,060,334 |             |   | 1,818,659 |   |   | 2,878,993 |   |

|                             |   | **For                the Three Months Ended****March 31,** |   |
|----------------------------------|--------|-----------------------------------------------------------------|--------|
|                             |   | **2006**                                                        |   | **2005** |   |
| Top                Broker        |   |                                                            | 10.3%  |   |   | 4.6% |   |
| Wireless                Products |   |                                                            | 91.1%  |   |   | 92.3% |   |
| Top                MVNO(1)       |   |                                                            | 33.0%  |   |   | 32.7% |   |

----

----

Table          of Contents

|                         |   | **For                the Three Months Ended****March                31,** |       |
|------------------------------|--------|---------------------------------------------------------------------------|------------|
|                         |   | **2006**                                                                  |       | **2005** |   |
| United                States |   | $                                                                         | 11,498,468 |   | $ | 7,543,999 |   |
| Canada                       |   |                                                                      | 1,201,143  |   |   | 895,217 |   |
| Other                        |   |                                                                      | 699,649    |   |   | 38,044 |   |
| Total                        |   | $                                                                         | 13,399,260 |   | $ | 8,477,260 |   |

**Item      2. Management's Discussion and Analysis of Financial      Condition and Results of Operations **

*Pursuant      to the “safe harbor” provisions of the Private Securities Litigation Reform Act      of 1995, readers of this report are advised that this document contains both      statements of historical facts and forward-looking statements. Forward looking      statements are subject to risks and uncertainties, which could cause our actual      results to differ materially from those indicated by the forward-looking      statements. Examples of forward-looking statements include, but are not limited      to, the following: (i) projections of revenues, income or loss, earnings      per share, capital expenditures, dividends, capital structure and other      financial items; (ii) statements regarding our plans and objectives      including product enhancements, or estimates or predictions of actions by      customers, suppliers, competitors or regulatory authorities;      (iii) statements of future economic performance; and (iv) statements      of assumptions underlying other statements. *

*Overview*

----

Table          of Contents

*Sources      of Revenue*

|                                 |   | For                the Three Months Ended |       | For                the Three Months Ended |   |
|--------------------------------------|--------|-------------------------------------------|------------|------------------------------------------------|--------|
|                                 |   | March                31, 2006             |       | March                31, 2005                  |   |
|                                 |   | Amount                                    |       | Percentage                                     |   | Amount |   | Percentage |   |
| Prepaid                Wireless      |   | $                                         | 12,211,224 |                                           |   | 91.1% |   | $ | 7,822,143 |   |   | 93.3% |   |
| Terminals                Sales       |   |                                      | 721,123    |                                           |   | 5.4% |   |   | 22,065 |   |   | 0.3% |   |
| Prepaid                Long Distance |   |                                      | 167,276    |                                           |   | 1.3% |   |   | 71,681 |   |   | 0.8% |   |
| Fees                                 |   |                                      | 131,719    |                                           |   | 1.0% |   |   | 90,985 |   |   | 1.1% |   |
| Service                Bureau        |   |                                      | 20,210     |                                           |   | 0.2% |   |   | 51,286 |   |   | 0.6% |   |
| Prepaid                Debit Card    |   |                                      | 19,815     |                                           |   | 0.1% |   |   | 37,555 |   |   | 0.4% |   |
| Bill                Pay              |   |                                      | 18,128     |                                           |   | 0.1% |   |   | - |   |   | 0.0% |   |
| Other                Revenue         |   |                                      | 109,765    |                                           |   | 0.8% |   |   | 381,545 |   |   | 4.5                % |   |
| Total                                |   | $                                         | 13,399,260 |                                           |   | 100.0% |   | $ | 8,477,260 |   |   | 100.0% |   |

