Quest Products has signed former MasterCard CEO, Pete Hart, to a five-year consulting agreement to serve as a special consultant. He will focus on the development and commercialization of the Company’s patented ‘BIG1CARD’ technology. The ‘BIG1CARD’ is a multi-account smart card system which allows an innumerable variety of credit, debit and customer accounts to be maintained on a single card.Details
New York City-based E Commerce Group announced this morning that the City of Tallahassee has gone EBPP. Tallahassee rolled out a full suite of e-payment products to enable payment of water, gas, solid waste and electric bills via telephone or the Internet with payment cards. The city’s 90,000 utility customers can now make ‘Speedpay’ payments through a MasterCard, Discover, or VISA credit card or by debiting their checking account. ‘Speedpay’ is available on three platforms: desktop (for call centers), VRU and the Internet.Details
TX-based First American Payment Systems has hired Linda Young as VP of the newly formed Merchant Services department. She previously served as Senior Director of Implementations for Paymentech in Dallas, where she was involved with and managed point-of-sale terminal installations, merchant and employee training, and sales support. Ms. Young also spent six years at EDS as a business analyst.Details
Call Interactive, a subsidiary of electronic commerce and payment services leader First Data Corp. and a pioneer in automated customer care solutions, today launched the Call Interactive (CI) EasyServeSM suite of customer service products.
Designed to automate even complex customer service functions, CI EasyServe products feature next generation technology for phone and Web access. In early applications, these products have dramatically increased the number of calls satisfied start-to-finish in the interactive voice response (IVR) environment, pared call lengths by as much as 50 percent and provided consistent customer support at a reduced cost.
“The CI EasyServe product line is a natural outgrowth of the work Call Interactive has been doing on a customized basis for our clients in the financial, insurance and brokerage industries,” Call Interactive General Manager and Senior Vice President Steve Grandfield said. “Our new packaged product focus has enabled us to combine functionality for the most popular customer service requests into off-the-shelf products that can be implemented quickly with few customizations.”
The Call Interactive multi-channel approach allows customers to access the advanced functionality of the CI EasyServe products through both touch-tone and conversational speech recognition technology. Through advanced Web integration technology, Call Interactive clients are able to use one database for both Web and IVR customer service solutions.
“These products give the customer control of the call, making customer service available 24/7 on the customer’s terms,” Grandfield said. “At the same time, by cutting down the number of calls that require a live operator, CI EasyServe products free call center representatives to focus on complex customer service issues that truly require personal attention.”
Call Interactive is introducing EasyServe products for a number of key industries.
Brokerage industry – With CI MarketTalk SM, brokerage firms can offer their customers voice access to everything from real-time stock quotes, trade execution and advisories to account information. The CI MarketTalk advanced speech technology utilizes powerful voice response software from Nuance.
Financial industry – CI CardServe SM products move into new territory, automating complex customer service functions for card issuers. These products handle everything from charge disputes and lost or stolen card reports to card replacement requests. The multi-channel environment integrates phone and Web technology with applications that utilize touch-tone and advanced speech technology.
Insurance industry -CI BenefitServe SM offers comprehensive automated customer care services for providers, patients and employers. This flexible Call Interactive product is revolutionizing concepts of customer service in the insurance industry with automated response mechanisms that speed FastFax provider lists to patients, provide instant answer to questions of eligibility and offer up-to-the minute claims status information – all without the help of a live operator.
All CI EasyServe products are packaged solutions, which makes them ready for implementation in record time. In addition, these products are modular so that new features can be added easily.
Call Interactive has been a leading provider of customer service products since the 1980s. Although not originally branded as CI EasyServe, Call Interactive’s automated customer care solutions historically served clients in industries as diverse as telecommunications, food products and financial services. Today, its EasyServe customer service products eclipse the functionality of the in-house systems that many companies rely on for customer service support.
About Call Interactive:
Call Interactive is a leading provider of automated customer care solutions and a wholly-owned subsidiary of First Data Corp. (NYSE: FDC). Call Interactive, headquartered in Omaha, Neb., serves hundreds of businesses in a host of industries including financial services, insurance, brokerage and more by providing consultation, service, technology and support for long-term, complex interactive programs. For more information, please consult the company’s Web site at [www.callit.com].
About First Data Corp.:
Atlanta-based First Data Corp. (NYSE: FDC) is a global leader in electronic commerce and payment services. Serving more than two million merchant locations, more than 1,400 card issuers and millions of consumers, First Data makes it easier, faster and more secure for people and businesses to buy goods and services, using virtually any form of payment: credit, debit, stored-value card or check at the point-of-sale, over the Internet or by money transfer. For more information, please visit the company’s Web site at [www.firstdata.com].
Hudson United Bancorp announced that it has contracted to purchase four credit card portfolios and retail store servicing relationships from a subsidiary of Transamerica Finance Corp. Transamerica Finance Corp. is a wholly owned subsidiary of AEGON N.V. The portfolios will be administered by Shoppers Charge Accounts Co., Hudson United Bancorp’s division specializing in this service. The aggregate portfolio being purchased is approximately $85 million and closing is scheduled for later this month. Hudson United expects the transaction to be immediately accretive to earnings per share.Details
Transmedia Network’s dining rewards program is going wireless. The firm has teamed with AvantGo to enable ‘iDine’s’ more than four million members to access over 7,000 restaurant listings in 60 major markets by utilizing handheld devices based on the Palm OS or Windows CE platforms, as well as Internet-enabled phones. Offered as a free service, members can access the ‘iDine’ website via desktop synchronization or wirelessly and conduct a personalized mobile dining search by metro area and neighborhood. Under the ