Bioscrypt Inc., a leading provider of
biometric authentication solutions, announced it has teamed with
Indivos Corporation to provide merchants and their customers with integrated
solutions that eliminate the need to carry cash, cheques or credit cards by
conducting electronic payment transactions with the convenience and added
security of biometric authentication.

Indivos is provider of a payment service in which consumers voluntarily
enroll in order to access their chequing, credit and loyalty accounts without
having to use cumbersome, costly plastic cards, paper cheques, and other
tokens. Instead, consumers who enroll in Indivos’ free service will be able to
pay for goods simply by placing their finger on a sensor integrated with a
countertop credit card device. Bioscrypt’s algorithm will perform the
authentication of the user against a previously enrolled template.
“Bioscrypt is excited to be working with Indivos to bring shoppers and
retailers a secure and efficient method of executing transactions without
having to carry cash or remember cumbersome cards or tokens,” said Pierre
Donaldson, President and CEO of Bioscrypt Inc. “Consumers and merchants are
embracing this new payment method that not only adds security but also is more
convenient and less costly than paper-and-plastic methods.”
“Indivos is very pleased to be working with Bioscrypt to help give
consumers and retailers the advantages of a free Pay By Touch(TM) service,”
said Phil Gioia, CEO of Indivos. “In bringing Pay By Touch to the retail
marketplace, Bioscrypt’s algorithm is an integral technology for high
performance and customer satisfaction.”

Indivos service allows consumers to access their bank and debit accounts
electronically without having to use the plastic cards, paper cheques, and
passwords that can easily be lost, stolen or damaged. At the same time, the
service provides merchants with reduced risk and lower costs in handling cash
and cheques. Consumers who enroll in the voluntary system no longer have to
carry their cards and cheques, but can easily access their accounts online
using the ultra security of fingerprint authentication.

About Indivos Corporation

Indivos’ fully voluntary patented service enables a cashless, chequeless,
cardless payment environment in which consumers who have voluntarily enrolled
a finger scan to complete transactions securely, conveniently, and
efficiently. It also enables merchants to substantially reduce transaction-
processing costs, and significantly mitigate the risk of fraud. Indivos’
Internet address is Indivos has 16 issued patents enabling
the service.

About Bioscrypt Inc.

Bioscrypt Inc. (TSE:BYT) is a leading provider of fingerprint-based
biometric solutions to organizations requiring a high level of security for
network, wireless and physical access. Bioscrypt provides strong
authentication through the use of a robust pattern recognition algorithm that
is used to bind a user’s credentials to their biometric, such as a
fingerprint. Bioscrypt’s biometric solutions are designed to enhance end user
convenience and reduce password management costs. Bioscrypt brands its
technology as “bioscrypt on board”, which signifies that Bioscrypt Inc.’s high
standards of biometric quality and security reside within that product. For
more information on Bioscrypt, visit the Company’s Web site at


Identico Systems

Image Data, pioneer of the use of identity verification to stop point-of-service frauds by putting a “face on every transaction,” announced a name change to Identico Systems LLC. The new name more closely reflects the company’s expanded business strategy and unique expertise in successfully securing financial transactions in today’s complex point-of-service environment.

According to CEO Larry Gilbert, the move also positions the company to take advantage of the broader market opportunities it has identified for its True ID service. “True ID’s growing and diverse customer base speaks for itself ­ identity verification offers businesses better protection against payroll check, auto rental, and other point-of- service frauds,” said Gilbert. “Because our True ID Service verifies ‘the person, not the paper,’ customers have experienced a dramatic decrease in losses. True ID’s consumer-friendly process also alleviates growing consumer fears over the security of their personal and financial account information.”

The increasing acceptance of the True ID Service across market segments reflects the critical need for a new approach to providing secure payment solutions in face-to face-transactions. Businesses relying on traditional loss prevention systems are experiencing staggering losses, with worthless checks alone costing retailers and banks an estimated $15 billion annually. Gilbert noted, “The outdated approach of verifying easily counterfeited financial and identification documents is no longer effective against today’s technology-enabled identity criminal.”

True ID® — a Better Solution

True ID’s ability to securely identify a consumer as the “true” owner of a financial account presented during a transaction means less fraud for businesses, better information for loss prevention investigations and increased protection for consumers. Retailers, banks, auto rental firms, and distribution centers are already successfully using True ID to deter fraud by as much as 80%, and increase restitution efforts by 50%.

True ID® is simple to use and integrates easily into any point-of-service environment:

1) During a transaction, the consumer presents his or her photo ID to a clerk or teller. 2) The photo ID is scanned, encrypted, and transmitted to a secure Identico Systems database, where it is mapped to the consumer’s account data; and

3) The next time the consumer initiates a transaction at any business that uses True ID, the consumer’s image is securely sent back to the point of service for instant identity verification.

Because Identico Systems is committed to protecting consumer privacy, no information other than the image is sent to the point of service. The employee views the image, decides whether it matches the consumer’s face, and proceeds with the transaction.