*Prepaid      wireless. *

----

Table          of Contents

*Terminal      sales. *

*Prepaid      long distance. *

*Fees*

*Bill      pay*

*Prepaid      debit cards. *

*Service      bureau. *

*Other      revenue.*

*Analysis      of Margins*

|                                                                                                                     |   | **Three                months ended****March 31,** |       |
|--------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------|------------|
|                                                                                                                     |   | **2006**                                                |       | **2005** |   |
| Total                sales and revenue                                                                                   |   | $                                                       | 13,399,260 |   | $ | 8,477,260 |   |
|                                                                                                                     |   |                                                    |       |   |   |   |   |
| Cost                of prepaid PIN sales and fees                                                                        |   |                                                    | 10,739,750 |   |   | 6,873,246 |   |
| Percentage                of revenue                                                                                     |   |                                                    | 80.2%      |   |   | 81.1% |   |
|                                                                                                                     |   |                                                    |       |   |   |   |   |
| Cost                of product sales                                                                                     |   | $                                                       | 805,100    |   | $ | 16,950 |   |
| Percentage                of revenue                                                                                     |   |                                                    | 6.0%       |   |   | 0.2% |   |
|                                                                                                                     |   |                                                    |       |   |   |   |   |
| Distribution                commissions and fees                                                                         |   | $                                                       | 1,805,781  |   | $ | 1,832,093 |   |
| Percentage                of revenue                                                                                     |   |                                                    | 13.5%      |   |   | 21.6% |   |
|                                                                                                                     |   |                                                    |       |   |   |   |   |
| Gross                Profit (Loss)                                                                                       |   | $                                                       | 48,629     |   | $ | (245,029 | ) |
| Percentage                of revenue                                                                                     |   |                                                    | 0.4%       |   |   | (2.9)% |   |
|                                                                                                                     |   |                                                    |       |   |   |   |   |
| Terminal                depreciation and software amortization                                                           |   | $                                                       | 517,575    |   | $ | 434,258 |   |
| Percentage                of revenue                                                                                     |   |                                                    | 3.7%       |   |   | 5.2% |   |
|                                                                                                                     |   |                                                    |       |   |   |   |   |
| Specific                costs                                                                                            |   |                                                    | -          |   |   | 285,000 |   |
| Percentage                of revenue                                                                                     |   |                                                    | 0.0%       |   |   | 3.3% |   |
|                                                                                                                     |   |                                                    |       |   |   |   |   |
| Adjusted                gross profit excluding terminal depreciation and amortization, and                specific costs |   | $                                                       | 566,204    |   | $ | 474,229 |   |
| Percentage                of revenue                                                                                     |   |                                                    | 4.2%       |   |   | 5.6% |   |

----

Table          of Contents

*Operating      Metrics*

----

Table          of Contents

| **Broker                Model:**                                                                                                                                                                                                                                                                                             |   | **For                the Three Months****Ended****March                31,****2006** |       | **For                the Three****Months****Ended****December                31,****2005** |   | **For                the Three****Months****Ended                September 30,****2005** |   | **For                the Three****Months****Ended****June                30,****2005** |       |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------|------------|--------------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------|------------|
|                                                                                                                                                                                                                                                                                                                         |   | **(in                dollars, except for terminal figures)**                         |       |
| Net                terminal activations (1)                                                                                                                                                                                                                                                                                  |   |                                                                                 | 1,007      |                                                                                       |   | (69                                                                                      | )      |                                                                                   | 536        |   |   | 621 |   |
|                                                                                                                                                                                                                                                                                                                         |   |                                                                                 |       |                                                                                       |   |                                                                                     |   |                                                                                   |       |   |   |   |   |
| Total                activated terminals                                                                                                                                                                                                                                                                                     |   |                                                                                 | 4,816      |                                                                                       |   | 3,809                                                                                    |   |                                                                                   | 3,878      |   |   | 3,342 |   |
| Average                activated terminals (2)                                                                                                                                                                                                                                                                               |   |                                                                                 | 4,313      |                                                                                       |   | 3,844                                                                                    |   |                                                                                   | 3,610      |   |   | 3,032 |   |
|                                                                                                                                                                                                                                                                                                                         |   |                                                                                 |       |                                                                                       |   |                                                                                     |   |                                                                                   |       |   |   |   |   |
| **Average                monthly revenue per unit (ARPU) calculation:**                                                                                                                                                                                                                                                      |   |                                                                                 |       |                                                                                       |   |                                                                                     |   |                                                                                   |       |   |   |   |   |
| Total                sales and revenue less product sales and service bureau                revenue                                                                                                                                                                                                                          |   |                                                                                 | 12,544,706 |                                                                                       |   | 11,677,055                                                                               |   |                                                                                   | 12,055,181 |   |   | 13,232,308 |   |
| Less                cost of prepaid PIN sales and fees, and distribution commissions                and fees,                excluding depreciation and amortization allocable to cost of sales,                specific charges, and contribution margin derived from business outside                the United States (3) |   |                                                                                 | 12,024,350 |                                                                                       |   | 11,232,171                                                                               |   |                                                                                   | 11,481,199 |   |   | 12,816,467 |   |
| Total                contribution margin                                                                                                                                                                                                                                                                                     |   |                                                                                 | 491,750    |                                                                                       |   | 444,834                                                                                  |   |                                                                                   | 573,983    |   |   | 415,841 |   |
|                                                                                                                                                                                                                                                                                                                         |   |                                                                                 |       |                                                                                       |   |                                                                                     |   |                                                                                   |       |   |   |   |   |
| **Average                monthly revenue per activated terminal (3)**                                                                                                                                                                                                                                                        |   |                                                                                 | **38**     |                                                                                       |   | **39**                                                                                   |   |                                                                                   | **53**     |   |   | **46** |   |

