Capital One has dispatched solicitations to real estate developers and brokers in the Northern Virginia suburbs for a site to build a corporate campus. Capital One is looking for 1.0 million to 1.5 million square feet of office space to handle between 4,000 and 6,000 employees. Capital One has about 12,000 employees in the U.S. According to sources involved in the search, Capital One is looking to select its new site by the end of 1999 and then move employees in by October 2001. Cap One’s search has focused on the following areas in Northern Virginia: Tysons Corner; Falls Church; McLean; Alexandria; Merrifield; and Arlington. The firm currently has offices and operations in Richmond, Falls Church and Fredericksburg, all in Virginia.
HNC Financial Solutions, a division of HNC Software Inc. (nasdaq: HNCS), today announced that WesBanco Inc., a West Virginia based multi-bank holding company, has selected ProfitVision for enterprise-wide profitability analysis.
ProfitVision is a comprehensive solution that calculates the profitability of customers, relationships, products, and business units, and distributes the results to decision-makers throughout the organization. The system incorporates an interface to core accounting and banking systems, and ensures the integrity of profitability measurement through matched-maturity funds transfer pricing and sophisticated cost-allocation methods, including activity based costing. ProfitVision offers its powerful analytical capabilities on a choice of client-server platforms, including Oracle, MS SQL, DB2/UDB, and OS/400 to support remote access, end-user simulation, and enterprise-wide reporting.
‘We selected ProfitVision because of its superior technology platform, as well as HNC’s professional project management team that will be implementing our system,’ said Paul Limbert, Executive Vice President and Chief Financial Officer of WesBanco. ‘ProfitVision is an ideal solution that fulfills our desire to provide superior performance information to out branches, and to improve product and customer information flow throughout the entire bank.’
‘Accurate profitability information is critical to the successful management of customer relationships, which is essential for survival in today’s increasingly competitive market,’ said Patricia Brown, Vice President and General Manager of HNC Financial Solutions Chicago office. ‘We share WesBanco’s vision of providing complete, timely and accurate profitability information to key decision makers, and we look forward to helping them prosper in the years ahead.’
WesBanco currently operates four banks through 60 banking offices in the states of West Virginia and Ohio. Its principal banking subsidiaries include WesBanco Bank Wheeling, WesBanco Bank Fairmont, WesBanco Bank Parkersburg, and WesBanco Bank Charleston. In addition, WesBanco operates a mortgage company, WesBanco Mortgage Company, and an insurance agency, Hunter Agency, Inc. Other affiliates include WesBanco Securities, Inc. and Hometown Finance Company. On June 30, 1999, WesBanco had consolidated assets of $2.3 billion, deposits of $1.8 billion and shareholders equity of $283 million.
About HNC Financial Solutions
HNC Financial Solutions is a leader in predictive customer relationship management (CRM) software for the payment card and consumer lending industries. Its powerful suite of proven decision platforms and predictive business solutions address the mission-critical, customer-lifecycle needs of financial institutions.
About HNC Software
Headquartered in San Diego, California, HNC Software Inc. (Nasdaq:HNCS) is a leading provider of complete Predictive CRM solutions for service industries, HNC divisions include Financial Solutions, Retek Retail Solutions, Insurance Solutions, eHNC, and Telecommunications Solutions.
HNC suite of predictive software solutions can provide real-time insight into customer relationship based on transaction-level data, helping business-to-consumer companies manage their relationships with individual customers By accurately predicting customer behavior, these companies can create initiatives to mitigate risk and attrition; improve customer service; develop marketing programs to enhance profitability; optimize store replenishment activities; and detect fraudulent customer transactions. For more information, visit HNC’s web site at http://www.hnc.com/ or contact Jane Leonard, HNC Software Inc., 5935 Cornerstone Court West, San Diego, CA 92121, 858-799-3880. For the investor relations hotline, call 800-396-8052
Wachovia Bank was named Wednesday as the primary bank for the ‘UNC One Card’, the official student and employee ID card at the University of North Carolina at Chapel Hill. Beginning this fall, students, faculty and staff will be able to add optional Wachovia banking services to their campus ID cards. The program offers access to 24,000 students and 11,000 employees. Yesterday’s announcement brings to more than 100,000 the number of students, faculty and staff members who will have access to Wachovia through campus card programs in the Southeast. Wachovia also will introduce campus card programs at Georgia Perimeter College in metropolitan Atlanta and Mercer University in Macon, Ga., this summer. Early next year, a program will begin at North Carolina A&T University in Greensboro, and Wake Forest University in Winston-Salem, N.C., is scheduled to introduce its program in the fall of 2000. Wachovia already has campus card relationships with Clayton College & State University in Morrow, Ga., and Virginia Commonwealth University in Richmond.
AOL wants to be everywhere you want to be. Yesterday America Online announced a partnership with Atlanta-based Radiant Systems, Inc. for the development of consumer interactive services for deployment on POS devices. The multi-year agreement provides extensive promotional opportunities at the retail level and will potentially enable consumers to receive e-mail and other real-time information at retail locations around the world. For example, consumers could be checking their e-mail while refueling at a gas station or checking the latest news, weather or sports while seated in a pizza parlor. As part of the agreement, AOL will make an investment in Radiant Systems as well as fund and participate in a new joint venture. Yesterday’s announcement also drew the threats of a lawsuit by Irvine, CA-based NetPack, Inc. NetPack says it met with AOL in January to discuss an exact replica program. NetPack says it discussed, under a confidentiality agreement, the business model, access cards and magnetic terminal validation for an exact system. NetPack says it will file suit in Federal Court later this week to seek $100 million in damages for alleged breach of confidentiality, theft of intellectual property, and dilution.
First Union installed the world’s first freestanding exterior walk-up cash dispenser yesterday in the new Universal Studios ‘Islands of Adventure’ theme park in Orlando. The ‘1075ix’ exterior walk-up cash dispenser was introduced in December. It is designed for outside deployment in a location where 24-hour operation and a small footprint is desirable, and medium-to-high transaction volumes are expected. The model includes four dispense cassettes, Diebold ix software and a full range of ix Series printers and displays that provide the options of coupon printing and dispensing, screen advertising, ticket/stamp/phone card dispensing and other revenue-generating features and applications. First Union says the Florida’s tough weather conditions will give the new machine a real workout.
American Management Systems, Inc. and decisioning.com, Inc., a subsidiary of Affinity Technology Group, Inc. Friday announced the signing of a patent licensing agreement that enables AMS to incorporate Affinity’s patented automated lending technology in systems developed by AMS.
AMS has integrated this innovative technology into its iCredit suite of products that provide fully automated instant credit decisioning for customers applying through the Internet. With iCredit, financial institutions can quickly capitalize on the increasing consumer demand for on-the-spot credit approval anytime, anywhere. iCredit is one example of AMS’s full spectrum of e-commerce solutions.
Affinity said that decisioning.com expects to receive at least $1 million in licensing fees under the AMS agreement during the next 18 months. Terms for individual licenses, to be granted by decisioning.com to AMS clients, were not disclosed.
“Our agreement with Affinity ensures that AMS clients remain in the vanguard of Internet lending technology,” said Robert Kramer, Vice President, Consumer Financial Services of AMS.
“We partnered with Bank of Montreal to deliver the first web site with instant online decisioning for mortgage, student loan and credit card applications in 1997. We have now successfully deployed this patented technology into our iCredit products. As a result, our clients can be first to market and first to innovate with Internet-based customer self service lending, creating competitive advantage at a substantially reduced risk.”
“We see this agreement with AMS as the first of many opportunities to license Affinity’s patented technology to developers and users of automated lending systems,” said Murray Smith, President and CEO of Affinity and decisioning.com. “In addition, we will continue to sell rtDS, Affinity’s real time outsourced decision service for Internet lenders that renders decisions on Internet loan applications using the lender’s credit policy. rtDS is available today for decisioning mortgages, home equity loans and lines of credit, auto loans and leases, credit cards, and other unsecured loans and lines of credit.”
The AMS-decisioning.com agreement covers U.S. Patent 5,870,721 and related pending patents. Issued in February, this Affinity patent covers fully automated systems for lending. Affinity Technology Group has assigned to decisioning.com exclusive rights under the patent, including the right to sublicense the patent, in the Internet field of use. Affinity retains patent rights for systems taking applications by other means, such as its Automated Loan Machine.
iCredit is AMS’s software suite that enables organizations to provide instant, interactive credit originations through all delivery channels. This suite includes ACAPS Enterprise, the market leading credit application processing solution; ACAPS Anywhere, the intuitive GUI for access to ACAPS Enterprise at multiple delivery channels; Credit Xpress, the real time Internet lending application system; BureauLink, the rapid linkage to credit bureau information; and Strata, the customer-based decision management platform.