“True ID has met with nearly 100% consumer acceptance everywhere it’s been used because people are increasingly aware of the threat of ID theft,” said Gilbert. “At the same time, businesses are realizing the need to be more proactive in protecting their honest customers from ID thieves, so they are welcoming a new technology that not only cuts their financial losses from fraud but also builds a loyal customer base.”

To learn more about Identico Systems, call 1-888-887-8343 (1-888-8TRUE-ID) or visit them online at [][1]




Baltimore Technologies, plc announced a significant restructuring and cost reduction
programme that will enable the Company to refocus on its core areas of
expertise in providing trust and security for e-business. This strategy will
enable it to extend its leadership position in the market for authentication
and authorisation applications and solutions. The restructuring plan will
chart a fully funded path to positive EBITDA in Q2, 2002. The Company also
announced today its second quarter and half year results for the period ended
30 June 2001.

Restructuring Highlights

— The targeted cost savings and proceeds of 72.0 million pounds sterling
(US$101.3million) from the restructuring and divestment of non-core
activities will ensure sufficient cash resources are available to fully
fund the Company’s operations to become EBITDA positive in Q2, 2002.

— Baltimore Technologies will focus on maximising return from its
authorisation and Public Key based authentication technology, in a
market estimated by IDC to be valued at US$4.0 billion by 2004. These
offerings will be combined into one business unit targeting Baltimore’s
core traditional sectors in addition to exploiting the emerging
opportunities in the wider Corporate market so as to restore its market
leading position.

— Direct salesforce reorganised to offer both authentication and
authorisation products individually or as part of an integrated
solution. A fundamental review of the business and sales engagement
models has been conducted in order to realign direct and indirect sales
channels to jointly market both Baltimore’s authentication and
authorisation products and solutions.

— The review has concluded that there are 2 clearly different businesses
with limited synergies between them. The market leading Content
security business will immediately be run as a separate business unit.
The Board strongly believes in the potential of this business and has
concluded that a divestment strategy will maximise its market
opportunity and the overall return for all stakeholders.

— The Company has initiated a review of the potential divestment of all
other non-core activities with the objective of maximising shareholder
and customer value and to fund the profitable growth of the core

— As part of the restructuring, a reduction of a further 220 positions
will be made.

— The Company is targeting a staffing level of approximately
470 employees, which will be achieved by Q2 2002 primarily through

— Voluntary delisting from NASDAQ and move to the OTC Bulletin Board with
effect from 30 September 2001.

Peter Morgan, Chairman of Baltimore Technologies commented,
“Baltimore earned its reputation as a dynamic company producing innovative
products and solutions. This restructuring ensures that the company is now
fully focussed on its core competencies in providing security and trust for
e-business and will ensure that all activities are closely targeted at
building a strong viable company for the future and delivering enhanced
shareholder value.”

Paul Sanders, Chief Financial Officer and acting Chief Executive Officer
“The radical restructuring announced today demonstrates our commitment to
growing and investing in the business by concentrating on what we know and do
best. The excellent technology and people within this company have enabled us
to build an acknowledged leadership position in the IT security industry and
this restructuring provides us with a clear, fully funded path to

Q2 and Half Year 2001 Results:

Financial Highlights:

Q2 2001

— Total revenues for Q2 were 16.5 million pounds (US$23.2 million)
compared to 22.9 pounds million (US$32.2 million) in Q1 2001 and
16.3 million pounds (US$22.9 million) in Q2 2000.

— Gross Margin was 47% (Q1 2001: 60% and Q2 2000: 64%)

— LBITDA (Loss before interest tax depreciation amortisation and
exceptional items) of 23.7 million pounds (US$33.3 million) has
increased from 17.9 million pounds (US$25.2 million) in Q1 2001 and
from 4.4 million pounds (US$6.2 million) in Q2 2000.

— Ending cash balance of 53.9 million pounds (US$75.8 million) compared
to 83.6 million pounds (US$117.6 million) at the end of Q1 2001.

Half Year 2001

— Total revenues for H1 were 39.4 million pounds (US$55.4 million)
compared to 25.7 million pounds (US$36.1 million) in H1 2000.

— Gross Margin was 54% (H1 2000: 65%)

— LBITDA (Loss before interest tax depreciation amortisation and
exceptional items) of 41.6 million pounds (US$58.5 million) compared to
9.7 million pounds (US$13.6 million) in H1 2000.

— Non-cash goodwill write-off of totalling 503.8 million pounds
(US$708.5 million), following write down of acquisitions and
amortisation charge.

Paul Sanders, Chief Financial Officer and acting Chief Executive Officer
“There is little doubt that this has been a difficult period for the group
whilst, the strength of our technology offering enabled us to achieve revenues
of 16.5 million pounds (US$23.2million) for the second quarter of this year
and 39.4 million pounds (US$55.4 million) in the first half of 2001. Clearly
these results are not acceptable and do not reflect the Company’s true
potential. The measures we have announced today will firmly address this

* Six months to 30 June 2001 includes restated results for first quarter

Chairman’s Statement
Baltimore Technologies has grown rapidly both organically and by
acquisition in the past 18 months. However, the downturn in global IT
spending combined with recent operating results has made it necessary for the
Company to fundamentally examine its approach to the market and to ensure that
it has the right cost base to deliver the anticipated revenues.

