Global Cards

In today’s issue of ‘The RAM Report’: Shell UK deploys VeriFone multi-application terminals; American Express adds Alitalia, British Airways, and Cathay Pacific Airways to its companion ticket program for Platinum cardholders; Trintech signs Germany’s GZS; and details on the First Islamic credit card. ‘The RAM Report’ ([www.ramresearch.com][1]) covers all international payment card developments.

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

Details

CYOTA – VISA

Cyota, a leading payment and security technology
company, has been named by Visa U.S.A., the world’s largest consumer payments
system, as one of the vendors supporting the Visa Payer Authentication Service,
based on the 3-D Secure Interoperability Standard. The Visa Payer
Authentication Service, part of Visa’s Secure Commerce Program, is designed to
reduce the risk of unauthorized use of a cardholder account and make Internet
shopping better and safer for both buyers and sellers on the Web. Cyota
3DSecure
has been developed in conjunction with the Visa Payer Authentication Service to
enable card issuers to verify a cardholder’s identity through the use of a
password and provides results to the merchant in real time during the virtual
checkout process. The service will ultimately reduce the merchant’s exposure to
fraud and frivolous disputes.

The Visa Payer Authentication Service uses the Cyota 3DSecure technology to
give
Visa’s issuing banks the ability to authorize a cardholder’s identity to the
merchant during an online transaction. When a customer enters their Visa card
information in an online checkout form and clicks the “buy” button, the issuing
bank is alerted and requests the cardholder to confirm their identity by
entering a password. Once the issuer authenticates the cardholder, the merchant
is notified and the transaction is processed as it is today, with routine order
confirmation messages being returned to the cardholder.

“We are honored to be working with Visa toward a common goal the complete
security of online transactions,” commented Gary Heatherington, Cyota CEO.
“Security is still a barrier to many consumers shopping online; however, Cyota,
along with Visa, is on the cutting edge of reducing fraud and making consumers
more comfortable with online shopping.”

“Cyota has implemented Visa’s solution that will enable Member banks to
authenticate a cardholder to a merchant during an online purchase,” commented
Jim McCarthy, senior vice president at e-Visa, a division of Visa U.S.A. “Visa
is actively working with a number of technology partners to help e-Merchants
better secure cardholder information online and ultimately build consumer
confidence in the virtual payment environment.”

Cyota’s suite of 3DSecure products consists of the basic protocol, along with
several proprietary extensions that leverage Visa’s 3D Secure infrastructure to
significantly boost cardholder adoption, lower enrollment costs and
authorization costs and improve the overall security of the system. They also
allow issuers to undertake a single implementation process that will bring
cardholders 3D Secure functionality, which is tightly integrated with Cyota
SecureClick, the company’s groundbreaking surrogate number solution. These
extensions work without requiring changes in existing architecture.

About Cyota

Cyota (www.cyota.com) is an innovative technology company that is dedicated to
helping financial institutions strengthen their customer relationships through
reliable, flexible, easy to use online security, payment and transaction
products. Founded in 1999 by leading card and security industry experts, Cyota
is headquartered in New York with offices worldwide. Cyota is led by a
respected management team with extensive experience in the security, Internet
and banking industry and is supported by an international Advisory Board
comprised of world-renowned financial and security experts.

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TSYS & Buxx

TSYS has once again poised itself to capture an evolving payment market by enabling millions of teens and their parents greater purchasing power than ever. Through the use of its extensive card processing technology, TSYS is providing members of Generation Y and their parents access to one of the industry’s most powerful stored value card products: Visa Buxx. TSYS is offering this product to all issuers as part of its unique Stored Value Solutions initiatives, which provides the industry’s only comprehensive turnkey solution for stored value products and services.

TSYS received verification in May 2001 from Visa USA that it meets all of the core requirements of a Preferred Processor, for Visa Buxx Web site hosting, account servicing, and transaction processing. Visa Buxx is a parent-controlled, re-loadable payment card designed to help parents provide spending money for teens and to help teach teens practical money skills.

![][1] “Our strategy is clear. We recognize that Visa is one of the strongest contenders in this market space today,” said Scott Genung, TSYS director of product management, product development and marketing for Integrated Payments products. “TSYS will continue to align itself with major players as the market evolves. Visa Buxx is one aspect of our aggressive strategy to be the premier commerce engine for teens shopping on the web and at brick and mortar locations.”

