International casino and gaming printer sales increased $4,461,000, or 62%, to $11,673,000 in the first nine months of 2010.  This increase was due primarily to a 237% increase in our thermal casino printer sales to our OEM and distributor customers in Canada and Europe, partially offset by a 27% decrease in casino printer sales to our distributor in Australia.  The increase in sales to our customers in Canada and Europe was primarily due to the sales of gaming machines into Italy, where the Italian government has approved gambling operators to install approximately 50,000 VLT games.  We expect the majority of these games to be installed over the next couple of years, with significant installations planned for 2011.  In addition, sales for the first nine months of 2010 included sales of our off-p remise gaming printers to a new customer for use in gaming machines in the U.K.

Lottery:

Sales of our lottery products increased $23,000, or less than 1%, from the first nine months of 2009, due primarily to higher sales of lottery printers to GTECH domestically.

		Nine months ended								Nine months ended								Change
(In thousands)		September 30, 2010								September 30, 2009								$					%
Domestic		$	6,104				95.0	%		$	5,968				93.2	%		$	136				2.3	%
International			320				5.0	%			433				6.8	%			(113	)			(26.1	%)
		$	6,424				100.0	%		$	6,401				100.0	%		$	23				0.4	%

Domestic and international printer sales to GTECH, which include thermal on-line and other lottery printers, increased $23,000, or less than 1%, in the first nine months of 2010 compared to the first nine months of 2009, due to the timing of orders, with domestic sales increasing $136,000 and international sales decreasing $113,000. Our quarterly sales to GTECH are directly dependent on the timing and number of new and upgraded lottery terminal installations GTECH performs, and as a result, may fluctuate significantly year over year.  Our sales to GTECH are not indicative of GTECH’s overall business or revenue.  We expect total sales to GTECH to decrease in the fourth quarter of 2010 compared to the third quarter of 2010.  

TransAct Services Group:

Sales from TSG decreased $272,000, or 2%, from the first nine months of 2009.

		Nine months ended								Nine months ended								Change
(In thousands)		September 30, 2010								September 30, 2009								$					%
Domestic		$	10,065				92.1	%		$	10,649				95.1	%		$	(584	)			(5.5	%)
International			860				7.9	%			548				4.9	%			312				56.9	%
		$	10,925				100.0	%		$	11,197				100.0	%		$	(272	)			(2.4	%)

Domestic revenue from TSG decreased $584,000, or 6%, largely due to a decrease of 21% in sales of replacement parts and a 5% decrease in consumable products compared to the same period in 2009.  The decrease in replacement part sales was primarily due to lower demand for certain legacy printers, as the installed base of these legacy printers in the market continues to decline.  The decrease in consumable products sales was primarily due to a significant stocking order for inkjet cartridges from a large recurring customer in the first nine months of 2009 that did not repeat to the same extent in the first nine months of 2010, largely offset by higher sales of inkjet cartridges to newly acquired customers.

Internationally, TSG revenue increased $312,000, or 57%, to $860,000, due primarily to increased sales of replacement parts and printer accessories.

 

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Gross Profit. Gross profit information is summarized below (in thousands, except percentages):

		September 30,								Percent				Percent of				Percent of
		2010				2009				Change				Total Sales - 2010				Total Sales - 2009
Nine months ended		$	16,901			$	14,507				16.5	%			35.9	%			32.7	%

Gross profit increased $2,394,000, or 17%, to $16,901,000 and gross margin increased to 35.9% from 32.7%.  Both our gross profit and gross margin increased due to (1) a 6% increase in sales, (2) an increase in sales of contract manufactured products with lower overall product costs, including lower labor costs, resulting from the move of production for the majority of our products to a low cost contract manufacturer in China and (3) a more favorable sales mix as we sold more higher margin casino printer products and fewer lower margin banking printers in the first nine months of 2010 compared to the first nine months of 2009.