Restructuring Plan:

To achieve the targeted annualised savings of 72 million pounds
(US$101.3 million) Baltimore is implementing a significant restructuring plan
to concentrate on its core competencies of authorisation and Public Key based
authentication products and solutions. In parallel, the Company will pursue a
policy of divestment of non-core activities. This restructuring plan will
chart a fully funded path to positive EBITDA in Q2, 2002.

— Focus on Core Competencies of Security & Trust
The Company sees continuing opportunities for authorisation and
authentication technology deals amongst its traditional market sectors of
finance, healthcare, government and telecommunication companies where, despite
its deployment concerns, public key based security is the defacto standard.
In addition, the implementation of digital signature legislation around
the world and an increase in the adoption of devices for e-business such as
mobile phones and smartcards will ensure growth for e-security authentication
and authorisation solutions. Datamonitor forecast that the wireless PKI
market will represent more than 40 % of the total PKI market by 2006 and the
Company believes it is some six months ahead of its competitors in this area.
The success of the Baltimore Telepathy wireless solution has already been
evidenced by the recent deal with Radiolinja.
Baltimore’s authorisation product, SelectAccess continues to establish
itself in the rapidly growing authorisation market (CAGR 70%).

Why Authentication & Authorisation?

As businesses continue to open more of their internal IT systems to the
Internet, they face a series of security challenges around authentication and

Authentication is being able to verify the identity of someone trying to
access information via an electronic service. Authorisation ensures that the
right people get access to the right information and services.
Given the increase in the value and volume of trade on the web there is a
need to maintain digital evidence of binding transactions, which is necessary
for both normal business-auditing purposes and for dispute resolution. A
common approach being used today and that will continue to be used in the web
services era, is to digitally sign the electronic transaction, verify the
signature and store a copy of the signed data.

Customers will increasingly use the Internet as a distributed operating
system to supporting application services (commonly referred to as web
services) from multiple suppliers. New harmonised security standards
essential for web services are currently being defined, leveraging existing
Public Key authentication and authorisation management systems, and these will
be deployed in the coming years.

Baltimore’s UniCERT PKI authentication and SelectAccess authorisation
systems together provide the key security elements of any information service
delivery platform and future web services. These synergies led to the
decision to closely align the offerings in this space into a single business

Market Strategy for Authentication & Authorisation
Baltimore plans to achieve market penetration for its public key based
technology and authorisation system through a realigned sales engagement model
comprising of direct, and indirect channels. Sales and marketing have been
streamlined worldwide in line with this model.
Baltimore’s direct salesforce will now be structured to offer both
Baltimore’s authentication and authorisation products and solutions either
individually or as part of an integrated solution. Baltimore will continue to
invest in developing future solutions in its European, US and Australian
development centres. A strategic business development group has been created
to focus on key opportunities and initiatives in areas such as wireless and
emerging technologies.

The Baltimore TrustedWorld Partner programme will be relaunched to better
leverage channels to market and by incorporating complementary vendor
products, Baltimore can provide a wider range of applications, solutions and
service offerings in a more cost-effective model.
In conjunction with its partners, Baltimore is committed to the ongoing
development of its Managed Services Solutions offering as a key element of its

— Manage Content Security as a separate business unit
The market leading Content security business will be run as a separate
business unit with a view to divestment. The Board of Baltimore Technologies
believes in the potential of this business and that this approach will
maximise its market opportunity and the overall return for all stakeholders.
The Content security unit will have its own sales and marketing strategy
targeted at sustaining its leading position in the market. These changes will
enable the business unit to concentrate its efforts on the unique requirements
of the MIMEsweeper channel partners, and maximise revenue opportunities in a
market which is expected to grow according to IDC by 40% per annum until it
reaches a size of US$1.2 billion in 2004.

Content security is increasingly being recognised as necessary to protect
against virus attacks and the distribution of inappropriate content. The
MIMEsweeper product suite is the market leader with strong brand recognition.
The Content business is adopting a two-tier channel strategy based upon Value
Added Distributors (VADs) and Authorised/Premier resellers for its MIMEsweeper
range. OEM opportunities will also be explored with Anti Virus and archiving
vendors. Service Providers will continue to host the e-Sweeper service for
small to medium sized organisations.

— Cost reductions through restructuring

Headcount has been reduced from a peak of 1,400 at March 2001 to
approximately 1,100 employees post the redundancies announced in May. With
immediate effect, there will be a reduction of a further 220 positions
worldwide. The Company is targeting a staffing level of approximately
470 employees, which will be achieved by Q2 2002 primarily through divestment
of non-core businesses.

