TSYS Completes NetSpend Acquisition

TSYS has completed its acquisition of NetSpend, now a wholly owned TSYS subsidiary and TSYS’ fourth operating segment focusing on direct to consumer products and services. NetSpend is a leading provider of general purpose reloadable (GPR) prepaid debit cards, PayCards and related financial services to the estimated 68 million underbanked consumers in the United States who do not have a traditional bank account or who rely on alternative financial services. NetSpend previously operated as a publicly traded company. NetSpend common stock ceased trading on NASDAQ prior to the opening of trading on Monday, July 1, 2013, and will be delisted. Under the terms of the definitive merger agreement between the parties, NetSpend stockholders are entitled to receive $16.00 per share in cash for each share of NetSpend common stock that they hold.

UBPS Acquires JetPay Real Time Processor

Universal Business Payment Solutions Acquisition Corporation completed its acquisitions of the JetPay card processor and the A D Computer Corporation companies. A D Computer has its own innovative technology platform, designed with optimum flexibility to accommodate payrolls of all sizes – from small family businesses to large corporations with 10,000 or more employees. JetPay offers real time credit card and ACH processing and is a merchant account provider that process all front end authorizations as well as all back end clearing and settlement functions in-house from end-to-end for both card-present as well as card-not-present transactions. It expects to process more than $30 billion in sales volume with over 150 million transactions for merchants as well as independent sales organizations.

DATAMATX eBilling Gains PCI DSS Compliance

DATAMATX, a full-service provider of printed and electronic billing solutions has validated compliance with the highest requirements achievable by a service provider for securing customer data based on requirements set forth in the Payment Card Industry Data Security Standard v2.0. Full compliance was awarded as the result of onsite assessments and extensive testing performed by an independent certified PCI Qualified Security Assessor (QSA) working under the established PCI DSS requirement standards.

Coalfire Validates Merchant Link Solutions, Reducing PCI DSS Scope

Merchant Link “TransactionShield” and “TransactionVault” solutions can significantly reduce merchants’ PCI DSS scope, according to an independent security assessment released by Coalfire Systems. The Payment Card Industry (PCI) Qualified Security Assessor (QSA) and Payment Application Qualified Security Assessor (PA-QSA) company validated Merchant Link’s “TransactionShield” point-to-point encryption (P2PE) solution that ensures that customer data is secure from the moment their credit card is swiped, which removes customer credit card data where it would be at risk from hackers to Merchant Link’s hosted vault. TransactionVault can eliminate post authorization storage of cardholder data from a merchant’s network by storing it in Merchant Link’s PCI DSS compliant data centers.

Fiserv Completes Tender Offer

Fiserv’s previously announced tender offer to purchase for cash any and all of its $1.0 billion outstanding aggregate principal amount of 6.125% Senior Notes due 2012 expired at 5:00 p.m. EST on June 13. If the conditions to the Tender Offer are satisfied or waived, the Company will accept for purchase and make payment for all of the 2012 Notes validly tendered and not validly withdrawn prior to the expiration of the Tender Offer, representing a total aggregate principal amount of approximately $699,802,000, tomorrow, June 14, 2011. In addition to the Total Consideration, the Company will also pay accrued and unpaid interest on the Notes purchased from the last interest payment date up to, but not including, the settlement date in the amount of $4.08 per $1,000.

Angell EYE Releases Portable USB Credit Card Swiper

Angell EYE has introduced the “USB swiper” that requires no phone lines or hardwired card reader.
The mobile credit card swiper is a portable
device that plugs into a USB port on any computer and reads credit card
information for transmittal to Paypal. The transaction is processed and
the sale accepted or denied at the point of sale, eliminating the risk that
someone may pay with a card that is not accepted. The funds are
instantly deposited into the business’s Paypal account.

Western Union to Refinance Debt through Exchange Offer

Western Union has commenced its exchange offer to refinance some of its outstanding debt securities, to expire at midnight on on March 29. Offering to exchange up to $500 million aggregate principal amount of its 5.400% notes due 2011 for a new series of notes due April 1, 2020, the coupon on the new notes will be calculated by adding the yield of the 10-year Treasury and 1.35% by March 25th. The total exchange price for the old notes is based on a fixed-spread pricing formula and will be calculated on the second business day prior to the expiration of the exchange offer. Old notes tendered before the withdrawal date may be withdrawn at any time prior to the withdrawal date.