TSYS will provide a highly scalable and advanced transaction authorization and processing system that allows for real-time transaction posting and account funding capabilities. TSYS can also provide turnkey solutions for any of its issuing bank clients, such as fully-integrated and customized Web site hosting, and customer care solutions including call center, IVR, Web-based customer service, accounting and settlement services.

About Visa

Visa is the world’s leading payment brand and largest 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 any time, anywhere and by any device. Please visit [http://www.visa.com][2] for additional information.

About TSYS

TSYS brings integrity and innovation to the world of electronic payments. TSYS serves as the integral link between buyers and sellers in the rapidly evolving universe of electronic payments. With almost 200 million accounts on file, TSYS makes it possible for millions of consumers to use their credit, debit, stored value, commercial, chip and retail cards any time, anywhere through any medium or portal. TSYS and its family of companies offer a full range of acquiring and issuing services from accepting electronic payments for goods and services, to credit applications and collections. Based in Columbus, Ga., TSYS ([http://www.tsys.com][3]) processes for 21 countries, in 11 currencies, in three languages and maintains operations in Canada, Mexico, Japan and the United Kingdom. TSYS is an 80.8-percent-owned subsidiary of Synovus Financial Corp. (NYSE: SNV) ([http://www.synovus.com][4]), No. 8 on FORTUNE magazine’s list of the “100 Best Companies To Work For” in 2001. For more information, contact news@tsys.com .

[1]: /graphic/visa/visa.gif
[2]: http://www.visa.com/
[3]: http://www.tsys.com/
[4]: http://www.synovus.com/

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Garcia at ETA

Global Payments Inc. announced the recent appointment of President and CEO, Paul R. Garcia to the office of Secretary for the Electronic Transactions Association (ETA).

Commenting on his appointment Garcia said, “I am very excited about this opportunity to advance the goals and agenda of the ETA. I am looking forward to working with my fellow board members and continuing to offer a voice for our industry.”

Garcia is currently a member of the Board of Directors and will also serve on the ETA Executive Committee. In addition, he is President, Chief Executive Officer and a Director of Global Payments Inc., an integrated provider of high volume electronic transaction processing and value-added information services for merchants, independent sales organizations (ISO’s) and financial institutions. He has been Group President of First Data Issuing Services, Chief Executive Officer of First Financial Bank and Chief Executive Officer of National Bankcard Corporation (NaBANCO).

The Electronic Transactions Association is the leading international trade association representing organizations offering electronic transaction processing products and services. Its membership represents leading companies providing services between merchants and settlement banks, financial institutions and businesses providing equipment or services to the industry. ETA was organized in 1990 to influence policy within the industry by providing leadership through education, advocacy and the exchange of information.

Global Payments Inc. is a leading provider of electronic transaction processing services to merchants, Independent Sales Organizations (ISOs), financial institutions, government agencies and multi-national corporations located throughout the United States, Canada and the United Kingdom. Global Payments offers a comprehensive line of payment solutions, including credit and debit cards, business-to-business purchasing cards, gift cards, check guarantee, check verification and recovery, terminal management and funds transfer services.

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NYCE Chic Offc

NYCE Corporation, one of the leading electronic payments companies in the United States, has augmented its Midwest sales and account management efforts by establishing an office presence in Chicago. This new location, along with Chicago-based team members, will facilitate NYCE’s ability to provide personalized face-to-face support to Network participants in Illinois and surrounding areas. “As we expand NYCE’s reach, we acknowledge the unique needs and perspectives of all our service areas,” says Joe Makarewicz, vice president at NYCE. “To meet these needs, we’re strategically adding new representatives in the Chicago area who intimately know the Midwest business climate.”

John Vogt, NYCE Network sales executive and Rhonda McMillon, NYCE Network Relationship Manager will focus on servicing organizations in and around Chicago. Ms. McMillon was most recently with Bank of America in the capacity of assistant vice president, Midwest region ATM sales manager. Mr. Vogt was previously a sales executive with Cash Station, Inc. and has extensive experience working with financial institutions in the Midwest market.

“John and Rhonda’s electronic payments expertise, coupled with their familiarity of this geographic region will help NYCE to best serve our Midwest customers,” says Makarewicz. “And, having an office in the heart of Chicago’s financial district will ensure that they will be readily available for our Participants.”

About NYCE

NYCE Corporation is one of the leading electronic payments companies in the United States, providing financial institutions and retailers with shared network services for automated teller machines (ATMs), on-line debit point-of-sale (POS) and emerging real-time payment solutions. The company also provides processing services that support ATM management and monitoring services, as well as debit card issuance and authorization solutions. Through a long-standing commitment to product innovation, NYCE has established itself as a front-runner in real-time person-to-person (P2P) payment services and PIN-secured Internet debit payment solutions. Comprising 2,400 financial institution and retail ATM deployer participants, the NYCE Network processes nearly 93 million transactions per month while servicing more than 47 million cardholders through 44,000 NYCE-branded ATMs and 250,000 POS locations. NYCE Corporation is headquartered in Woodcliff Lake, NJ, and can be found online at www.nyce.net. Additional NYCE office locations include Secaucus, NJ, Amherst, NY, Dearborn, MI, Longmont, CO and Chicago, IL.

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McDonald’s Speedpass

The most successful wireless payment program in the USA is expanding within the most successful fast food chain in the world. McDonald’s announced this week it will expand the pilot of ExxonMobil’s ‘Speedpass’ contactless payment program to more than 400 outlets in the Chicago area. Last fall, McDonald’s launched a limited test of the payment system in nine Chicago area restaurants. McDonald’s confirmed yesterday it is testing other similar systems and will eventually decide on a system to use nationwide. ‘Speedpass’, is a radio frequency transponder device that fits on a key chain. It will automatically bill purchases against a pre-determined credit card. The technology for the payment system was developed for Mobil by the TIRIS Division of Texas Instruments. The system was launched in the USA in May 1997 following a six-month test in St. Louis. The program recently signed up its four millionth user. The ‘Speedpass’ program has also been introduced in markets outside the USA including Singapore and Canada. McDonald’s has another pilot underway in 26 Boise, ID outlets using the ‘MicroTrak’ wireless system developed by PA-based FreedomPay. McDonald’s is also testing a wireless payment system in Southern California in conjunction with Orange County’s ‘FasTrak’ mass transit system and in New York a test will be launched soon utilizing the ‘EZPass’ system. (CF Library 2/20/97; 1/22/99; 4/14/99; 8/17/00; 5/8/010)

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Online Problems

A new study found that Web sites taking credit card payments from consumers have twice the level of problems and fraud as those experienced by B2B Web sites. The research found that “Pure Play” sites experience problems with 12% of orders and suffer fraud losses with 14% of orders. The study by NH-based ActivMedia Research also found that Web sites completely automating the credit card process experienced the lowest incidence of fraud. The research firms says B2C Web sites have problems with 10% of their orders that are paid with credit cards, compared to 5% for B2B Web sites. Fraud was involved with 12% of the orders on B2C Web sites compared to 7% for B2B Web sites.

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VISA Yahoo!

VISA International and Yahoo! have signed a global marketing agreement. Under the agreement, VISA will serve as the default payment option within international versions of ‘Yahoo! Shopping’, ‘Yahoo! Travel’ and ‘Yahoo! Wallet’ covered in the relationship. VISA will also be the preferred brand of any co-branded credit or debit card offered by Yahoo! in participating regions. VISA regions included under the new agreement are VISA Asia Pacific, VISA Canada, VISA Latin America/Caribbean, and VISA Central Europe, Middle East and Africa. VISA will develop and execute co-branded Yahoo! and Visa offline-marketing initiatives, which may include television advertising, regional print advertising and select statement insert programs, outdoor posters and airport signage by region. VISA International will showcase special Yahoo! offers on its Web site and will also feature Yahoo! on its regional VISA Web sites and in its “World’s Best Offers Program” catalog. Last year VISA USA and Yahoo! signed a similar agreement.