Baltimore’s extensive office network has already been reduced from 51 to
38 offices with plans to eliminate under utilised and excess office capacity
resulting from its divestments.

— Voluntary NASDAQ Delisting

In light of the high cost of maintaining a separate listing in the USA and
the fall in the ADR price, the company has decided that it is no longer
appropriate to maintain its listing on the NASDAQ national market, and
accordingly will be applying to voluntarily delist its shares from that market
and move to the OTC Bulletin Board with effect from 30 September 2001. Once
completed, the estimated annualised savings from not having a separate US
listing will be at least 2 million pounds (US$2.8 million).

Business Highlights:

During the period, demand continued for Baltimore’s e-security solutions
in the finance, government and mobile commerce sectors.
In the finance sector, Baltimore was chosen to provide a leading
Australian bank with a PKI-based certificate solution. This bank has also
purchased Baltimore SelectAccess to provide access authorisation to new online
banking services, demonstrating sales synergies between Baltimore’s
authentication and authorisation products.

In the government sector, the Company was also chosen to supply the secure
communications and e-business solutions to the 90,000 Australian Defence
personnel and through Baltimore’s TrustedWorld partner Getronics, Baltimore
UniCERT will provide the underlying security infrastructure for all internal
and external communication requirements for the 25,000 users within the
Italian Railways.

In the mobile commerce space, the Company won a notable contract for
wireless e-security with Radiolinja, one of Finland’s largest network
operators and a world leader in new mobile services, licensing Baltimore
Telepathy(TM) wireless e-security to build and deploy a complete wireless
trust infrastructure for secure mobile commerce. A further example has been
the strengthening of the relationship with Motorola through partnering to
provide a service to issue mobile operators and service providers with
“short-lived” digital certificates for the security of wireless applications.
The SelectAccess v3 authorisation system was released with new enhanced
features to enable more business processes and transactions to be securely and
cost-effectively conducted online, enabling organisations such as BBS, the
clearinghouse and payment service provider for the Norwegian banking industry,
who chose SelectAccess in Q1 to easily provide secure, role-based user access
to online information and services. Baltimore SelectAccess has recently been
endorsed by Mindcraft, an independent testing lab, when it received the
highest performance marks in tests designed to mirror a real world corporate

Repeat business occurred from Commercial Certificate Authorities worldwide
such as Belgacom E-Trust and Cable & Wireless for Baltimore’s Public Key based
authentication technology.

Management Changes:

On July 10, Fran Rooney resigned as Chief Executive Officer and Deputy
Chairman of Baltimore Technologies. Paul Sanders was appointed Acting Chief
Executive Officer while retaining his responsibilities as Chief Financial
Officer. The Company is currently undertaking a search for a new Chief
Executive Officer. Changes were also made to the Board with the appointment
of David Guyatt and Bijan Khezri as non-Executive Directors on 12th July.


The Board firmly believes that there is a long-term profitable opportunity
for authorisation and public key based authentication in the Company’s
traditional core sectors of finance, government, telecommunications and
healthcare. The restructuring, together with the divestment of non-core
activity will radically realign the cost base while still maintaining
leadership in innovative authentication and authorisation technology.

Financial Review

Financial Results for H1 2001 and Q2 2001:

— Quarter 2, 2001 Summary (unaudited)
Total revenues for Q2 2001 were 16.5 million pounds (US$23.2 million) an
increase of 2% compared to the same quarter last year and a decrease of
28% over Q1 2001.

Licence revenue of 6.6 million pounds (US$9.3 million) accounted for
40% of total revenue in Q2 compared to 50% in the same period last year and
53% in Q1 2001. The license revenue for the quarter decreased by 18% compared
to Q2 2000 and by 46% compared to Q1 2001. However, services revenues for Q2
2001 of 8.9 million pounds increased by 34% over Q2 2000 and by 10% over Q1

The geographic mix of revenue continues to reflect Baltimore’s strong
global footprint with EMEA, APAC and the US accounting for 47%, 28% and
25% respectively of total revenue in Q2 2001 compared to 53%, 25%, 22% in Q1
2001, and 40%, 34%, 26% in the same period last year.
Gross Profit Margin of 47% is down from 64% in the same quarter last year
and 60% in the first quarter principally due to an adverse change in license
revenue mix and under utilisation of professional services.
LBITDA (before exceptional items) of 23.7 million pounds (US$33.3 million)
increased from 4.4 million pounds (US$6.2 million) in Q2 2000 and from
17.9 million pounds (US$25.2 million) in Q1 2001. Operating expenses before
exceptional items, for Q2 2001 of 91.0 million pounds (US$127.9 million)
(including 57.6 million pounds (US$ 81.0 million) charge for amortisation)
increased by 240% from 26.7 million pounds (US$37.6 million) (including a
10.9 million pounds (US$15.3 million) charge for amortisation) in Q2 2000 and
by less than 1% from 90.4 million pounds (US$127.1 million) ( including a
57.3 million pounds (US$ 80.6 million) charge for amortisation) in Q1 2001.
Exceptional charges in the quarter totalled 393.8 million pounds
(US$553.8 million) and comprises accelerated amortisation of goodwill
389.0 million pounds (US$547.0 million), write off of Fixed Assets of
2.1 million pounds (US$3.0 million) and redundancy costs of 2.7 million pounds
(US$3.8 million).