| (1) | A                terminal is defined as activated when it generates its first revenue                at a                U.S. retail site. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------|

| (2) | Average                activated terminals includes the average of the total activated terminals                at the end of the current and prior                quarter. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (3) | The                specific costs totaled approximately $356,000 in PIN-inventory adjustments                for the three months ended June 30,                2005. |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*Critical      Accounting Policies and Estimates*

*Revenue      recognition. *

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Table          of Contents

*Cost      of prepaid PIN sales and fees*
* *

*Cost      of product sales.*

*Distribution      commissions and fees. *

*Software      development costs. *

*Stock      options and warrants. *

*Income      taxes. *

*Results      of Operations*

----

Table          of Contents

|                                               |   | **For                the Three Months Ended****March                31,** |    |
|----------------------------------------------------|--------|---------------------------------------------------------------------------|---------|
|                                               |   | **2006**                                                                  |    | **2005** |   |
| Revenue                                            |   |                                                                      | 100.0%  |   |   | 100.0% |   |
| Cost                of prepaid PIN sales and fees  |   |                                                                      | 80.2%   |   |   | 81.1% |   |
| Cost                of product sales               |   |                                                                      | 6.0%    |   |   | 0.2% |   |
| Distribution                commissions and fees   |   |                                                                      | 13.5%   |   |   | 21.6% |   |
| Selling                expenses                    |   |                                                                      | 2.6%    |   |   | 2.7% |   |
| General                and administrative expenses |   |                                                                      | 8.8%    |   |   | 12.3% |   |
| Stock                based compensation            |   |                                                                      | 1.7%    |   |   | 0.0% |   |
| Depreciation                and amortization       |   |                                                                      | 0.4%    |   |   | 0.6% |   |
|                                               |   |                                                                      |    |   |   |   |   |
| Profit                (Loss) from operations       |   |                                                                      | (13.1)% |   |   | (18.5)% |   |
| Other                Income (expenses) - net       |   |                                                                      | 0.4%    |   |   | 0.2% |   |
|                                               |   |                                                                      |    |   |   |   |   |
| Net                loss before income taxes        |   |                                                                      | (13.5)% |   |   | (18.7)% |   |
| Provision                for income taxes          |   |                                                                      | 0.0%    |   |   | 0.0% |   |
|                                               |   |                                                                      |    |   |   |   |   |
| Net                loss                            |   |                                                                      | (13.5)% |   |   | (18.7)% |   |