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@PayVault SafeDebit

NYCE Corp., a leading electronic payments company, has licensed GlobeID’s @PayVault SafeDebit Edition for its SafeDebit Internet debit payment system. The special edition @PayVault issuer module was recently installed by NYCE to certify additional vendors, demonstrate transactions to member financial institutions and retailers, run internal tests and tests on certification scripts. NYCE-innovated SafeDebit is the first convenient and portable way to make PIN (personal identification number) secured debit purchases on the Internet from any standard PC with a CD-ROM drive. It is also the only real-time PIN-based debit Internet payment method that does not require consumers to install special hardware. @PayVault SafeDebit Edition was the first module to successfully pass NYCE’s certification tests for SafeDebit card processing. NYCE’s decision to use the @PayVault SafeDebit Edition — a customized and packaged version of GlobeID’s flagship product for Internet payment security, @PayVault — demonstrates the product’s technology flexibility and versatility.

![][1] NYCE is now ready to support SafeDebit as a global Internet payment method to an eager marketplace. SafeDebit allows retail banks to re-intermediate themselves in Internet retail transactions and further reinforce their relationships with their customers.

“GlobeID has made major contributions to bringing SafeDebit to life and our licensing agreement is a natural progression in this relationship. We expect to explore GlobeID’s technology and know-how as SafeDebit continues to grow,” said Paul Turgeon, senior vice president of NYCE’s Advanced Products Group. @PayVault SafeDebit Edition’s unsurpassed record demonstrates the excellence of GlobeID’s technology and know-how and the versatility of its flagship Internet payment security product @PayVault. @PayVault, a new advanced virtual card management system, dramatically improves the security of Internet payments and curbs fraud by addressing the weaknesses of the current infrastructure. Its flexible and advanced security features improve cardholders’ confidence on the Internet and reduce fraud- related expenses.

About SafeDebit

Building on the successful evolution of real-time payments technology, SafeDebit payments work just like ATM card transactions for the Internet, allowing consumers to make PIN-secured purchases with funds withdrawn directly from their checking accounts. And just like an ATM card, the SafeDebit card holds consumer information in encrypted and embedded format. The data is passed via the Internet directly to existing secure online debit networks and financial institutions for authorization and settlement ­ the industry’s most reliable and secure technology infrastructure. As such, cardholder and transaction data is treated as securely as the billions of ATM and debit point-of-sale transactions that are made each year.

About GlobeID

GlobeID is a leading provider of Internet payment software solutions. GlobeID @PayTM Solutions assist Retail Banks and Card Issuers improve e-payments security and leverage e-payments. @PayTMSolutions provide state-of-the-art modular and open end-to-end solutions for Internet payments. Authenticated and irrefutable payments lower retail banks and card issuers’ risks. Banks and issuers can further leverage Internet payments in their customer relationship with a user-friendly, convenient and secure personal payment portal platform. US headquarters located at 303 Twin Dolphin Drive, Suite 600, Redwood City, CA. Visit GlobeID’s website at [www.globeid.com][2]

About NYCE Corporation

NYCE Corporation is one of the leading electronic payments companies in the United States, providing financial institutions and retailers with shared network services for automated teller machines (ATMs), on-line debit point-of-sale (POS) and emerging real- time payment solutions. The company also provides processing services that support ATM management and monitoring services, as well as debit card issuance and authorization solutions. Through a long-standing commitment to product innovation, NYCE has established itself as a front-runner in real-time person-to-person (P2P) payment services and PIN-secured Internet debit payment solutions. Comprising 2,400 financial institution and retail ATM deployer participants, the NYCE Network processes nearly 93 million transactions per month while servicing more than 47 million cardholders through 44,000 NYCE-branded ATMs and 250,000 POS locations. NYCE Corporation is headquartered in Woodcliff Lake, NJ, and can be found online at [www.nyce.net][3].

[1]: /graphic/nyce/nyce.gif
[2]: http://www.globeid.com/
[3]: http://www.nyce.net/

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WebMiles Dining

UT-based WebMiles and FL-based Transmedia Network have teamed up to launch the ‘WebMiles Dining Program’. Through the program, WebMiles members will receive five airline miles per dollar spent when dining at any of the more than 7,500 participating restaurants nationwide simply by registering an existing credit card with the ‘WebMiles Dining Program’ and using that credit card to pay for the meal. WebMiles members can activate up to three of their major credit cards. Transmedia currently has nearly six million members in its dining rewards programs, either branded under the name ‘iDine’ or provided through private label partnerships. The WebMiles program allows Members to redeem WebMiles rewards for travel on any airline and any flight without restrictions such as blackout dates and limited seating.