Engineering and Product Development. Engineering and product development information is summarized below (in thousands, except percentages):

		September 30,								Percent				Percent of				Percent of
		2010				2009				Change				Total Sales – 2010				Total Sales - 2009
Nine months ended		$	2,261			$	2,043				10.7	%			4.8	%			4.6	%

Engineering, design and product development expenses increased $218,000, or 11%, to $2,261,000 due primarily to higher employee compensation related expenses resulting largely from annual salary increases and higher incentive compensation of $96,000, higher outside testing and pre-production expenses related to new product development of $93,000, and $21,000 higher consulting costs compared to the first nine months of 2009.  

Selling and Marketing. Selling and marketing information is summarized below (in thousands, except percentages):

		September 30,								Percent				Percent of				Percent of
		2010				2009				Change				Total Sales - 2010				Total Sales - 2009
Nine months ended		$	4,741			$	4,287				10.6	%			10.1	%			9.7	%

Selling and marketing expenses for the first nine months of 2010 increased $454,000, or 11%, due primarily to approximately $154,000 of higher employee compensation related expenses associated with increased headcount within the sales departments and higher sales commissions resulting from higher sales volume, $238,000 of increased travel related expenses, $50,000 of increased tradeshow expenses, and $28,000 of higher demonstration printer expenses.  These increases were somewhat offset by $18,000 decrease in marketing consulting expenses compared to the prior year period.

General and Administrative. General and administrative information is summarized below (in thousands, except percentages):

		September 30,								Percent				Percent of				Percent of
		2010				2009				Change				Total Sales - 2010				Total Sales - 2009
Nine months ended		$	5,488			$	5,162				6.3	%			11.7	%			11.6	%

General and administrative expenses increased $326,000, or 6%, due primarily to $282,000 in increased employee compensation related expenses due largely to annual salary increases and higher incentive compensation, as well as $92,000 of higher legal expenses related to business development and an increase of $90,000 in certain state and local taxes.  These increases were largely offset by a reduction of professional fee expenses of $95,000 and a reduction of depreciation expense of $47,000.  

Operating Income.  Operating income information is summarized below (in thousands, except percentages):

		September 30,								Percent				Percent of				Percent of
		2010				2009				Change				Total Sales - 2010				Total Sales - 2009
Nine months ended		$	4,411			$	3,015				46.3	%			9.4	%			6.8	%

During the first nine months of 2010, we reported operating income of $4,411,000, or 9.4% of net sales, compared to operating income of $3,015,000, or 6.8% of net sales in the first nine months of 2009.  The increase in our operating income and operating margin was primarily due to higher gross profit resulting from the 6% increase in net sales and improved gross margin in the first nine months of 2010 compared to that of 2009.

Interest.  We recorded net interest expense of $13,000 in the first nine months of 2010 compared to net interest expense of $48,000 in the first nine months of 2009.  The decrease in net interest expense is due to increased interest income earned on a higher average cash balance in the

 

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first nine months of 2010 compared to the first nine months of 2009, partially offset by $24,000 of interest expense incurred in the third quarter of 2010 related to certain prior years’ state and local tax liabilities.  Interest expense related to the unused revolving credit line fee and amortization of the deferred financing costs on our revolving credit facility with TD Bank remained consistent in the first nine months of 2010 compared to the first nine months of 2009.   See “Liquidity and Capital Resources” below for more information.

Other Income (Expense).  We recorded other expense of $6,000 in the first nine months of 2010 compared to other expense of $28,000 in the first nine months of 2009.  The decrease was primarily due to a foreign currency transaction exchange loss recorded by our U.K. subsidiary resulting from a 10% weakening of the U.S. dollar against the British pound in the first nine months of 2009, as compared to a foreign currency transaction gain in the first nine months of 2010 resulting from a 1% strengthening of the U.S. dollar against the British pound.

Income Taxes.  We recorded an income tax provision for the first nine months of 2010 of $1,566,000 at an effective tax rate of 35.7% compared to an income tax provision for the first nine months of 2009 of $985,000 at an effective tax rate of 33.5%.  Our effective tax rate for the first nine months of 2010 was higher because it did not include any benefits from the federal research and development tax credit, which is normally included in our tax rate, as this credit expired at the end of 2009.  If this credit is not reinstated, we expect our annual effective tax rate for 2010 to be between 35% and 36%.

