CAIXA & DIEBOLD

Diebold has signed agreements for a sales order of more than 9,600 ATMs
with Caixa Economica Federal of Brazil with, among the largest single
ATM sales-order volumes in history. The Diebold “ATM 4500” ATMs will be
integrated with the institution’s existing fleet 19,000 ATMs currently
in operation and include such security features as anti-skimming
technology with monitoring sensors for dip card reader, keyboard, an LCD
display and electronic access control. This agreement is being
implemented with the intention of positioning Caixa to benefit from
greater operational efficiencies and profitability, which has over 32
million accounts totaling a volume of U.S. $170 billion, while Diebold
integrated self-service provider employs over 17,000 associates with
representation in 90 countries.

Citi Adds More Weight to its Diamond Cards

Citi has introduces its enhanced “Diamond Preferred” suite of cards to provide privileges and benefits for no annual fee. In addition to standard Citi card security benefits, such features included with the “Diamond Preferred” suite include concierge service, exclusive money-saving discounts, a free annual account summary, access to guaranteed dining reservations, golf tee times and VIP access to various events. Additionally, cardholders are rewarded 6,000 bonus “ThankYou Points” after making $100 in purchases within the first 3 months of membership and are given access to an introductory promotion offering 5 “ThankYou Points” for every $1 spent during the first 12 months and 1 point for every $1 spent thereafter. Citi provides financial products and services to 200 million customers in more than 100 countries.

AXIOM

American Express has announced its intention to introduce its “AXIOM”
business travel management solution to the United Kingdom market.
Providing clients with Web 2.0 technology, the “AXIOM” intelligent
online marketplace is powered by Rearden Commerce and will provide
British consumers with travel services before 2009 after a successful
run in the US. Providing inventory from over 135,000
suppliers, the AmEx Intelligent Online Marketplace provides businesses
with control over unmanaged expenses, which account for 49% of travel
costs, and allows managers to maximize negotiated savings from
merchants. For travelers, “AXIOM” provides convenience with a searching,
purchasing and management solution while providing suppliers with access
to AmEx clients and opportunities to make customized offers to
corporations.

First Data Revenues Climb 16% in 1Q/08

First Data reported first quarter consolidated revenues of $2.13 billion, a 16% increase as EBITDA rose 8% to $586 million, over 1Q/07. Effective January 1st, FDC revised its segment reporting structure into Merchant Services, Financial Services, International, Prepaid Services and Integrated Payment Systems. Merchant Services generated revenues of $926 million, a 10% gain over the prior year quarter. Financial Services revenue inched up by 1% to $706 million. International revenues rose 23% to $445 million. International revenue growth on a constant currency basis, excluding acquisitions and divestitures, was 5%, negatively impacted by price compression and lost contracts primarily in its Western European and Asia Pacific businesses. Prepaid Services was flat at $46 million. Integrated Payment Systems soared 139% to $45 million, compared to the year ago quarter. On April 28th FDC reached an agreement to acquire prepaid card specialist InComm for $980 million, plus contingent future payments of up to $250 million over a three year performance period. The acquisition is expected to close in the second half of this year. For complete details on First Data’s first quarter performance visit CardData ([www.carddata.com][1]) (CF Library 4/28/08)

[1]: http://www.carddata.com

Elavon & Bank of the West Expand Deal

CA-based Bank of the West has extended its marketing alliance agreement with card processor Elavon. Bank of the West markets Elavon’s merchant processing services to business customers throughout its 19-state banking network of more than 700 commercial office and retail branch locations. Bank of the West is the fourth-largest commercial bank based in the western United States with $62 billion in assets. Elavon provides end-to-end payment processing services to more than one million merchants in the United States, Europe, Canada and Puerto Rico and provide solutions that include credit and debit card processing, electronic check services, gift cards, dynamic currency conversion, multi-currency support, and cross-border acquiring.