AMS’s consumer financial services practice specializes in customer management strategy and technology consulting for large institutions. AMS is a world-class international business and information technology consulting firm. As one of the 20 largest consulting firms worldwide, AMS provides a full range of services and solutions: eCommerce, customer value management, business re-engineering, change management, knowledge management, systems integration, and systems development and implementation. Founded in 1970, AMS is headquartered in Fairfax, Virginia, with over 8,000 employees and 57 offices worldwide. AMS had 1998 revenues of $1.1 billion. AMS can be found on the World Wide Web at [http://www.amsinc.com].
Affinity’s technology enables financial institutions to link their dealers, branches, call centers, and Internet customers electronically to their credit departments, providing fully automated lending — and, if necessary, connectivity to a loan officer — through every channel. For financial institutions, Affinity’s solutions expedite loan decisioning and processing and increase productivity and capacity of branch personnel, call center agents, loan officers, and indirect agents, while improving the overall customer experience. Affinity is located on the World Wide Web at [http://www.affi.net]. decisioning.com’s web site is located at [http://www.decisioning.com].
Forward-looking statements in this news release, including statements regarding the scope of Affinity’s patent covering fully automated lending systems, the agreement between Affinity/decisioning.com and AMS, and potential revenues to Affinity/decisioning.com under that agreement are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that forward-looking statements involve risks and uncertainties, including those related to general economic conditions, delays, risks and uncertainties associated with the development and deployment of new technologies, consumer and industry acceptance of automated delivery channels, and regulatory risks, that may cause actual results to differ materially from those projected.
BITS, the technology group for The Financial Services Roundtable, will officially inaugurate the new BITS Financial Services Security Laboratory located in Reston, Virginia at a special grand opening ceremony tomorrow, Wednesday, July 28th.
Media are invited to attend this important event, which will be of particular interest to journalists who cover electronic commerce, financial services, advanced technology and the Internet.
The BITS Laboratory will be operated and hosted by Global Integrity Corporation, a subsidiary of Science Applications International Corporation (SAIC). The facility will enable financial services companies and technology vendors to work cooperatively to further strengthen the security of electronic banking systems and related technologies. The lab ultimately will test security features and capabilities of products for select PC operating systems, browsers, servers, and applications software used for PC banking; anti-virus software firewalls; and end-to-end security systems.
The grand opening will feature remarks by the Honorable Robert F. Bennett, US Senate and the Honorable Sam Nunn, as well as other prominent industry leaders and dignitaries. Dedicated media tours of the lab are available.
DATE: TOMORROW — Wednesday, July 28th 1999
TIME: 12 p.m. – 2 p.m. (media tours in the morning by appointment only)
PLACE: 12100 Sunset Hills Road, Reston, VA (30 minutes from Washington, DC)
RSVP/INFO & INTERVIEWS: Megan McDonnell, (203) 325-8772, #14, [email protected]
BITS, the technology group for The Financial Services Roundtable, was created in 1996 to foster the growth and development of electronic banking and e-commerce in an open environment that will encourage greater choice and efficiency in financial software, access devices, networks and processing capabilities for the benefit of financial institutions and their customers. BITS promotes safety and soundness in payments systems and in electronic banking products. BITS is governed by a Board of Directors comprised of 14 Chairmen and CEOs of the largest U.S. bank holding companies as well as representatives of the American Bankers Association (ABA) and the Independent Community Bankers of America (ICBA). For more information, visit the BITS Web site at [www.bitsinfo.org].
The largest deployment of ATM-based, prepaid calling sales in the industry to date and the first large-scale rollout of its kind by a major regional bank is now underway. First Union is now offering MCI WorldCom prepaid calling vouchers at nearly 2,900 ATMs. The vouchers are available in 30- or 60-domestic minute denominations. The ATM receipt serves as a prepaid calling card, with the toll-free access number and PIN needed to place a telephone call printed on the receipt. Buyers are also provided with a receipt with dialing instructions for domestic or international calls. First Union has been offering stamps at approximately 140 ATMs since January.