Loss per share before Exceptional Items was 0.16 pounds (US$0.23)
At 30 June 2001, net cash totalled 53.9 million pounds (US$75.8 million),
compared to 83.6 million pounds (US$117.6 million) at the end of Q1 2001.

— Half Year 2001 Summary (unaudited)

Total revenues for H1 2001 of 39.4 million pounds (US$55.4 million)
increased by 53% compared to the same period last year. Licence revenues for
the period were 18.8 million pounds (US$26.4 million) an increase of
42% compared to Q2 2000. Licence revenue accounted for 48% of total revenue
in H1 2001 compared to 51% in H1 2000. Services revenue for H1 2001 of
17.0 million pounds (US$23.9 million) increased by 76% over H1 last year.
The geographic mix of revenue continues to reflect Baltimore’s strong
global footprint with EMEA, APAC and the US accounting for 51%, 26% and
23% respectively of total revenue in the first half of 2001 compared to
45%, 32% and 23% in the same period last year.

Gross Profit Margin of 54% is down from 65% in the first half of 2000, and
reflects the reduction in licence revenue as a proportion of total revenue
compared to the same period last year.

LBITDA (before exceptional items) of 41.6 million pounds (US$58.5 million)
increased from 9.7 million pounds (US$13.6 million) in H1 2000. Operating
expenses before exceptional items for H1 2001 of 181.4 million pounds
(US$255.1 million) (including 114.9 million pounds (US$161.6 million) charge
for amortisation), increased by 329% from 42.3 million pounds
(US$59.6 million) including 14.4 million pounds (US$20.3 million) charge for
amortisation) in H1 2000 reflecting the impact of the acquisitions made in
2000. Exceptional charges in the period totalled 393.8 million pounds
(US$553.8 million) and comprises amortisation of goodwill 389.0 million pounds
(US$547.0 million), write off of Fixed Assets of 2.1 million pounds
(US$3.0 million) and redundancy costs of 2.7 million pounds (US$3.8 million).
At 30 June 2001, net cash totalled 53.9 million pounds (US$75.8 million),
compared to 107.8 million pounds (US$151.6 million) at the end of 2000.

Goodwill Charge:

The necessity for making a Goodwill impairment charge has arisen
principally to ensure compliance with FRS 11 to reflect the likely fall in the
value of acquisitions made last year as a result of the global economic
downturn, and lower valuations for technology companies.

Working Capital:

At the end of the six month period ended 30 June 2001 the Company had a
cash balance of 53.9 million pounds (US$75.8 million), and had suffered a net
cash out flow of 43.0 million pounds (US$60.5 million) over the same period.
The targeted cost savings from the restructuring and the proceeds from the
divestment of non- core activities will ensure sufficient cash resources are
available to fully fund the anticipated net cash outflow until the Company has
positive EBITDA in Q2, 2002 and is operating cash flow positive in Q4 2002.

Revenue Restatement:

As announced on July 30, as part of the extensive business review and
restructuring, Baltimore Technologies discovered specific instances where
software revenues were overstated in the India, Middle East and Africa region
(“IMEA”) due to incorrect contract classifications, which was the direct
result of the actions of a limited number of employees. The restatement
principally relates to Q4 2000 and the impact is a reduction in the revenues
for the 12 month period ended 31st December 2000 of 5.5% from 74.2 million
pounds (US$104.4 million) to 70.1 million pounds (US$98.6 million), and in the
three month period to 31st March 2001 of 3.4% from 23.7 million pounds
(US$33.3 million) to 22.9 million pounds (US$32.2 million). These adjustments
had no effect on the results for the three month period ended 30th June 2001
or on the current cash position of the Company.

About Baltimore Technologies — A Global Leader in Security & Trust for

Baltimore Technologies’ products, services and solutions solve the
fundamental security and trust needs of e-business, ensuring that companies
can verify the identity of who they are doing business with and which
resources and information users can access on open networks. Many of the
world’s leading organisations have chosen Baltimore’s e-security technology to
conduct business more efficiently and cost effectively over the Internet and
wireless networks. The company also offers support worldwide for its
authorisation management and Public Key based authentication systems.
Baltimore’s products and services are sold directly and through its
worldwide partner network, Baltimore TrustedWorld. Baltimore Technologies is
a public company, principally trading on London (BLM). For more information
on Baltimore Technologies please visit .


Snowball Buxx

Visa U.S.A. and announced the launch of a joint promotional campaign to reach millions of teens with a special offer for the Visa Buxx card — the prepaid re-loadable card for teens that teaches financial responsibility.