|                                                                                           |   | **For                the Three Months Ended****March                31,** |       | **Increase                (Decrease)** |   |
|------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------|------------|----------------------------------------|--------|
|                                                                                           |   | **2006**                                                                  |       | **2005**                               |   |  $ |   | % |   |
| **Total                Sales and Revenues**                                                    |   | $                                                                         | 13,399,260 |                                   | $      | 8,477,260 |   | $ | 4,922,000 |   |   | 58.1% |   |
|                                                                                           |   |                                                                      |       |                                   |   |   |   |   |   |   |   |   |   |
| **Cost                of Sales and Revenue:**                                                  |   |                                                                      |       |                                   |   |   |   |   |   |   |   |   |   |
| Cost                of prepaid PIN sales and fees                                              |   |                                                                      | 10,739,750 |                                   |   | 6,873,246 |   |   | 3,866,504 |   |   | 56.3% |   |
| Cost                of product sales                                                           |   |                                                                      | 805,100    |                                   |   | 16,950 |   |   | 788,150 |   |   | 4,649.9% |   |
|                                                                                           |   |                                                                      |       |                                   |   |   |   |   |   |   |   |   |  |
| Distribution                commissions and fees                                               |   |                                                                      | 1,805,781  |                                   |   | 1,832,093 |   |   | (26,312 | ) |   | (1.4)% |   |
| **Total                Cost of Sales and Revenue**                                             |   |                                                                      | 13,350,631 |                                   |   | 8,722,289 |   |   | 4,625,342 |   |   | 53.1% |   |
| **Gross                Profit (Loss)**                                                         |   |                                                                      | 48,629     |                                   |   | (245,029 |   |   | 293,658 |   |   | (119.8)% |   |
| **Operating                Expenses:**                                                         |   |                                                                      |       |                                   |   |   |   |   |   |   |   |   |   |
| Selling                                                                                        |   |                                                                      | 352,596    |                                   |   | 227,365 |   |   | 125,231 |   |   | 55.1% |   |
| General                and administrative                                                      |   |                                                                      | 1,174,908  |                                   |   | 1,046,258 |   |   | 128,650 |   |   | 12.3% |   |
| Stock                based compensation                                                        |   |                                                                      | 228,015    |                                   |   | - |   |   | 228,015 |   |   | 100.0% |   |
| Depreciation                and amortization                                                   |   |                                                                      | 48,889     |                                   |   | 49,277 |   |   | (388 | ) |   | (0.8)% |   |
| **Total                operating expenses**                                                    |   |                                                                      | 1,804,408  |                                   |   | 1,322,900 |   |   | 481,508 |   |   | 36.4% |   |
| **Loss                from operations**                                                        |   |                                                                      | (1,755,779 | )                                      |   | (1,567,929 | ) |   | (187,850 | ) |   | 12.0% |   |
|                                                                                           |   |                                                                      |       |                                   |   |   |   |   |   |   |   |   |   |
| Total                Other Expense, net                                                        |   |                                                                      | (46,733    | )                                      |   | (13,659 | ) |   | (33,074 | ) |   | 242.1% |   |
| Loss                before Income Taxes                                                        |   |                                                                      | (1,802,512 | )                                      |   | (1,581,588 | ) |   | (220,924 | ) |   | 14.0% |   |
| Provision                for Income Taxes                                                      |   |                                                                      | -          |                                   |   | - |   |   | - |   |   | -% |   |
|                                                                                           |   |                                                                      |       |                                   |   |   |   |   |   |   |   |   |   |
| **Net                Loss**                                                                    |   | $                                                                         | (1,802,512 | )                                      | $      | (1,581,588 | ) | $ | (220,924 | ) |   | 14.0% |   |
|                                                                                           |   |                                                                      |       |                                   |   |   |   |   |   |   |   |   |   |
| **Basic                and Diluted Net Loss per Common Share**                                 |   | $                                                                         | (0.32      | )                                      | $      | (0.32 | ) | $ | - |   |   | -% |   |
| **Basic                and Diluted Weighted Average Common Shares                Outstanding** |   |                                                                      | 5,587,000  |                                   |   | 4,978,000 |   |   | 609,000 |   |   | 12.1% |   |
|                                                                                           |   |                                                                      |       |                                   |   |   |   |   |   |   |   |   |   |
| **Other                Comprehensive Income (Loss):**                                          |   |                                                                      |       |                                   |   |   |   |   |   |   |   |   |   |
| Net                loss                                                                        |   | $                                                                         | (1,802,512 | )                                      | $      | (1,581,588 | ) | $ | (220,924 | ) |   | 14.0% |   |
| Foreign                currency translation adjustment                                         |   |                                                                      | 1,066      |                                   |   | (18,977 | ) |   | 17,911 |   |   | (94.4)% |   |
|                                                                                           |   |                                                                      |       |                                   |   |   |   |   |   |   |   |   |   |
| Comprehensive                Loss                                                              |   | $                                                                         | (1,801,446 | )                                      | $      | (1,600,565 | ) | $ | (200,881 | ) |   | 12.6% |   |

