Oyster Signs-Up 100,000 Cardholders in 06

More than 100,000 people have switched to Oyster since the New Year to
take advantage of cheaper or frozen fares. The 2006 Transport for
London fares package encourages people to use an Oyster smartcard rather
than cash as it speeds up the bus network, reduces queues and saves
passengers money on day and single fares. Customers can get/top up
Oyster at more than 2,300 local newsagents; at all Tube station ticket
offices; at the Oyster online shop; over the phone; at all London Travel
Information Centres and at some National Rail ticket offices.

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Alliance One Launches an ATM Promotion

Columbus, OH-based Alliance One, a selective-surcharge ATM group, has launched a program to reimburse the referring credit union’s $250 annual fee for sending new financial institution members its way. If a credit union refers three or more financial institutions that become participants during that same time period, Alliance One will not only reimburse the referring credit union’s fee for 2006, they’ll waive the $250 annual fee through 2010. Any credit union can join Alliance One, regardless of which ATM networks it uses or whether or not it owns machines. Participation costs only $250 a year, with a one-time startup fee. Alliance One is one of the largest non-network-specific ATM alliances in America.

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Citi’s Q4 U.S. Card Profits Drop 60%

Citigroup reported that 4Q/05 profits for its U.S. Cards unit plummeted 60% year-on-year to $444 million due to a $600 million (pre-tax) net credit loss related to the new bankruptcy legislation. U.S. Cards fourth quarter revenue also declined 22% to $2.7 billion due to a customer rewards accounting change and the surge in personal bankruptcies. Q4 credit card outstandings for the U.S. were down 2% to $141.6 billion compared to one-year ago. The figure includes $27.9 billion in private label card outstandings. Purchase and cash advance volume increased 9% year-on-year to $75.8 billion. Citi’s account base at the end of the fourth quarter rose 5% from 4Q/04. At the end of 2005, Citi had 131.2 million accounts in the U.S., Canada and Puerto Rico. Citi’s charge-offs increased from 5.66% in the third quarter to 6.68% for 4Q/05. Charge-offs for bank credit cards rose to 6.61% compared to 5.57% in the third quarter and 5.32% one-year ago. Charge-offs for private label credit cards rose from 6.04% in the third quarter to 6.93% for 4Q/05. Delinquency (90+ days) increased slightly from 1.60% for 3Q/05 to 1.75% for the fourth quarter 2005. Delinquency for bank credit cards edged down by 8 basis points from the year-ago level. For complete details on Citigroup’s 4Q/05 performance, visit CardData ([www.carddata.com][1]).

CITIGROUP
North American Credit Card Net Revenues
4Q/04: $1101 million
1Q/05: $ 778 million
2Q/05: $ 735 million
3Q/05: $ 797 million
4Q/05: $ 444 million
Source: CardData (www.carddata.com

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

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GEMPLUS 4Q/05

Smart card specialist Gemplus International says it now expects
fourth quarter revenues to be about 262 million euros (US$316.2
million). The revised figure is attributed to a quality issue with a
specific chip and overall pricing pressure. It is the second revision in
six weeks as the Company seeks to merge with Axalto. Operating margin
for the fiscal year 2005 is now expected to be around 7% versus 3% in
2004. This compares with the guidance previously provided of
approximately 8%. Gemplus plans to announce its fourth quarter and
fiscal year 2005 results on February 9th before the markets open.

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MasterIndex Shows Strong Consumer Optimism in A/P

MasterCard’S latest “MasterIndex of Consumer Confidence” shows a strong sense of consumer optimism in key Asia/Pacific markets, despite the many existing and emerging economic challenges. Highlights of the latest “MasterIndex” survey include: Vietnam tops the list of markets with a score of 93.1. Consumers in Vietnam continue to remain very highly optimistic, with its current “MasterIndex” at an all-time high due largely to the increasing awareness and knowledge of the “Stock Market”. China (82.3) continues to be highly optimistic, with sentiments on “Quality of Life”, the “Economy” and “Regular Income” remaining at about record high for the market. Singapore (74.8) posts significant gains in consumer confidence compared to six months ago. Singapore consumers are now much more optimistic on factors such as “Employment”, the “Stock Market” and the “Economy”. Japan (63.0) is showing a strong improvement in its overall consumer confidence score. For the first time since the inception of the survey 13 years ago, consumers are optimistic on all five factors and Malaysia’s consumer confidence (68.7) further improves over six months ago, with consumers optimistic about the “Economy” and “Regular Income”.

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PayPal Volume Up 45%; Nears 100MM Accounts

eBay reported that PayPal had 96.2 million total accounts at the end of the fourth quarter, a 51% increase from one-year ago. Total payment volume rose 45% to a record $8.1 billion which includes payments initiated through the PayPal system but excludes its payment gateway business. The number of active accounts hit 28.1 million at year-end, its highest level to-date. Payments net revenues totaled $304.4 million in 4Q/05, representing 48% year-over-year growth. During the fourth quarter, PayPal handled 139.7 million payments, a 19% increase over the prior quarter and up 40% from 4Q/04. PayPal’s 4Q/05 transaction revenue rate was 3.67%, up ten basis points from one-year ago. The processing expense rate for the fourth quarter was 1.19%, compared to 1.27% for 4Q/04. PayPal’s transaction loss rate came in at 33 basis points, up 2 basis points from one-year ago. For complete details on eBay/PayPal’s fourth quarter performance, visit CardData ([www.carddata.com][1]).

PAYPAL HISTORICAL
$VOLUME #ACCOUNTS
4Q/04 $5.6 billion 63.8 million
1Q/05 $6.2 billion 71.6 million
2Q/05 $6.5 billion 78.9 million
3Q/05 $6.7 billion 86.6 million
4Q/05:$8.1 billion 96.2 million
SOURCE: CardData (www.carddata.com)

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

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Ingenico Group Revenues Rise 4% in 2005

Ingenico booked consolidated revenues of 437.4 euros
million in fiscal year 2005 (up from 427.4 euros million in 2004), which
reflects an annual growth rate of 3.8%. In terms of revenues, that makes the second half of 2005 the best six-month period in Ingenico’s history.
Revenues were fairly stationary in the first half of 2005 (207.4 euros
million), due essentially to delivery problems, they rose to 230 euros
million (unaudited figures) in the second half (vs. 222 euros million in the second half of 2004).

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Euronet To Deploy ATMS for ING VYSYA

Euronet announced a multi-year ATM outsourcing and deployment
agreement with ING Vysya Bank. Under the agreement, Euronet will select
the sites, purchase, deliver and and install the 200 ATMs and Kiosks and
all related equipment and provide all of the day-to-day outsourcing
services. ING Vysya is the first bank in India to introduce the concept
of self bank sites. In addition to outsourcing its ATM network, ING Vysya
Bank will connect to Cashnet, the largest shared ATM network in India,
operated by Euronet with approximately 5,200 ATMs. Euronet Worldwide
offers outsourcing and consulting services, integrated EFT software,
network gateways, electronic prepaid top-up services to financial
institutions, mobile operators and retailers, as well as electronic
consumer money transfer and bill payment services. ING Vysya Bank has 1.5
million customers and 480 outlets.

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Ingenico Group Revenues Up 4% in 2005

Ingenico Group says it booked consolidated revenues of $530 million last year up 3.8% year-on-year. On a like-for-like basis, excluding component sales which are accounted for under Cost of Sales, revenues in the second half stood 7 percent higher than in the second half of 2004 and 12.9 percent higher than in the first half of 2005. Restructuring charges resulting from the plan of action initiated at the end of the first half will be recorded under Extraordinary Items in the second half of 2005.

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