The Unabridged History of Winners and Losers

[Tatari Gami]

January 2002 Shareholders' Letter
http://www.winr.net/investors/Inv-1-29-02.htm

January 29, 2002

Dear Shareholders,

I promised to provide monthly written updates about our efforts to improve the financial performance of Winners Internet Network, Inc. (the “Company”). Here’s the sixth report.

Overall Business

Overall business conditions have changed in some respects.

Specific Issues

Liquidity

The Company’s liquidity situation has changed slightly. Due to the high proportion of funds retained by the Company from customer’s responsible for excessive chargebacks, our cash position is sufficient to sustain operations for the foreseeable future. However, the Company’s local bank has indicated that it needs certain information concerning the relationship between the Company and CyberLink Monetary Systems (CMS) to ensure continuing access to our funds. That information will be given to the bank. Additional information about this issue is described below.

SEC Investigation

The SEC investigation is ongoing. Documents requested by the SEC that we have in our possession are being assembled and shipped to them. The ultimate outcome of this process and the impact on us remains highly uncertain.

Financial Statements

No change in status.

Visa/UBS Card Contracts

The new contract with Visa has been signed. Visa/UBS will hold funds due us for up to 180 days (due to the nature of our business, the businesses using our service and current customer base). That point will make it difficult for us to secure new customers. However, we have no choice but to see if we can find customers willing to do business with us notwithstanding that onerous term. As indicated before, we created a database of potential customers for marketing. We’ll begin contacting them this week.

Winners Internet Network, Inc./CyberLink Monetary Systems

The Company is in the process of identifying, evaluating and clarifying the contractual and operational relationship between the Company and CMS as well as the ownership structure of CMS. These activities are underway to ensure that the Company establishes and/or renews the appropriate contracts with CMS and to ensure that transactions between the two entities can be accounted for correctly going forward if, and when, the Company is in a position to resume normal financial accounting and reporting activities.

There are no changes to report concerning the status of SEC reporting, relisting, the management team, or the Board of Directors.

This is the sixth monthly report. I’ll prepare another one in February or as soon as a significant development occurs.

Sincerely,

Stefan Vogt

Chief Executive Officer

Ruggell, Liechtenstein