APAX & BANKRATE

Advised by Apax, BEN Merger Sub and BEN Holdings has completed its cash
tender offer for all of the outstanding shares of common stock of
Bankrate at $28.50 per share in cash. Upon expiration of the offer,
5,397,131 Bankrate shares had been validly tendered and not validly
withdrawn, including 635,671 shares tendered by notices of guaranteed
delivery, representing approximately 28% of the outstanding shares of
the organization. An additional 4,571,476 shares, approximately 24% of
the outstanding shares of Bankrate, are owned by directors and senior
managers, giving BEN Merger Sub voting control of approximately 52% of
the outstanding shares of Bankrate. BEN Merger Sub has also exercised
its “top-up” option granted under the merger agreement pursuant to which
Bankrate has agreed to issue shares to BEN Merger Sub in an amount
sufficient to achieve at least 80% ownership plus one share and permit
the completion of a “short-form” merger under applicable Florida law.

Advanta ABS Problems Freezes Biz Cards

Advanta shed more light on the deterioration of its business credit card portfolio and its decision to shut down all credit card accounts for future use on June 10th. The Company’s securitization trust will go into early amortization on June 10th based on May’s performance.
Advanta is also going to use up to $1.4 billion to buy the “Class A” senior notes at a discount of 25% to 35% of their face value in a modified “Dutch Auction.” In filings with the SEC, the “Advanta Business Card Master Trust” had a receivables balance of $4.5 billion as of April 30th. The default rate for April was 20.15%, compared to 17.31% for March. The aggregate outstanding balance of the accounts which were delinquent 90 days or greater as of the end of April was 5.97% of total Receivables as compared to 5.96% as of the end of March. The aggregate outstanding balance of the accounts which were delinquent 30 days or greater as of the end of April was 11.54% of total receivables, as compared to 11.92% as of the end of March. Overall, Advanta reported a first quarter net loss of $75.9 million, a 62% sequential increase. Managed charge-offs soared to 16% from 12% in the prior quarter and compared to 6% one-year ago. For complete details on Advanta’s latest performance visit CardData ([www.carddata.com](http://www.carddata.com)).

MANAGED CHARGE-OFFS
1Q/08: 6%
2Q/08: 8%
3Q/08: 10%
4Q/08: 12%
1Q/09: 16%
2Q/09: 20%
Source: CardData (www.carddata.com)

Advanta Takes Steps to Reduce Losses

Advanta’s Board of Directors has approved a plan designed to
dramatically limit the Company’s credit loss exposure and maximize its
capital and its liquidity measures. Advanta Bank Corp. will use up to $1.4 billion to make a cash tender
offer for Advanta Business Card Master Trust Class A senior notes at a
price between 65% and 75% of their face value in a modified Dutch Auction.
Advanta Corp. will make a cash tender offer for any or all of the $100
million of 8.99% Capital Securities issued by Advanta Capital Trust I at
20% of their face value. Advanta’s securitization trust will go into early amortization based
on May’s performance. Early amortization will officially be determined
on June 10.
Since the securitizations will not be permitted to fund new receivables
after June 10, the Company will shut down all credit card accounts to
future use at that time. Neither Advanta Bank Corp. nor any other
Advanta-related entity will fund activity on its balance sheet from the
accounts. Therefore, the Company will not take any off-balance sheet
receivables onto its balance sheet. Shutting down the accounts will not
accelerate payments required from cardholders on existing balances.
In early amortization almost all of the receipts from cardholders are
required to be paid to the securitization trust’s noteholders and to the
Company’s seller’s interest (its on-balance sheet share of the
receivables). The securitization trust’s notes are obligations of the
trust and not of any Advanta entity. The Company is only at risk with
respect to the off-balance sheet obligations to the extent of its
residual interests. The Company will continue to service and collect the securitization trust’s credit card receivables and its own receivables. This, along with taking appropriate actions to adjust expenses to be consistent with these activities, will be the Company’s first priority.