Net Income.  We reported net income during the first nine months of 2010 of $2,826,000, or $0.30 per diluted share, compared to net income of $1,954,000, or $0.21 per diluted share, for the first nine months of 2009.

Liquidity and Capital Resources

Cash Flow

In the first nine months of 2010, our cash flows primarily reflected higher sales volume, resulting in higher accounts receivable balances and increased inventory investment.  Our cash balance decreased $428,000, or 4%, from December 31, 2009 and we ended the first nine months of 2010 with $9,589,000 in cash and cash equivalents and no debt outstanding.

Operating activities:  The following significant factors affected our net cash provided by operations of $346,000 in the first nine months of 2010 as compared to our net cash provided by operations of $3,938,000 in the first nine months of 2009:

 

During the first nine months of 2010:

·	We reported net income of $2,826,000.

·	We recorded non-cash deferred income tax expense of $631,000.

·	We recorded depreciation, amortization, and non-cash compensation expense of $1,610,000.

·	Accounts receivable increased $1,713,000 due to higher sales volume and the timing of sales during the year.

·

Inventories increased $4,981,000 as we increased stocking levels of our supply of lower cost, fully-built printers from our contract manufacturer in China in the first half of 2010.  We expect our inventories to decline in the fourth quarter of 2010 as we reduce our inventory purchases and ship our backlog of orders for the remainder of 2010.

·	Accounts payable increased $1,111,000 due to the timing of payments during the quarter ended September 30, 2010.

·	Accrued liabilities and other liabilities increased $612,000 due primarily to higher incentive compensation and fringe benefit related accruals as well as increased income taxes payable resulting from a higher level of income before taxes.

During the first nine months of 2009:

·	We reported a net income of $1,954,000.

·	We recorded depreciation, amortization, and non-cash compensation expense of $1,841,000.

·	We recorded non-cash deferred income tax expense of $734,000.

·	Accounts receivable increased $2,294,000 due to the timing of sales.

·	Inventories decreased $3,506,000 as we worked to deplete a substantial portion of our domestic inventory prior to the final transition of full production of 70% of our printers to a contract manufacturer in China.

·	Accounts payable decreased $1,205,000 due to the timing of payments and a reduction in inventory purchases as we depleted our current inventory on hand.

·	Accrued liabilities and other liabilities decreased $472,000 due primarily to lower payroll and fringe benefit related accruals based on the payment of 2008 annual bonuses in March 2009.

Investing activities:  Our capital expenditures were $896,000 and $478,000 in the first nine months of 2010 and 2009, respectively.  Expenditures in 2010 included $615,000 for the purchase of new product tooling, $230,000 for the purchase of computer equipment and software, and the remaining amount primarily for the purchase of engineering and manufacturing equipment.  Expenditures in 2009 included approximately $224,000 for the purchase of new product tooling, approximately $170,000 for the purchase of computer, networking equipment, and software, approximately $56,000 for the purchase of manufacturing equipment, and the remaining amount primarily for the purchase of engineering equipment.< /font>  Capital expenditures for 2010 are expected to be approximately $1,100,000 to $1,300,000, primarily for new product tooling and tooling enhancements for our existing products.

 

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Financing activities:  We generated $116,000 of net cash from financing activities during the first nine months of 2010 primarily from proceeds from stock option exercises of $261,000 offset by the repurchase of $177,000 of Company stock compared to $55,000 of net cash generated from financing activities from proceeds from stock option exercises during the first nine months of 2009.

Working Capital

Our working capital increased to $23,943,000 at September 30, 2010 from $20,474,000 at December 31, 2009.  The increase in our working capital was largely due to an increase in our inventories and receivables balances, partially offset by higher accounts payable and accrued liabilities as well as lower cash and cash equivalents.  Our current ratio decreased slightly to 3.6 at September 30, 2010 compared to 3.7 at December 31, 2009.

