S1 Corporation Names a New CFO

Payment solution provider S1 Corporation has tapped Paul Parrish,
previously with Infor Global Solutions, to serve as CFO.
Parrish served as Senior Vice President, Controller and Principal
Accounting Officer at Infor Global Solutions, a global enterprise
software company. Prior to this role, Mr. Parrish spent ten years at
the John H. Harland Company where he served in various roles including
most recently
as Senior Vice President of Finance, Information Technology and Chief
Officer of their Printed Products Division, and the Vice President and Chief
Financial Officer of their Software and Services Division. A certified
public accountant,
Parrish also spent more than 13 years at Deloitte & Touche.

First Data Certifies Hypercom’s Optimum

First Data has Class A certified Hypercom’s high
security “Optimum T4210” and “T4220 PCI”
PED-approved card payment terminals. The First Data Class A certified terminals
feature dial-only, as well as Ethernet with dial backup connectivity,
and have been successfully implemented with leading banks, retailers and
independent sales organizations globally. The certification opens an
important sales channel for Hypercom’s devices through First Data’s
large customer base of more than 5.4 million merchant locations.

V/MC Settlement Keeps Discover in the Black

Thanks to its recent settlement with Visa and MasterCard, Discover Financial Services posted a $646 million pre-tax profit for the quarter ended November 30th for its U.S. Card Segment. During the quarter Discover received an $863 million payment as the first installment of its $2.75 billion settlement of an antitrust lawsuit with Visa and MasterCard. The remaining proceeds in equal $472 million installments will be paid over the next four quarters. Fourth quarter managed loans hit $51 billion, up 6% from last year and 1% from last quarter. Discover says decreased consumer spending and balance transfer activity were offset by lower cardholder payments and growth in installment loans. Fourth quarter sales volume decreased 2% year-on-year to $22.0 billion. The managed over 30 days delinquency rate of 4.56% was up 71 basis points from the prior quarter, and 98 basis points from last year. The managed net charge-off rate increased to 5.48% for the fourth quarter, up 28 and 163 basis points, respectively, from last quarter and last year. Discover says it expects the managed net charge-off rate in the first quarter will exceed 6%. The Third-Party Payments segment transaction volume was a record $125 billion, up 36% from last year, reflecting the addition of Diners Club International volume of $13 billion, as well as increased volumes on the PULSE and Discover networks. Pretax income of $81 million was up $44 million from 2007 including $11 million related to Diners Club International, which was acquired in June 2008. Revenue increased $61 million due to increased volumes and fee revenues as well as a $28 million contribution from Diners Club International. Expenses increased $17 million due to the inclusion of Diners Club International. For complete details on Discover’s latest performance visit CardData ([www.carddata.com](http://www.carddata.com)).

4Q/07: $320.8 million
1Q/08: $375.4 million
2Q/08: $309.1 million
3Q/08: $245.2 million
4Q/08: $646.4 million
Source: CardData (www.carddata.com)

Schering-Plough Selects Citi C-Cards

Citi’s Global Transaction Services have been selected by Schering-Plough
to provide commercial cards. Citi offers
best-in-class reporting, wide acceptance and ability to integrate fully
with Schering-Plough’s internal payment and expense management systems which
will enable Schering-Plough to streamline its corporate, purchasing and
fleet expenses. Citi offers the
most widely accepted commercial cards available, with acceptance at 27
million merchant locations and 1.5 million ATMs in 140 countries.


Prepaid product provider Mint Technology has entered into an agreement with
Silverback Media to introduce mobile payments. Mint’s customers
will initially have the ability to load their prepaid MasterCard or check
their balance using their mobile phone – easily and effortlessly.
Ultimately, the collaboration will result in the rollout of other mobile capabilities.
Silverback will provide the technology to manage all aspects of the mobile
connectivity and user-experience. As a MasterCard Member Service Provider, Mint works with business
partners to customize prepaid credit card programs that are tailored to meet a
company and its card holder’s needs.

Credit Crunch Drives VeriFone’s Q3 Loss

VeriFone’s final report for the quarter ended October 31st
shows net revenues of $244.7 million, about 2.8% above the year ago level. However, the payment terminal manufacturer posted a $362.5 million net loss, compared to net income of $18.9 million for 3Q/07.
The Company says new store openings in North America are down significantly and many sales organizations are experiencing difficulties obtaining sources of credit. VeriFone says its international business increased 20% while net revenues from its North America business decreased 16%. The Company previously noted that since mid-September it has experienced higher-than-expected foreign exchange losses, volatility in exchange rates resulting in product costs, adversely moving faster than could be reflected in local-currency pricing. During the third quarter VeriFone released the “Vx 700” electronic payments module for kiosks, vending machines, ticketing devices and traditional cash based systems; launched a program to secure the implementation of the “PCI SSC Payment Application Data Security Standard”; appointed Robert Dykes, previously with NebuAD, as SVP and CFO; and was awarded a multi-million dollar contract by Cabcharge Australia to deploy 20,000 “Vx 810” systems for contactless payment acceptance in taxis across the entire Cabcharge fleet. The Company also filed amended and restated quarterly reports for the last two years. For complete details on VeriFone’s latest performance visit CardData ([www.carddata.com](http://www.carddata.com)). (CF Library 8/15/08; 8/20/08; 9/4/08: 10/01/08; 11/03/08; 11/21/08)