The promotion will be e-mailed to the millions of teens registered on Snowball’s and networks and will offer a free three- month trial subscription to Snowball’s hip IGNinsider club if the teen’s parent signs up to receive a Visa Buxx Card.

“We are very pleased to work with Snowball to reach teens and share the benefits associated with being a Buxx cardholder. What we saw in Snowball is a partner with a strong presence on the web with a large, active teen user community,” said Visa U.S.A. Vice President of Prepaid Products Todd Brockman. “Teens like Visa Buxx because it offers them independence and convenience while showing their parents they can be smart about how they spend money. Parents like Visa Buxx because it helps them teach their teen about responsible spending.”

The Visa Buxx card is parent-controlled. Parents load money onto the card, and then track with their teens the spending through the Visa Buxx issuing bank’s web site or . It is not a credit card, but a reloadable pre-paid card that can be used everywhere Visa is accepted — over 21 million merchant locations worldwide — and provides the same conveniences and protections of all Visa cards.

“While Snowball’s audience encompasses young adults as well as teens, we understand teenagers and how their interests and needs differ from adults. For years, we have fostered a special connection with teens by developing content and services geared specifically toward this age group, including our MissClick channel and the IGN handheld games and Nintendo channels. Because our audience is web savvy and comfortable with online shopping, we are especially pleased that Visa chose Snowball to reach this audience. It enables us to provide a valuable service to the teen segment of our community by giving them spending power online in a way that teaches financial responsibility,” said Rick Boyce, President of Snowball.

Visa U.S.A. launched the Buxx card in August 2000 and the reaction from both parents and teens has been very positive.

“Parents tell us they love the fact that Visa Buxx is not a credit card. They appreciate the control they have in loading the card, reviewing spending and then working with their teens to manage the money responsibly,” Brockman said.

About Visa U.S.A.

Visa is the world’s leading payment brand and largest consumer payment system, enabling banks to provide their consumer and merchant customers with the best way to pay and be paid. More than 14,000 U.S. financial institutions rely on Visa’s processing system, VisaNet, to facilitate over $810 billion in annual transaction volume — including more than half of all Internet payments — with virtually 100 percent reliability. U.S. consumers carry more than 353 million Visa-branded smart, credit, commercial, stored value and check cards, accepted at approximately 22 million locations worldwide. Visa has long led the industry in developing payment security standards, and has been named the most trusted payment brand online. Visa’s people, partnerships, brand and payment technology are helping to create universal commerce — the ability to safely conduct transactions anytime, anywhere and by any device. Please visit for additional information.

About Snowball

Snowball (Nasdaq: SNOWC) is the leading Gen i(tm) network for Web-centric young adults who have grown up using the Internet. Consistently ranked by Media Metrix as one of the most-visited consolidated Internet properties, Snowball produces and aggregates top Gen i Web sites, attracting millions of unique visitors with its award winning content and resources. Snowball’s networks — IGN, ChickClick and HighSchoolAlumni — partner with a collection of affiliate sites delivering a diverse selection of content, community and commerce for Snowball’s users. Snowball also offers subscriptions to premium content and services on its IGN and HighSchoolAlumni networks. The company offers its business customers a full spectrum of integrated marketing solutions to reach Snowball’s large Net-centric audience. These products include impression-based advertising and sponsorships, permission marketing, custom publishing, contextual e-commerce, direct e-mail marketing and content syndication. The company is headquartered in San Francisco, with sales offices in New York and Los Angeles. For more information visit .


Hypercom University

Hypercom has established the first electronic payment systems industry training and certification program. The ‘Hypercom University’ program will train developers, programmers and engineers in Hypercom’s hardware and networking systems, as well as software applications. In-depth training will be offered in smart card payment systems, Visual HDT (VHDT) C++-based software, electronic signature and receipt capture, ICE-PAC(R) on-screen/receipt terminal advertising, and IEN networks. Students successfully completing the courses will be granted the professional designations of Certified Developer, Certified Support Engineer or Certified Networking Engineer, depending on the course. Courses will be open to customers, international distributors, VARs and Authorized Repair Facility personnel at select Hypercom offices.



Wincor Nixdorf, Inc., the leader in the delivery of open systems solutions to the retail and banking industries, announced a strategic partnership with market-leading retail software solution provider, Cornell-Mayo Associates. Under their agreement, the companies will offer retailers an array of open-platform POS solutions based on Cornell-Mayo’s OPUS(TM) POS application and Wincor Nixdorf’s BEETLE POS platform.

The alliance includes joint marketing of a Linux and JavaPOS thin-client POS solution that delivers high value with low total cost of ownership. The OPUS-BEETLE thin-client configuration leverages the inherent benefits of both the OPUS application and BEETLE platform to create the ideal combination of thin-client manageability and fat-client fault tolerance. It can be delivered as a single platform that addresses all customer touch points in the retail store, from POS checkouts to kiosks, mobile devices, and browser-based systems.