----

Table          of Contents

*Three      Months ended March 31, 2006 and 2005*

*Sales      and revenues*

*Cost      of prepaid PIN sales and fees*

*Cost      of product sales*

*Distribution      commissions and fees*

*Margin.      *

*Selling      and marketing expenses*

*General      and administrative*

*Stock      based compensation.*

*Depreciation      and amortization.*

----

Table          of Contents

*Other      income and expense-net*

*Income      tax expense*

*Liquidity      and Capital Resources*

*Cash      and cash equivalents. *

*Financing      activity cash flows. *

*Recently      Enacted Accounting Standards*

**Off-Balance      Sheet Items**

**Item      3.****Quantitative****and      Qualitative Disclosures About Market      Risk**

----

Table          of Contents

**Item      4. Controls and Procedures**

*Disclosure      Controls and Procedures*

*Our      Disclosure Controls and Procedures Are Not Effective. *

*Internal      Controls Over Financial Reporting*

*Change      in Our Internal Control over Financial Reporting in the Three Months Ended      March      31, 2006. *

**PART      II - OTHER INFORMATION **

**Item      1. Legal Proceedings**

*Q      Comm International v. The Phone Store of Missouri, LLC and Kevin      Montgomery*
** **
** **

**Item      1A. Risk Factors**

*This      report identifies important factors that could cause our actual results to      differ materially from those indicated by the forward-looking statements. These      risks and uncertainties include, but are not limited to, the factors, risks      and      uncertainties (i) ) set forth under the heading “Legal Proceedings” in      Part II, Item 1 of this report; and (ii) set forth in the Company’s annual      and periodic reports as filed with the Securities and Exchange Commission since      January 1, 2006. *

**.**

**Item      6. Exhibits and Reports on Form 8-K**

| **Exhibit                No.** | **Description**                                           |
|--------------------------------|-----------------------------------------------------------|
|                           |                                                      |
| 3.1(i)                         | Articles                of Incorporation (1)              |
|                           |                                                      |
| 3.1(ii)                        | Amendment                to Articles of Incorporation (2) |
|                           |                                                      |
| 3.2                            | Amended                and Restated Bylaws (2)            |

----

Table          of Contents

| 4.1    | Specimen                Stock Certificate (2)                                                                                                                                           |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                    |
| 4.2    | Form                of warrant agreement, including form of warrant (2)                                                                                                                 |
|   |                                                                                                                                                                                    |
| 4.3    | Form                of unit certificate (2)                                                                                                                                             |
|   |                                                                                                                                                                                    |
| 4.4    | Form                of representative’s warrant (2)                                                                                                                               |
|   |                                                                                                                                                                                    |
| 10.1   | 2000                Stock Option Plan (2)*                                                                                                                                              |
|   |                                                                                                                                                                                    |
| 10.2   | 2003                Stock Option Plan (2)*                                                                                                                                              |
|   |                                                                                                                                                                                    |
| 10.3   | Securities                Purchase Agreement, dated February 10, 2003 (2)                                                                                                          |
|   |                                                                                                                                                                                    |
| 10.4   | Form                of 12% Secured Convertible Debentures due March 31, 2004                (2)                                                                                    |
|   |                                                                                                                                                                                    |
| 10.5   | Form                of Stock Purchase Warrant (2)                                                                                                                                       |
|   |                                                                                                                                                                                    |
| 10.6   | Form                of Lock-Up Agreement executed by all officers, directors and 5%                shareholders (2)                                                                     |
|   |                                                                                                                                                                                    |
| 10.7   | Form                of Lock-Up Agreements for 12% Secured Convertible Debenture holders                (2)                                                                              |
|   |                                                                                                                                                                                    |
| 10.11  | Employment                Agreement between Q Comm International, Inc. and Michael D.                Keough(4)*                                                                         |
|   |                                                                                                                                                                                    |
| 10.12  | Employment                Agreement between Q Comm International, Inc. and Mark W.                Robinson(5)*                                                                          |
|   |                                                                                                                                                                                    |
| 10.13  | Securities                Purchase Agreement, dated May 20, 2003 (2)                                                                                                               |
|   |                                                                                                                                                                                    |
| 10.14  | Form                of 12% Unsecured Promissory Note, due August 31, 2004, dated                May 20, 2003 (2)                                                              |
|   |                                                                                                                                                                                    |
| 10.15  | Form                of Stock Purchase Warrant, dated May 20, 2003 (2)                                                                                                              |
|   |                                                                                                                                                                                    |
| 10.16  | Service                Agreements between Q Comm International, Inc. and each of Cellcards                of                Illinois, Iowa Wireless and Hargray Wireless (2)            |
|   |                                                                                                                                                                                    |
| 10.17  | Agreement                between Q Comm International, Inc. and PreCash Corporation                (2)                                                                                  |
|   |                                                                                                                                                                                    |
| 10.18  | WGR                Ltd. Agreement (2)** **                                                                                                                                         |
|   |                                                                                                                                                                                    |
| 10.19  | Marceco                Ltd. Agreement (2)                                                                                                                                               |
|   |                                                                                                                                                                                    |
| 10.20  | Success                Concepts Enterprises Inc. Agreement (2)** **                                                                                                                |
|   |                                                                                                                                                                                    |
| 10.21  | 510                East Technology Avenue Lease (3)                                                                                                                                     |
|   |                                                                                                                                                                                    |
| 10.22# | Agreement                between Q Comm International, Inc. and Cricket Communications, Inc.                (4)                                                                         |
|   |                                                                                                                                                                                    |
| 10.23  | 2004                Stock Option Plan (7)*                                                                                                                                              |
|   |                                                                                                                                                                                    |
| 10.24  | 9350                South 150 East, Suite 840, Sandy, Utah** **Lease                (8)                                                                                            |
|   |                                                                                                                                                                                    |
| 14     | Code                of Ethics (2)                                                                                                                                                       |
|   |                                                                                                                                                                                    |
| 16     | Letter                from Tanner LC to the Securities and Exchange Commission, dated                October 11, 2005 regarding change in certifying accountant                (6) |
|   |                                                                                                                                                                                    |
| 21     | Subsidiary                schedule (3)                                                                                                                                                  |
|   |                                                                                                                                                                                    |
| 31.1   | Chief                Executive Officer Certification pursuant to section 302 of the                Sarbanes-Oxley Act of 2002**                                                         |
|   |                                                                                                                                                                                    |
| 31.2   | Chief                Financial Officer Certification pursuant to section 302 of the                Sarbanes-Oxley Act of 2002**                                                         |
|   |                                                                                                                                                                                    |