Despite serving primarily the sub-prime credit card market, Capital One said Thursday its charge-off rate has declined and “continues to be the lowest among industry leaders”. According to Cap One’s 2Q/99 earnings report the managed net charge-off rate decreased to 3.73% for the second quarter of 99 versus 3.93% for the first quarter, and 5.91% for the comparable period in the prior year. The managed delinquency rate (30+ days) increased to 4.72% as of June 30, compared with 4.56% at the end of the first quarter. During the second quarter Cap One said it has added 1.2 million net new accounts, bringing total accounts to 19.2 million. To generate the new accounts Cap One spent a record $178 million in marketing compared to $176 million in the first quarter and $86 million for 2Q/98. Second quarter 1999 revenue, defined as managed net interest income and non-interest income, rose to $927 million versus $873 million in the first quarter of 1999 and $653 million for the comparable period in the prior year. For the quarter, Capital One’s managed consumer loan balances increased by $416 million to $17.9 billion. Overall Cap One reported second quarter 99 earnings of $87.5 million versus earnings of $82.4 million, for the first quarter and $66.9 million for the comparable period in the prior year. For complete 2Q/99 financials for Capital One please visit CardData ([www.carddata.com]).
One Valley Bank was awarded a symbolic “Certificate of Savings” by the West Virginia Governor Wednesday for saving the state $16.8 million. The savings are attributed to the ‘State Purchase Card’ program or ‘P-Card’ program. The certificate represents savings that the state government would realize by writing 350,000 less checks for the fiscal year with use of the ‘VISA Purchase Card’. The amount of the “Certificate of Savings” was computed using the lowest industry standards of $50 savings for every transaction. The ‘State VISA Purchase Card program’ was enacted by the legislature in 1996
MBNA continues to pump out about 100 affinity programs per quarter and an average of two million new accounts every ninety days according to data gathered by CardData ([www.carddata.com]). MBNA reported yesterday that net income for the second quarter of 1999 rose 28.6% during the second quarter of this year compared to last year. The company says it has produced consistent earnings increases, averaging 25%, in each of the thirty-four quarters since it became a public company. Total managed loans grew $2.4 billion during the second quarter to end up at $64.5 billion for 2Q/99. MBNA has approx. $2.0 billion in non-card loans and about $5.0 billion in international card receivables. Delinquency on total managed loans was 4.64% at June 30, 1999 compared to 4.60% for 2Q/98. Managed charge-offs for the second quarter logged in at 4.41% compared to 4.42% last year. MBNA says 2Q/99 charge volume, which includes purchases and cash advances, tallied up to $25,929,706,000 compared to $19,764,469,000 for 2Q/98. The firm’s net interest margin surged to 7.70% for 2Q/99 from 7.45% for 2Q/98. For complete current and historical financials for MBNA visit CardData ([www.carddata.com]).
PERIOD AFFINITY NEW ACCTS NET REVENUE
First Quarter 1998 110 1.7 million $149.4 million
Second Quarter 1998 111 2.5 million $172.0 million
Third Quarter 1998 121 2.4 million $216.6 million
Fourth Quarter 1998 133 2.7 million $238.3 million
First Quarter 1999 81 1.7 million* $186.0 million
Second Quarter 1999 99 1.4 million $227.2 million
*excludes 3.3 million accounts from PNC portfolio acquisition and
200,000 accounts from First Virginia portfolio acquisition.
3-G International, Inc. announced this week that Thomas L. Gregg won the 1999 Ernst and Young Entrepreneur of the Year award for the Greater Washington, DC area for his achievements in founding and building the leading U.S. smart card solutions company.
The awards were co-sponsored by USA Today, CNN, and the NASDAQ-Amex Market Group.
Previous Entrepreneur of the Year award winners have included a “Who’s Who” of business leaders, such as Michael Dell of Dell Computer Corporation, Steve Case of America Online, and Howard Schultz of Starbucks Coffee.
3-G International, Inc. is the leading U.S. smart card solutions company and has provided multiple application smart card solutions to industry and government since 1991. 3GI offers a wide range of smart card applications and solutions including financial, internet and computer security, electronic payments, and card system management. 3GI is based in Springfield, Virginia and has branch offices in Williamsburg, Honolulu, San Francisco, Raleigh, Edinburgh, and Shenzhen, China. 3GI was recently recognized as one of the fastest growing privately-held U.S. companies in the Inc. 500 survey. 3GI can be found on the World Wide Web at .