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VISA & Cyota

Cyota, a leading payment and security technology company, has been named by Visa U.S.A., the world’s largest consumer payments system, as one of the vendors supporting the Visa Payer Authentication Service, based on the 3-D Secure Interoperability Standard. The Visa Payer Authentication Service, part of Visa’s Secure Commerce Program, is designed to reduce the risk of unauthorized use of a cardholder account and make Internet shopping better and safer for both buyers and sellers on the Web. Cyota 3DSecure has been developed in conjunction with the Visa Payer Authentication Service to enable card issuers to verify a cardholder’s identity through the use of a password and provides results to the merchant in real time during the virtual checkout process. The service will ultimately reduce the merchant’s exposure to fraud and frivolous disputes.

![][1] The Visa Payer Authentication Service uses the Cyota 3DSecure technology to give Visa’s issuing banks the ability to authorize a cardholder’s identity to the merchant during an online transaction. When a customer enters their Visa card information in an online checkout form and clicks the “buy” button, the issuing bank is alerted and requests the cardholder to confirm their identity by entering a password. Once the issuer authenticates the cardholder, the merchant is notified and the transaction is processed as it is today, with routine order confirmation messages being returned to the cardholder.

“We are honored to be working with Visa toward a common goal the complete security of online transactions,” commented Gary Heatherington, Cyota CEO. “Security is still a barrier to many consumers shopping online; however, Cyota, along with Visa, is on the cutting edge of reducing fraud and making consumers more comfortable with online shopping.”

“Cyota has implemented Visa’s solution that will enable Member banks to authenticate a cardholder to a merchant during an online purchase,” commented Jim McCarthy, senior vice president at e-Visa, a division of Visa U.S.A. “Visa is actively working with a number of technology partners to help e-Merchants better secure cardholder information online and ultimately build consumer confidence in the virtual payment environment.”

Cyota’s suite of 3DSecure products consists of the basic protocol, along with several proprietary extensions that leverage Visa’s 3D Secure infrastructure to significantly boost cardholder adoption, lower enrollment costs and authorization costs and improve the overall security of the system. They also allow issuers to undertake a single implementation process that will bring cardholders 3D Secure functionality, which is tightly integrated with Cyota SecureClick, the company’s groundbreaking surrogate number solution. These extensions work without requiring changes in existing architecture.

About Cyota

Cyota (www.cyota.com) is an innovative technology company that is dedicated to helping financial institutions strengthen their customer relationships through reliable, flexible, easy to use online security, payment and transaction products. Founded in 1999 by leading card and security industry experts, Cyota is headquartered in New York with offices worldwide. Cyota is led by a respected management team with extensive experience in the security, Internet and banking industry and is supported by an international Advisory Board comprised of world-renowned financial and security experts.

[1]: /graphic/visa/visa.gif

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CMSI Merger

Credit Management Solutions, Inc. announced that its stockholders have approved the merger of CMSI with a subsidiary of The First American Corporation. Under the terms of the transaction, upon the closing CMSI stockholders will receive 0.2841 of a share of First American common stock for each outstanding share of CMSI stock held by them. Approximately 2,273,000 shares of First American common stock will be exchanged for all outstanding shares of CMSI. First American will also assume all outstanding options to purchase shares of CMSI common stock.

About CMSI

Since it was founded in 1987, CMSI has been a premier provider of credit automation software and services, including Internet-based online lending and leasing technology. Corporate clients include leading organizations in the banking, finance, automotive, student lending, and telecommunications industries. The Company’s e-commerce subsidiary, Credit Online, Inc., credit- enables business-to-business and business-to-consumer transactions through its Internet gateway and funding exchange network. Its patented CreditOnline(TM) and CreditConnection(R) technology links credit originators (such as automobile dealers) and borrowers with an extensive network of leading prime and non-prime lenders. Through its CMSI Systems, Inc. subsidiary, CMSI licenses credit decisioning and other automation systems and services for consumer and business credit that have been the choice of some of the world’s most demanding credit grantors. CreditConnection and CreditOnline are trademarks or registered trademarks of Credit Management Solutions, Inc.

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