Dress Barn Renews its ADS Contract

Alliance Data Systems has signed a multi-year contract extension with retailer Dress Barn to continue providing private label credit card services. Under terms of the agreement, Alliance Data will continue providing private label credit card services including account acquisition and activation; receivables funding; card authorization; private label credit card issuance; statement generation; remittance processing; customer service functions; and marketing services. Alliance Data is a provider of marketing, loyalty and transaction services, managing over 120 million consumer relationships

AmEx Intros a Spring Gift Card Promo

American Express is offering free $25 “Spring Fling” gift cards when customers purchase two American Express gift cards. Shoppers can take advantage of this promotion by purchasing any two American Express Gift Cards or themed Gift Cards at American Express Travel Service offices and at participating retailers, completing a rebate form found at the in-store display and mailing it to the address noted on the rebate form. All rebate forms must be received by July 22, 2008, with a limit of two Spring Fling Cards per household. Participating retailers include: CVS, Walgreens, Safeway, Kroger, Rite Aid, Ahold, Albertsons / Supervalu, A&P, Wawa, Winn Dixie, Longs Drugs, Stater Brothers, Pathmark, Shop Rite / Wakefern, Bi-Lo, Wegman’s, AAFES, King Kullen, Kings, Quick Chek, Price Chopper, Raley’s, Lowes, Harmons, Bashas, and Big Y. The American Express Spring Fling Card can be redeemed for three months after the date of issue at U.S. locations of participating entertainment retailers: Best Buy, Borders, Fandango and SpaFinder.

Biz Card Issuers Should Analyze Behavior

A new report from Aite Group suggests small-business credit card payment behavior can assist financial institutions attempting to segment small-business customers for insight into the size-behavior correlation. Unlike segmenting small business based on revenue, which is not always a good predictor of financial product needs nor is it very accurate, segmenting businesses based on purchasing behavior with payment cards provides an accurate depiction of business’ size, annual sales, habits and preferences. Aite says identifying the type of card a customer uses for business purchases can enable a cash management product offering to be specifically targeted to a customer’s needs.

AirDefense to Offer PCI Podcasts

GA-based AirDefense has partnered with Motorola to debut its series of PCI compliance podcasts, sponsored by the Stratix Corporation. The series of podcasts will feature Dr. Amit Sinha, AirDefense’s CTO, and Mark Self, Motorola’s VP of retail solutions, who will both examine payment card industry data and security compliance across the retail Industry. Stratix Corporation is a mobile systems integrator for supply chain solutions, Motorola provides wireless and broadband communications around the world with a 2006 sales of US $42.8 billion while AirDefense provides wireless security across various industries, serving 700 agencies and corporations.

FALCON TRANSFER

Fair Isaac has introduced a new anti-fraud solution that employs the same mathematical techniques used in missile interception to identify fraudulent activity, and can react according to user-defined business rules in just 200 milliseconds. The new “Falcon Transfer” was designed to meet the challenges of the UK’s “Faster Payments” initiative. Fair Isaac says criminals will try to exploit the real-time
speed of “Faster Payments” as banks will take “Standing Orders”
up to GBP 100,000, irrevocably processed “24/7/365.” “Falcon Transfer” was created by expanding on the proven capabilities of Fair Isaac’s “Falcon Fraud Manager,” which monitors more than 1.5 billion
active payment cards worldwide. Fair Isaac’s modeling technology supports rapid data analysis and non-linear modeling of transactions to spot anomalies in behavior which could point to fraud. Falcon Transfer also reviews both the sender’s and receiver’s account profile.

Visa Inc. Introduces a Meetings Card

Visa has introduced a new card product to give corporate expense managers the most cost effective method for managing meetings and related expenses. The new “Visa Meetings” card includes the features of the existing “Visa Purchasing” and “Visa Corporate” payment cards. The new card builds upon a strategic alliance with Arcaneo to integrate “Visa Meetings” card transaction data into Arcaneo’s “Metron” strategic meetings management system. Web-based data and reporting tools available through Visa Information Management, an integral component of the Visa Meetings card, further improves company visibility into meetings spending. These tools provide access to transaction details and e-folio data from hotels, airlines, car rental agencies and other suppliers through easy-to-read reports, expense reporting tools, cardholder statements and file extract capabilities. According to research by the Aberdeen Group, surveyed companies spent on average nearly three percent of their annual revenues, or $17.3 million, on meetings-related expenses during 2007.

FDC & KOTAK MAHINDRA

First Data’s e-commerce and payment service has signed a 5-year card
processing agreement with Kotak Mahindra Bank, ensuring a greater
presence in India. The agreement requires First Data to provide
processing services for Kotak’s unsecured lending portfolio, which
includes credit cards and loans, and client services support through the
First Data Mumbai offices. The First Data services will provide Kotak
Mahindra Bank speed to market by implementing the processing
infrastructure within four months. First Data has operations in 37
countries serving over 5.4 million merchant locations and 2,000 card
issuers while Kotak Mahindra has a net worth of over Rs. 5,609 crore and
17,000 employees serving 3.6 million customer accounts.