Helios & Matheson - Updates

With reference to the earlier announcement regarding equity investment in the Company's foreign subsidiary, Helios & Matheson North America Inc USA (HMNA), Helios & Matheson Information Technology Ltd has now informed BSE that the Board of HMNA have convened a special meeting of the shareholders of that company on November 18, 2009 to approve reincorporation as a Delaware Corporation.

Further the Company has informed that reincorporation of HMNA as a Delaware Corp will have no bearing on the Company's Investment in the subsidiary or on the operations of the subsidiary which would continue as before.