3Q/05: $130.5 million
4Q/05: $134.6 million
1Q/06: $142.2 million
2Q/06: $147.6 million
3Q/06: $156.6 million
4Q/06: $216.6 million
1Q/07: $217.2 million
2Q/07: $231.7 million
3Q/07: $237.9 million
4Q/07: $216.4 million
1Q/08: $185.5 million
2Q/08: $258.7 million
3Q/08: $244.7 million
Source: CardData (www.carddata.com)


Sino Payments has received clearance from the National Association of Securities Dealers to trade
on the Over the Counter Bulletin Board under the trading symbol SNPY.
Sino Payments is an Asian-based credit and debit card processing
merchant services company, which has developed an IP
processing network to provide credit and debit card clearing services to
merchants and financial institutions in China and regionally in Asia.
The primary focus of future development efforts will be the rapidly
growing Chinese credit and debit card market. Sino
Payments Global Payment Processing Platform was built and designed with
large Asian multinational retailers in mind so as to deploy the same IP
transaction processing capability for all stores spread out throughout
the Asia Pacific region.

FI’s Debt Manager 7 Targets Delinquencies

Fair Isaac has released the first available product of the Fair Isaac “Decision Management Suite.” “Debt Manager 7” enables resource-constrained card issuers and banks to manage a greater number of delinquent customers without the need for additional collections staff. The solution incorporates Fair Isaac “Collection Scores,” allowing collectors to prioritize delinquent customers based on risk, so collection time and resources can be allocated toward the customers that are most likely to respond. It also empowers representatives to arrange workout plans with delinquent customers in real time, on the first telephone conversation. Fair Isaac says creditors can generally expect a 15% to 20% improvement in collection strategy effectiveness compared to a subjective segmentation of accounts.


MasterCard Worldwide announced that Swiss Bankers Prepaid Services will
take advantage of the global prepaid transaction processing capabilities of “MasterCard
Integrated Processing Solutions” (IPS). The first global prepaid agreement for IPS continues the advances
MasterCard has made in the prepaid sector. “MasterCard IPS” integrates
market-proven software into the MasterCard Worldwide network, enabling
financial institutions to expand their portfolios across business
channels with minimal infrastructure investment and quick and efficient
administration. MasterCard IPS this year was named to the “InfoWorld 100,” an honor
given by InfoWorld’s editorial staff honoring the 100 companies that
make the best use of technology to enhance their business.


The Conference Board reports that the leading index for France declined 1.9% .
The leading index declined sharply in October, the twelfth
consecutive monthly decline and the largest since 1973. One of the seven components of the leading index
increased in October. The positive contributor to the index was the yield spread. The
negative contributors to the index were the stock price index, production expectations, the inverted new
unemployment claims, industrial new orders, building permits (residential) and the
ratio of the deflator of manufacturing value added to unit labor cost for manufacturing.
As a result, the leading index declined 4.4% during the six-month period ending in October (about a -8.7% annual
rate), well below the 4.1% annual rate of decline between October
2007 and April 2008. With the decrease of 1.9 percent in October, the leading index now
stands at 122.5 (1990=100).

Interceptas Adds Merchant Alarm for CNP TX

Accertify’s “Interceptas” platform is adding Affinion Security Center’s “Merchant Alarm” to give merchants additional firepower to reduce fraud in “card-not-present” transactions. “Merchant Alarm” patrols the Internet to find compromised credit card and debit card data. It generally detects compromised card data well before cardholders know their data has even been taken and then provides alerts to credit card merchants in real time. IL-based Accertify is the first company to focus on developing fraud prevention tools and strategies from the perspective of merchants that accept “CNP” transactions. That focus led to the development of “Interceptas” which applies state of the art automation to every step in the merchant’s process of managing credit card fraud exposure. Affinion Security Center, a division of CT-based Affinion Group, is part of the steering committee of the Identity Theft Prevention and Identity Management Standards Panel and is a member of the Staples Security Council.

PredictoMobile Drives CharityChoice Cards

Interactive SMS service PredictoMobile has launched a new mobile
charitable giving service.
The new initiative will give members the opportunity to convert these
reward points into tax-deductible
CharityChoice Gift Cards. Recipients of the Gift Cards are able to
select a charity from a list of over 100 renowned non-profit
organizations, including March of Dimes, Toys for Tots, Mercy Corps, Big
Brothers Big Sisters, and the Alzheimer’s Association, among others.
The premium mobile service company serves over 1 million members who
cast votes on their cell phones via SMS to predict the outcome of
current events. With each vote, members earn reward points redeemable
for ringtones, gift cards, and consumer electronics.