“Due to flexibility and cost efficiencies, leading retailers have accepted Linux and JavaPOS as viable platforms for their store environments,” said Gene Cornell, president, Cornell-Mayo Associates. “Cornell-Mayo’s proven open platform design, paired with Wincor Nixdorf’s leadership and success with Linux and JavaPOS, creates a winning combination for our customers.”

“This agreement broadens our offering for tier-one general merchandise retailers, and helps us achieve our vision of a unified platform for the retail store environment,” said Jeff Soisson, vice president, Retail Solutions Group, Wincor Nixdorf. “As a respected leader in the retail industry, Cornell-Mayo is a welcome addition to our open standards family of alliances.”

About Cornell Mayo Associates

Cornell Mayo Associates has been delivering robust, high-function POS systems since 1981. The OPUS Millennium Store System(TM), CMA’s flagship product, first released in 1997, is the third generation of POS software developed by CMA. OPUS has been fully rolled out to many well known retailers including: Ames Department Stores; Belk Department Stores; Borders Books & Music; Talbots; and Tiffany & Co. Opus is highly scalable and is able to run diverse store types ranging from the small specialty store consisting of only a single register, to the largest department store consisting of back office servers and hundreds of registers. OPUS is easily tailored to meet diverse requirements for an unusually wide variety of retail formats. OPUS Millennium is installed on tens of thousands of point of service units in thousands of stores. For more information, visit [][1].

The BEETLE Family of POS Systems

Wincor Nixdorf’s BEETLE family of POS systems addresses the complete spectrum of customer touch points in the retail store environment. With solutions that encompass thin-client POS terminals, lean- and thick-client POS systems, kiosks, lottery terminals, and mobile POS devices, the BEETLE family is the industry’s most comprehensive POS product line. An open design supporting commonality of components across the entire BEETLE family substantially simplifies software deployment and hardware maintenance, keeping costs down and productivity high.

More than just PCs, BEETLE systems are rugged, designed to withstand the rigors of retail environments. All systems include standard retail interfaces, accept a wide range of peripherals, and are compliant with established retail software standards. Standard operating systems include Red Hat(R) Linux, the Microsoft(R) Windows(R) family, and Microsoft DOS.

The BEETLE family of POS systems is the industry’s first and only complete line of customer-proven, Linux-ready POS systems in production. The systems also offer the most expansive and complete set of JavaPOS drivers for POS peripherals.

About Wincor Nixdorf

Worldwide, Wincor Nixdorf, Inc. is one of the fastest growing providers of IT products and solutions for the retail and banking industries. Wincor Nixdorf’s offerings include hardware, application software, professional services and a complete range of service programs including on-site support, depot service and Advanced Exchange. Wincor Nixdorf is the world’s third largest provider of POS systems and automated teller machines. Employing more than 4,600 people, Wincor Nixdorf operates in 40 countries with manufacturing plants in Germany and Singapore. North American headquarters are in Austin, Texas. For more information, visit [][2].



AA MasterCard Promotion

American Airlines Vacations offers something extra for travelers who use MasterCard to purchase Hawaiian vacation packages.

Travelers who book five-night stays through American Airlines Vacations’ Web site — — at participating hotels on the islands of Oahu, Maui, Kauai, and The Big Island of Hawaii by Sept. 30, 2001, will receive a $100 MasterCard Prepaid card per booking. Travel must begin Sept. 1, 2001, and be completed by Dec. 15, 2001.

In addition, American Airlines Vacations will award 3,000 AOL(R) Aadvantage(R) bonus miles per booking. This promotion also offers great Alamo and Hertz car rental savings, transfers and optional sightseeing tours on each of the islands.

Booking Dates: Now through Sept. 30, 2001

Travel Dates: Sept. 1 through Dec. 15, 2001

Restrictions: All payments for vacation packages must be purchased using a valid MasterCard. The card must be valid for six months from the date it is issued and must be valid wherever the card is honored. The MasterCard Prepaid card will be received 6-8 weeks after travel has been completed and verified. Travel must be completed by Dec. 15, 2001.

Reservations and information available from local travel agents, American Airlines Vacations at 1-800-321-2121 or by visiting .


Aston Waikiki Joy Aston Kaanapali Shores
Aston Waikiki Sunset Aston Mahana at Kaanapali
DoubleTree Alana Waikiki Embassy Vacations at Kaanapali
Hilton at Turtle Bay Resort The Fairmont Kea Lani Maui
Hilton Hawaiian Village Hyatt Regency Maui
Hyatt Regency Waikiki Outrigger Wailea Resort
Outrigger Reef on the Beach Sheraton Maui
Outrigger Waikiki
Sheraton Moana Surfrider
Sheraton Princess Kaiulani
Sheraton Waikiki
The Royal Hawaiian

Hawaii The Big Island Aston Islander on the Beach
Aston Shores at Waikoloa Aston Poipu Kai
Hilton Waikoloa Village Hyatt Regency Kauai
Outrigger Waikoloa Sheraton Kauai

About AA Vacations

American Airlines Vacations is the most successful airline-owned tour operator in the United States. As a market leader in the travel industry with more than 50 years’ experience, American Airlines Vacations offers its customers a choice of over 1500 hotels and resorts in more than 300 destinations worldwide. Visit American Airlines Vacations’ Web site at .