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Table          of Contents

| 32.1   | Chief                Executive Officer Certification pursuant to section 906 of the                Sarbanes-Oxley Act of 2002** |
|--------|---------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                            |
| 32.2   | Chief                Financial Officer Certification pursuant to section 906 of the                Sarbanes-Oxley Act of 2002** |

| (1)    | Previously                filed on February 24, 2000, as an exhibit to Form 10-SB, and on                March 20, 2000, as an exhibit in the Company’s Current Report on Form                8-K and incorporated herein by reference.                                                                                                                                                                                                                                                            |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| (2)    | Previously                filed as an exhibit to the Company’s Registration Statement on Form SB-2                (File No.333-104232) and incorporated herein by reference.                                                                                                                                                                                                                                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| (3)    | Previously                filed as an exhibit to Form 10-KSB on March 31, 2003 and incorporated                herein by reference.                                                                                                                                                                                                                                                                                                                                                                           |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| (4)    | Previously                filed as an exhibit to Form 10-KSB on April 12, 2005 and incorporated                herein by reference.                                                                                                                                                                                                                                                                                                                                                                           |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| (5)    | Previously                filed as an exhibit to Form 10-KSB/A on August 10, 2005 and                incorporated herein by reference.                                                                                                                                                                                                                                                                                                                                                                        |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| (6)    | Previously                filed on October 11, 2005, as an exhibit in the Company’s Current                Report on Form 8-K and incorporated herein by reference.                                                                                                                                                                                                                                                                                                                                     |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| (7)    | Previously                filed on May 3, 2004, as Appendix C to Schedule 14a and incorporated                herein by reference.                                                                                                                                                                                                                                                                                                                                                                            |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| (8)    | Previously                filed as an exhibit for Form 10-K on March 31, 2006 and incorporated                herein by reference.                                                                                                                                                                                                                                                                                                                                                                                 |
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| #      | Application                has been made to the Securities and Exchange Commission to seek                confidential treatment of certain portions of this exhibit under                Rule 406                of the Securities Act of 1933 or Rule 24(b)-2 under the Securities                Exchange Act of 1934. Omitted material for which confidential treatment                has been requested has been filed separately with the Securities                and                Exchange Commission. |

**SIGNATURES**

| By:    | /s/                Mark W.                Robinson                                          |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                     |
|   | Mark                W. Robinson                                                                                                                                                                                                                                                                          |
|   | Chief                Financial Officer, Secretary and Treasurer                                                                                                                                                                                                                                          |
|   |                                                                                                                                                                                                                                                                                                     |

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