Chicago-based Moose International and U.S. Bank have created a new affinity credit card program. Members will now have access to a variety of credit cards offered through the partnership, including one that earns reward points that can be redeemed for gift certificates, merchandise, cash and travel rewards. Moose International has 1.5 members via 1,900 “Moose Lodges” and 1,600 “Moose Chapters” throughout the USA, Canada, UK and Bermuda.Details
Portland OR-based Corillian reported fourth quarter revenues of $13.2 million, compared to $12.2 million for the fourth quarter of 2003, a growth rate of 8%. Net income for the quarter was $3.3 million, compared to net income for the comparable prior year period of $2.1 million. Revenues for 2004 were $50.8 million, compared to $46.1 million for 2003, an increase of 10%. Net income for 2004 was $10.5 million, compared to $5.1 million in 2003. In the fourth quarter, Corillian launched a new version of its Consumer Banking application and the first version of Corillian Corporate Banking. For complete details on Corillian’s latest results visit CardData ([www.carddata.com]).
Regions Financial Corporation (Regions Bank and Union Planters Bank) has extended its relationship with First Data Debit Services for STAR PIN-secured and signature debit processing services, and plans to make the STAR Network the primary network for ATM and PIN-secured debit access for the financial institution’s debit cardholders. American Express Company is a diversified worldwide travel, network and financial services provider founded in 1850. First Data serves approximately 4.1 million merchant locations, 1,400 card issuers and millions of consumers, making it easy, fast and secure for people and businesses around the world to buy goods and services using virtually any form of payment. Regions Financial Corporation is a full-service provider of retail and commercial banking, securities brokerage, mortgage, and insurance products and services.Details
Growth in purchase dollar volume for off-line or signature debit cards, year-on-year, ramped up to 17% in the fourth quarter, compared to 16% in the third quarter, and 20% in the second quarter. VISA and MasterCard off-line debit cards racked up gross dollar volume of $186.0 billion in the fourth quarter, a 19% gain over 4Q/03. During the fourth quarter, VISA and MasterCard processed $124.6 billion in purchase volume, compared to $106.3 billion one-year ago. MasterCard reported that its signature debit card volume in the USA soared by 33.4% in 4Q/04. VISA says gross dollar volume for consumer off-line debit in the USA rose 15.8% in the fourth quarter. Based on gross dollar volume, VISA’s share of the off-line debit card market remains at 79%. For complete current and historical statistics on the U.S. debit card market visit CardData ([www.carddata.com]).
U.S. SIGNATURE DEBIT SNAPSHOT
4Q/03 4Q/04 Y/Y CHANGE
Gross Volume $156.0b $186.0b +19%
Purchase Volume $106.3b $124.6b +17%
Source: CardData (www.carddata.com)
Washington, DC-based AirPlus has hired Kathy Cantwell, formerly with Navigant International, as its new director of product implementation. The addition of Cantwell to the North American AirPlus team builds on the corporate travel payment solution company’s commitment to dedicated customer service. Cantwell comes to AirPlus from Navigant International where she was responsible for migrating international Sato Travel standards into the Navigant infrastructure. AirPlus International is a global leader in business travel payment solutions, offering central payment accounts, corporate cards and online information management tools.Details
VISA USA introduced its small business spending forecast and segmentation analysis this week which shows that non-payroll spending by U.S. small businesses will increase by an estimated 5.4% this year to $4.7 trillion, and expand further to reach $5.3 trillion in 2008. Since 2000, spending on small business general-purpose cards has grown by 20% annually, while volume on VISA’s small business products has increased by 33% per year during the same time period. Other key components of the VISA “CCE” small business forecast: rent costs will exceed $400 billion in 2005; advertising and marketing will reach nearly $250 billion in 2005; spending on maintenance and operating supplies will reach $1.1 trillion; travel and entertainment costs will grow at nearly 6% per year over the next three years. The small business segment – businesses with under $25 million in annual sales – accounts for one-third of all expenditures by businesses in the USA.Details
Capital One’s charge-off ratio headed south in January, dropping 44 basis points from the prior month. Delinquency also decreased, albeit slowly, by eight basis points. The downtick came at a time when total loans decreased more than $600 million over the previous month. For January, Cap One reported that managed charge-offs decreased to 4.19%, compared to 4.63% in December, and 5.00% one-year ago. In June 2003, Cap One’s managed charge-off ratio stood at 6.20%. Delinquency decreased to 3.84% for January, compared to 3.92% in December, 3.87% for November, 3.94% in October, 3.90% for September, 3.80% in August, 3.77% in July, 3.76% in June, 3.73% in May, and 3.69% in April. Delinquency one-year ago stood at 4.39%. At the end of January, Capital One had $79.3 billion in global outstandings. At the end of the fourth quarter, U.S. card outstandings of $48.6 billion were up 5%, compared to one-year ago, and to the previous quarter. For complete details on Capital One’s monthly metrics and 4Q/04 performance, visit CardData ([www.carddata.com]).
