Massachusettes-based Viisage reported first quarter revenue of $16.8 million, a 37% increase over 1Q/04. The net loss for the first quarter of 2005 was $1.6 million, or $0.03 per fully diluted share, compared to a net loss of $1.6 million, or $0.05 per fully diluted share, in the first quarter of 2004. The first quarter report and annual report for 2004, had been delayed in order to complete a review of pending litigation and to assess the effect, if any, on the Company’s financial statements for the year ended December 31, 2004. Viisage provides advanced technology identity solutions for governments, law enforcement agencies and businesses.Details
New Jersey-based DataWave Systems posted revenue of $7.7 million in the first calendar quarter, a 69% increase over one-year ago. Net income for the fourth quarter of fiscal 2005 included non-recurring costs of $459,000 related to the termination of the company’s proposed merger with Integrated Data Corp. DataWave develops prepaid and stored-value programs and merchandising solutions.Details
American Express and Loyalty Management UK are planning to launch the first co-branded “Nectar” card product in September. The new “Nectar Credit Card from American Express” offers collectors double points at Nectar retailers and 1 point per GBP1 spent everywhere else.
Nectar is the largest loyalty program in the UK with 50% of all UK
households participating. From mid-September, those holding the Nectar card will be able to double dip at Nectar retailers such as Sainsbury’s, Debenhams, adams kids and ebookers by paying with the credit card and presenting their Nectar card to earn 4 points for every GBP1 spent. In addition to financial services, Nectar collectors can now earn points on 40% of their total household purchases, including groceries, petrol, department store purchases and utilities. LMUK anticipates that this figure will rise to 70% as additional partners are signed up. Since launch, Nectar has increased its penetration of the UK market to 50% of all households, grown from four to 17 sponsors and given out over GBP 450 million worth of rewards.
Diebold has reached a definitive deal to sell its campus card systems business to NY-based CBORD Group for approximately $38 million. Diebold’s campus card systems enable access control, electronic payments and other services on and off campus. In addition, Diebold campus card business supplies housing management software to higher education institutions and resorts. The Diebold software enables campuses to assign people, assess fees and track history, among others. The business generated approximately $24 million in revenue for Diebold last year. CBORD works with more than 700 colleges and universities, corporations, and healthcare institutions with its cashless and ID card privilege control systems, housing management systems and Webfood online ordering service.Details
American Express has launched a nationwide promotion that gives “Delta SkyMiles Credit Card” holders double miles on all purchases between July 1st and August 31st. Throughout the year, “AmEx Delta SkyMiles” users earn two miles for every eligible dollar charged to the card for purchases at stand-alone supermarkets, drug stores, gas stations, home improvement and hardware stores, the U.S. Postal Service, Delta purchases and for payment of wireless phone bills through the Card’s unique “Always Double Miles” feature. During non-promotional periods, cardholders also earn one mile for every eligible dollar charged for other purchases. Delta SkyMiles members earn miles by flying Delta, Song, Delta Shuttle, Delta Connection, Delta AirElite and Delta’s SkyTeam partners.Details
Morgan Stanley reported that credit card outstandings for its British MasterCards during the second quarter rose 2.9% year-over-year but declined 6.4% sequentially. The number of accounts for its “Classic,” “Gold,” “Platinum,” and “buy & fly!” cards rose 17% to 1.4 million, compared to one-year ago. For the quarter ending May 31st, Morgan Stanley, which issues the “Discover Card” in the USA, posted $2.479 billion in managed card loans, compared to $2.648 billion in the prior quarter and compared to $2.409 billion for the second quarter of 2004. Last year, Morgan Stanley added the “buy and fly! MasterCard” which earns one point for every GBP10 of purchases with bonus points earned for purchases made at participating U.K. retail merchant partners. Points can be redeemed for travel on 17 airlines. MS introduced its first credit card in the U.K. in 1999. For complete details on Morgan Stanley’s latest performance, visit CardData ([www.carddata.com]).
The National Association of Credit Management “Credit Manager’s Index” for June rose 0.5% to 57.8%. The Index continues to paint a picture of reasonably strong economic growth. The increase was driven by the service sector, whose 1.3% increase overcame the 0.2% fall the manufacturing sector suffered. The CMI, a monthly survey of the business economy from the standpoint of commercial credit and collections, was launched in January 2003 to provide financial analysts with another strong economic indicator. The National Association of Credit Management supports more than 25,000 business credit and financial professionals worldwide with premier industry services, tools and information.Details
Box Tops for Education generated $35.7 million in the 2004-05 school year. This boosts total cash earned by schools through Box Tops for Education efforts to more than $150 million since the nationwide program began in 1996. Additionally, Box Tops welcomes SC Johnson to the program. This fall, the company’s Ziploc(R) storage bags and container packaging will carry the Box Tops coupon. More than 80 General Mills brands support the Box Tops initiative with a total of 86,000 schools currently enrolled in the program. SC Johnson is one of the world’s leading manufacturers of household products with more than $6.5 billion in sales. Box Tops for Education is open to any accredited public, private, or parochial schools for grades K-8 in the United States that have a 501(c)(3) or 509(a)(1) tax-exempt designation.Details
Neos Merchant Solutions has been chosen by U.S. Merchant Systems, a “Merchant Account Provider” for VISA and MasterCard, to offer a gift and rewards program to its merchant account network via more than 200 agents. Neos’ rewards program provides a number of benefits to USMS merchant accounts such as improved cash flow, brand identity, brand rewards, faster check out lines and more security. USMS offers bankcard-processing services to thousands of merchants nationwide. Neos Merchant Solutions is a full service payment processing company for retail merchants.Details
Gemplus International has unveiled its solution for contactless payment. “GemInstant PayPass” achieved all of the MasterCard PayPass approval requirements on June 30th, bringing to the banks a contactless solution compliant with the MasterCard “PayPass” specifications and testing requirements. The cards will be produced at Gemplus’ recently enhanced card manufacturing facility in Pennsylvania, starting in July. 7-Eleven agreed to accept “MasterCard PayPass” in its 5,300 U.S. locations by early 2006. In April, MasterCard and MD-based Ritz Camera Centers expanded MasterCard “PayPass” acceptance to each of the more than 1,100 Ritz Camera Centers and 114 Boater’s World Marine Centers. PA-based c-store operator, Sheetz, deployed “PayPass” system-wide in March of this year. In August 2004, McDonald’s inked a deal to accept MasterCard “PayPass.” (CF Library 1/4/05; 2/22/05; 4/26/05; 5/19/05; 6/6/05)Details
The recent announced merger of Bank of America and MBNA will raise the U.S. market share of the top three general purpose credit card issuers from 49% to 58%. Due to BofA’s strong organic growth and barring any major Chase and Citi acquisitions, the combination of BofA and MBNA will produce the nation’s largest credit card issuer next year. At the end of the first quarter, BofA and MBNA had combined U.S. credit card outstandings of $134.8 billion. MBNA posted $76.9 billion in Q1 domestic outstandings and BofA reported $57.9 billion in 1Q/05 credit card managed receivables. MBNA also has $25.7 billion in Q1 loans to overseas clients as of March 31, 2005. At the end of the first quarter, according to CardData, Chase posted $133.4 billion in U.S. credit card outstandings and Citi reported $115.8 billion. However, the Citi figure includes cards outside the USA but within North America.Details