Credit Facility and Borrowings

On November 28, 2006, we signed a five-year $20,000,000 credit facility (the “TD Bank Credit Facility”) with TD Bank, N.A. (“TD Bank”). The credit facility provides for a $20,000,000 revolving credit line expiring on November 28, 2011.  Borrowings under the revolving credit line bear a floating rate of interest at the prime rate minus one percent and are collateralized by a lien on all of our assets.  We also pay a fee of 0.25% on unused borrowings under the revolving credit line.  The total deferred financing costs relating to expenses incurred to complete the TD Bank Credit Facility was $94,000.  The TD Bank Credit Facility imposes certain quarterly financial covenants on us and restricts, among other things, our ability to incur additional indebtedness, the payment of d ividends on our common stock and the creation of other liens.  We were in compliance with all financial covenants of the TD Bank Credit Facility at September 30, 2010.  The following table lists the financial covenants and the performance measurements at September 30, 2010:

Financial Covenant	Requirement/Restriction	Calculation at September 30, 2010
Operating cash flow / Debt service	Total Minimum of 1.25 times	67.0 times
Funded Debt / EBITDA	Maximum of 3.25 times	0 times

As of September 30, 2010, we had no balances outstanding on the revolving credit line.  Undrawn commitments under the TD Bank Credit facility were $20,000,000 at September 30, 2010.

Stock Repurchase Program

On May 27, 2010, our Board of Directors approved a new stock repurchase program (the “Stock Repurchase Program”).  Under the Stock Repurchase Program, we are authorized to repurchase up to $10,000,000 of our outstanding shares of common stock from time to time in the open market over a three-year period ending May 27, 2013, depending on market conditions, share price and other factors.

During the three and nine months ended September 30, 2010, we repurchased 22,338 shares of our common stock for $177,000 at an average price per share of $7.95.  As of September 30, 2010, approximately $9,823,000 remains authorized for future repurchases under this program.

Contractual Obligations / Off-Balance Sheet Arrangements

The disclosure of payments we have committed to make under our contractual obligations is set forth under the heading "Management's Discussion and Analysis of Financial Condition and Results of Operations—Contractual Obligations" in our Form 10-K for the fiscal year ended December 31, 2009.  There have been no material changes in our contractual obligations outside the ordinary course of business since December 31, 2009.  We have no material off-balance sheet arrangements as defined in Regulation S-K 303(a)(4)(ii).

Resource Sufficiency

We believe that our cash on hand, cash flows generated from operations, and borrowings available under the TD Bank Credit Facility will provide sufficient resources to meet our working capital needs, finance our capital expenditures and meet our liquidity requirements through at least the next twelve months.  

Item 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

The disclosure of our exposure to market risk is set forth under the heading “Quantitative and Qualitative Disclosures about Market Risk” in our Form 10-K for the fiscal year ended December 31, 2009.  There has been no material changes in our exposure to market risk during the nine months ended September 30, 2010.

Item 4.  CONTROLS AND PROCEDURES

The Company, under the supervision and with the participation of its management, including the Chief Executive Officer and the Chief Financial Officer, evaluated the effectiveness of the design and operation of the company’s “disclosure controls and procedures” (as defined in Rule 13a-15(e) under the Securities Exchange Act of 1934 (the “Exchange Act”)) as of the end of the period covered by this report.  Based on that evaluation, the Chief Executive Officer and the Chief Financial Officer concluded that the Company’s disclosure controls and procedures were effective as of September 30, 2010.  There has been no change in the Company’s internal control over financial reporting during the quarter ended September 30, 2010, that has materially affected, or is reasonably likely t o materially affect, the Company’s internal control over financial reporting.

 

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PART II.  OTHER INFORMATION

Item 1.  LEGAL PROCEEDINGS

None.

Item 1A.  RISK FACTORS

Information regarding risk factors appears in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2009.  There have been no material changes from the risk factors previously disclosed in that Annual Report on Form 10-K.   The risks described in our Annual Report on Form 10-K are not the only risks facing our Company.  Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially adversely affect our business, financial condition or future results.

