VF & VIDRA

Belgrade-based VIDRA Info, a wholly owned subsidiary of the Arius Group
has signed a deal to become VeriFone’s channel partner in Yugoslavia. The
first contract from the partnership resulted in the first shipment of 1,000
“Omni 3750” terminals to the Komercijalna Bank of Yugoslavia. The “Omni
3750” has proved to be the fastest selling model in VeriFone’s history
reaching a milestone of 70,000 terminals shipped in the eight months since
its launch in January of this year. VIDRA info’s parent company, Arius
designs and produces software for the implementation of specific
information systems and has recently formed a joint venture with
Komercijalna Banka and Euronet to set up and run a processing center for
POS and ATM transactions in Yugoslavia. Komercijalna banka is a Europay
principal member, a VISA associate member, an exclusive American Express
agent and YUBA card issuer.

I-BANKING

John M. Lopes, Chief Executive Officer of
WebEngine Corporation is
pleased to announce that the Corporation has been invited to make a
presentation to the Governor of the National Bank of Yugoslavia and the Board
of Directors of P&P Banka, Belgrade for a complete re-development of the
bank’s existing technical infrastructure and sixteen of its branches located
through out Yugoslavia. WebEngine is the only company invited to present a
proposal to the bank. It is scheduled that WebEngine will present its multi-
faceted proposal over the course of this coming week. The WebEngine proposal
is valued at US$5 million. “Pending acceptance of the proposal, this will mark
the first step in WebEngine’s strategy to market its products and services to
the Eastern European financial services sector,” remarked John M. Lopes,
President & CEO, WebEngine.

The current proposal involves developing Internet banking capabilities,
replacing 300 work stations with state of the art hardware and software,
creating a new Virtual Private Network and Local Access Network for switching
secure transactions for more than 500 automated teller machines (ATMs) as well
as supplying tools and applications for treasury monitoring and securities
trading. WebEngine, in conjunction with P&P Bank, will also pilot a project of
selected bank merchants for a Point of Sale (POS), debit card, credit card,
and loyalty card program to 5,000 of P&P Bank’s more than 20,000 merchants.
“These infrastructure upgrades are necessary for both the bank and its
merchants to provide value-added services to consumers and to facilitate the
evolution of both merchant banking and retail consumer deposits,” commented
Dr. Peter Lukesch, director of P&P Bank and WebEngine.

About WebEngine:

Publicly-listed on the CDNX (YWE), WebEngine Corporation is a financial
transaction facilitator. The Company develops and markets sophisticated
solutions and provides advisory services to enable its clients to integrate
leading edge processing and security capabilities into their operations. Its
range of product offerings includes secure banking system infrastructure
development, credit card processing, clearing and settlement.

About P&P Bank:

Headquartered in Belgrade and with branches located throughout
Yugoslavia, Prva Preduzetnicka Banka A.D., is focused on serving small and mid-
sized companies. The Bank was established in 1992 to encourage the development
of private entrepreneurship in Yugoslavia and is focused on delivering
innovative financial services to its clients. P&P Bank has more than 13,000
depositors and in excess of 23,000 active accounts. (The Bank has assets of
approximately 3.4 billion dinars (US$51 million), the bulk of which (45%) is
held in cash.

MONEY TRANSFERS

Western Union Financial Services,
Inc, a subsidiary of First Data Corp. announced the launch
of Western Union Money Transfer services to Yugoslavia. For the first
time, Serbian emigres throughout the world will be able to send money home to
loved ones using Western Union’s safe, rapid and reliable services. By the
end of 2001, more than 300 agent locations in Serbia and Montenegro will be
equipped to receive and pay out money transfer transactions.

The recent election of President Vojislav Kostunica signaled the end of
U.S. sanctions in Yugoslavia and made possible Western Union’s entrance into
this emerging market. Since that time, demand for money transfer services,
from Serbians living outside Yugoslavia, has continued to increase
dramatically. Western Union’s swift entry into Yugoslavia makes it one of the
first American companies to do business in the economically devastated
country.

“Serbians currently living and working outside of Yugoslavia are looking
for ways to improve the lives of their friends and relatives in need and to
help rebuild our country,” said Father Majstorovic, Dean of the Saint Sava’s
Serbian Orthodox Cathedral in Manhattan. “Through the Western Union Money
Transfer service, they will now be able to send money to their loved ones
quickly and safely. This will not only help families in need, but I believe
it will also greatly stimulate small business growth and influx of much needed
capital to Yugoslavia.”

Under the terms of the three year contract, Western Union will provide
money transfer services through its agent, EKI Transfer and through several
Yugoslavian banks, acting as EKI Transfer subagents, including Jugobanka,
Bojvodjanska and Atlas Bank. Western Union plans to expand its agent
locations to include other banks and institutions throughout the country. As
the service is launched, money transfer services will be immediately available
in 30 locations, in several cities, throughout Serbia and Montenegro. Funds
may be received in Deutsche marks, dinars and, in selected locations, U.S.
dollars.

“It has been estimated that more than three million Serbians are currently
living outside of their country. While these expatriates have become proud
members of their new communities, they remain very loyal to their families
back home and seek the safest most reliable means of sending them money,” says
Alan Silberstein, president and CEO, Western Union Financial Services.
“Western Union is the first commercial money transfer provider to offer a
service Serbians can rely on to meet the needs of their communities.”

Western Union Financial Services, Inc. is a worldwide leader in consumer
money transfer services. Consumers can quickly, safely and reliably transfer
money at approximately 104,000 agent locations in more than 185 countries and
territories using the Western Union and Orlandi Valuta money transfer
networks. Famous for its pioneering telegraph service, the original Western
Union dates back to 1851 and introduced electronic money transfer service in
1871. Western Union is celebrating its 150th anniversary in 2001. For more
information, please visit the company’s Web site at
http//www.westernunion.com.

First Data Corp. powers the global economy. Serving nearly 2.5 million
merchant locations, more than 1,400 card issuers and millions of consumers,
First Data makes it easier, faster and more secure for people and businesses
to buy goods and services, using virtually any form of payment credit, debit,
stored-value card or check at the point-of-sale, over the Internet or by money
transfer. For more information, please visit the company’s Web site at
http//www.firstdata.com.