VeriFone Announces Accrual of Special Interest on its 1.375% Convertible Notes Due 2012

VeriFone Holdings, Inc. (NYSE: PAY) today announced that beginning December 20, 2007, special interest will accrue on its 1.375% convertible notes due 2012 at a rate of 0.25% per annum.

San Jose, CA - December 19, 2007 - – VeriFone Holdings, Inc. (NYSE: PAY) today announced that beginning December 20, 2007, special interest will accrue on its 1.375% convertible notes due 2012 at a rate of 0.25% per annum. Special interest will accrue on the convertible notes pursuant to the registration rights agreement and the indenture relating to the convertible notes until a registration statement relating to the convertible notes is declared effective. VeriFone expects to file a registration statement relating to the convertible notes following the completion of its previously announced restatement and the filing of its annual report on Form 10-K for the fiscal year ended October 31, 2007. The convertible notes were previously issued through offerings to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended.

No registration statement relating to the securities described above has yet been filed with the Securities and Exchange Commission. This notice does not constitute an offer to sell or the solicitation of an offer to buy any securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which the offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any state.

About VeriFone Holdings, Inc.
VeriFone Holdings, Inc. (“VeriFone”) (NYSE: PAY) is the global leader in secure electronic payment solutions. VeriFone provides expertise, solutions and services that add value to the point of sale with merchant-operated, consumer-facing and self-service payment systems for the financial, retail, hospitality, petroleum, government and healthcare vertical markets. VeriFone solutions are designed to meet the needs of merchants, processors and acquirers in developed and emerging economies worldwide.

CAUTIONARY INFORMATION REGARDING FORWARD-LOOKING STATEMENTS

This news release contains forward-looking statements that involve risks and uncertainties. In some cases, forward-looking statements can be identified by words such as “anticipates,” “expects,” “believes,” “plans,” “predicts,” and similar terms. Risks, uncertainties and assumptions that could affect VeriFone’s forward-looking statements include, among other things, completion of the previously-announced restatements and completion of VeriFone’s financial statements as of, and for the fiscal year ended October 31, 2007. Other risks and uncertainties include, but are not limited to, those discussed under the heading “Risk Factors” in VeriFone’s Annual Report on Form 10-K for the year ended October 31, 2006 and subsequent Quarterly Reports on Form 10-Q. Unless required by law, VeriFone expressly disclaims any obligation to update publicly any forward-looking statements, whether as result of new information, future events or otherwise.