Item 2.  UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

ISSUER PURCHASES OF EQUITY SECURITIES

On May 27, 2010, our Board of Directors approved a new stock repurchase program (the “Stock Repurchase Program”).  Under the Stock Repurchase Program, management was authorized to repurchase up to $10,000,000 of our outstanding shares of common stock from time to time in the open market over a three-year period ending May 27, 2013, depending on market conditions, share price and other factors.

During the three and nine months ended September 30, 2010, we repurchased 22,338 shares of our common stock for $177,000 at an average price per share of $7.95.  As of September 30, 2010, approximately $9,823,000 remains authorized for future repurchases under this program.  The following table summarizes the repurchase of our common stock in the three months ended September 30, 2010:

Period		Total Number of Shares Purchased				Average Price Paid per Share				Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs				Approximate Dollar Value of Shares that May Yet Be Purchased under the May 2010 Program
July 1, 2010 – July 31, 2010			-			$	-				-			$	10,000,000
August 1, 2010 – August 31, 2010			17,838				7.94				17,838			$	9,859,000
September 1, 2010 – September 30, 2010			4,500				7.98				4,500			$	9,823,000
Total			22,338			$	7.95				22,338

Item 6.  EXHIBITS

Exhibit 31.1		Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
Exhibit 31.2		Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
Exhibit 32.1		Certification pursuant to 18 U.S.C. Section 1350 as adopted pursuant to section 906 of the Sarbanes-Oxley Act of 2002.
Exhibit 32.2		Certification pursuant to 18 U.S.C. Section 1350 as adopted pursuant to section 906 of the Sarbanes-Oxley Act of 2002.

 

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	TRANSACT TECHNOLOGIES INCORPORATED
	(Registrant)
	/s/ Steven A. DeMartino
November 9, 2010	Steven A. DeMartino
	President, Chief Financial Officer, Treasurer and Secretary
	(Principal Financial Officer)
	/s/ Christopher Galletta
	Christopher Galletta
	Corporate Controller
	(Principal Accounting Officer)

 

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EXHIBIT LIST

The following exhibits are filed herewith.

Exhibit
31.1		Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2		Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1		Certification pursuant to 18 U.S.C. Section 1350 as adopted pursuant to section 906 of the Sarbanes-Oxley Act of 2002.
32.2		Certification pursuant to 18 U.S.C. Section 1350 as adopted pursuant to section 906 of the Sarbanes-Oxley Act of 2002.

 

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Exhibit 31.1

CERTIFICATION

I, Bart C. Shuldman, certify that:

 

1.	I have reviewed this quarterly report on Form 10-Q of TransAct Technologies Incorporated;

 

2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4.

The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

d)

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

 

5.	The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

 

a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report information; and

 

b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

Date:  November 9, 2010

/s/ Bart C. Shuldman
Bart C. Shuldman
Chairman and Chief Executive Officer

 

 

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Exhibit 31.2

CERTIFICATION

I, Steven A. DeMartino, certify that:

 

1.	I have reviewed this quarterly report on Form 10-Q of TransAct Technologies Incorporated;

 

2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4.

The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

c)	Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

d)

Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

 

5.	The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

 

a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report information; and

 

b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

Date:  November 9, 2010

/s/ Steven A. DeMartino
Steven A. DeMartino
President, Chief Financial Officer, Treasurer and
Secretary

 

 

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EXHIBIT 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of TransAct Technologies Incorporated (the “Company”) on Form 10-Q for the period ending September 30, 2010, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Bart C. Shuldman, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge:

(1)	The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date:  November 9, 2010

/s/ Bart C. Shuldman
Bart C. Shuldman
Chairman and Chief Executive Officer

 

 

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EXHIBIT 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of TransAct Technologies Incorporated (the “Company”) on Form 10-Q for the period ending September 30, 2010, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Steven A. DeMartino, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to § 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge:

(1)	The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)	The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date:  November 9, 2010

/s/ Steven A. DeMartino
Steven A. DeMartino
President, Chief Financial Officer, Treasurer and
Secretary