Capital One 2004-2005
Month Charge-offs Delinquency
Jan 04 5.00% 4.39%
Feb 04 4.75% 4.14%
Mar 04 4.74% 3.80%
Apr 04 4.70% 3.69%
May 04 4.40% 3.73%
Jun 04 4.17% 3.76%
Jul 04 4.10% 3.77%
Aug 04 3.87% 3.80%
Sep 04 4.18% 3.90%
Oct 04 4.10% 3.94%
Nov 04 4.35% 3.87%
Dec 04 4.63% 3.92%
Jan 05 4.19% 3.84%
Source: CardData (www.carddata.com)
Loews Cineplex Entertainment has expanded its partnership with American Express in which AmEx will now become the “Official Card” at all Loews-operated theaters nationwide, and will run the current “My Life My Card” ad series in theaters nationwide. Also both companies will work together to develop special Cardmember benefits. The companies will inaugurate their partnership with a sweepstakes celebration of Hollywood and the Oscars called “THEIR FAME, YOUR FORTUNE.” Loews Cineplex Entertainment Corporation (www.enjoytheshow.com) is the third largest movie theater chain in the world, with 200 theaters and 2,176 screens worldwide and is privately held by Bain Capital, The Carlyle Group and Spectrum Equity Investors. American Express Company is a diversified worldwide travel, network and financial services provider founded in 1850.Details
Gemplus reported shipments of 51 million payment microprocessor cards last year, with revenue up 29% year-on-year. Overall, Gemplus posted revenues in 2004 of $1.12 billion, a 16% gain, with net income of $5.9 million. During 2003, Gemplus lost $207 million. Financial Services revenue was driven by the EMV migration, with a massive roll-out in the UK and ramp-up in France, Turkey, Mexico, South America and Malaysia. On a geographical basis, revenue from the Americas was up 47.9% and Asia 21.9%, currency adjusted, both driven by the Wireless segment. The EMEA region was up 8.3%, led by Financial Services and, to a lesser extent, Wireless. For complete details on Gemplus’ latest results visit CardData ([www.carddata.com]).
Raiffeisenbanks has completed a large-scale upgrade of its ATMs.
The massive project involved upgrades to more than 750 Diebold ATMs. A
total of 180 ATMs were replaced with newer models, 50 of which were replaced with Diebold “Opteva” units. The new units passed the Telekurs strict certification process, which is compulsory for all Swiss cash-withdrawal equipment connected to the Telekurs network and the new inter-bank network application, known as “BM5.0.” The upgrade makes all Raiffeisen ATMs compliant with Telekurs, Euro and EMV specifications.
Around 470 Raiffeisen banks, with a total of 1,300 branches, are
affiliated under the Schweizer Verband der Raiffeisenbanken, or the
Swiss Association of Raiffeisen Banks.
Auckland-based GFG Group has won the “2004 Card Smart Award” for
outstanding achievement in the Australian and New Zealand cards
industry. GFG Group was established in the late 80s as a consulting
partnership and grew throughout the 90s with an increasing focus on the
development and support of payment solutions. Now with offices in
Australia, New Zealand, Philippines, UK and Singapore it operates in
over 40 world markets and is still privately owned. GFG Group has
installed it’s “UniCARD” system at Members Equity in Melbourne, and
recently when Bendigo Bank decided to extend and grow it’s merchant
settlement system and bring it in-house they utilized GFG’s software and
expertise. Until then the Bendigo Bank system had been processed by St
Cyota has launched the first online-banking fraud management solution for financial institutions. The new Cyota “eVision” detects, analyzes, scores and manages online banking and online services fraud in real-time. This is done by using multiple parameters, data points and sensors to profile each end-user’s behavior. Large-scale pilots of Cyota’s fraud detection technology began six months ago; the technology is currently in use by three leading banks in the U.S. and the U.K., and has proven to be extremely successful. The solution is based on Cyota’s patent-pending “eRisk Engine,” which identifies new online fraud patterns in real time. Feeding from various technologies, parameters and sensors, the “eVision eRisk Engine” analyzes each transaction and generates a unique risk score.Details