The world’s largest carrier, American Airlines is celebrating its 75th anniversary in 2001. Together with its regional affiliate, American Eagle, American serves more than 240 cities in more than 50 countries and territories with more than 4,100 daily flights.


‘The Internet Superstore’ may go dark next month unless it finds a new credit card processor. Aliso Viejo, CA-based, which serves over 4 million customers, has until September 1st to locate a new processor after its current processor notified the company of its intention to terminate credit card services. The termination was to be effective July 23, but an extension was negotiated after agreed to pay a 1% surcharge on the processing fee, and 5% hold back for a security deposit. The extension expires August 31st. The company has other woes including a delisting from The Nasdaq National Market on August 14. The company’s founder Scott Blum has signed a definitive merger agreement to buy the firm for $0.17 per share. offers nearly 1,000,000 SKUs in a range of categories including computer hardware and software, electronics, wireless products and services, books, office supplies and more.


Tidel 2Q/01

Tidel reported a net loss of $16.5 million for its third fiscal quarter ending June 30. Results included the effects of an $18 million provision for losses on the company’s receivables from Credit Card Center and the write off of $2.5 million of unamortized debt discount and financing costs applicable to the company’s convertible debentures. Tidel is continuing to pursue collection of CCC receivables which aggregate approximately $27 million. Excluding the special charges, Tidel experienced a sharp decline in sales for the quarter, resulting in its first loss since September 1995. Tidel has sold more than 30,000 retail ATMs and 115,000 retail cash controllers in the U.S. and 36 other countries. For complete details on Tidel’s latest results visit CardData (

Details Acquisition, Inc. , a business-to-business, business-to-consumer and technology Internet company, announced that it has acquired, a global multi-currency e-commerce payment service that makes online payment secure, efficient and instantaneous on the Internet and on mobile devices. is the first instantaneous multi-currency e-payment system providing instant funds transfer for both B2B users and consumers. Terms of the acquisition were not disclosed. was created as a method of transacting business quicker and simpler both internationally and nationally on the Internet. By being both instantaneous and allowing buyer and seller to transact business in their own currencies, leads the push to conduct more e-commerce with “digital cash” — rather than credit cards and paper checks. Its simplicity and security provide services that allow consumers to send/receive electronic bills through the Internet; pay any bill or send money to anyone with an e-mail address; and perform customary banking transactions, such as fund transfers between accounts.

Originally created as a faster and less costly method for all businesses seeking to conduct international B2B transactions in multiple currencies, has become popular among many Internet users seeking an online e-payment service that is affordable and easy to use.’s ability to deal in multi-currencies and to send money instantaneously to anyone with an e-mail address sets it apart from the other on-line e-payment systems.

This service historically was only available to large multi-national corporations. initially developed this service with the B2B user in mind, but has extended its services to all e-commerce users wanting a simple, secure and complete e-payment solution.

The system is: easy to use for both buyer and seller, employs a robust authentication for sellers; provides for virtually instantaneous transfer of funds; is available in multi-currencies; and has enabled its platform for use on mobile devices. is a new generation of e-payment solutions for the Global Internet Economy.

Jacque Pate, Jr., Executive Vice President of, also commented that business across each of’s segments remains robust and that, based on current business conditions and internal projections, the outlook for the Company remains promising. has also established a strong financial foundation upon which to continue to expand its operations. Mr. Pate noted that at June 30, 2001, the Company reported cash of approximately $5.4 million and is debt free.



VeriStar has been awarded a patent for technology developed using biometrics for processing electronic financial transactions, and has changed its name to Indivos. The company’s ‘Pay By Touch’ payment service is based on sixteen patents issued to-date. The service enables consumers to pay for goods and services either at the retail POS, ATM or over the Internet using only a biometric for authentication. VeriStar recently changed its name to Indivos which comes from indi meaning “individual” and vos, the Latin suffix for “you.” The new name and identity stems from the company’s mission that the “individual you” of the consumer is paramount. Indivos’ patented capability provides a method and device for tokenless authorization of an electronic payment between a service provider and a consumer using an electronic third party indicator. Once the device successfully identifies the consumer, a biometric-based authorization of an electronic payment is issued.


EMS Loyalty

OH-based Electronic Merchant Systems has become the first transaction processor to offer the ‘Catuity Gift Card Loyalty’ product to its more than 60,000 U.S. merchants. The program offers EMS’ retailers the option of either a loyalty card that can be custom designed with a company’s logo or a gift card that can also provide loyalty applications. The Catuity software includes an integrated suite of applications that provide loyalty, ticketing, access control and membership. The Catuity Loyalty System is ubiquitous in that it can operate on any device, any card program and with any payment process, including stored value, smart cards and wireless applications.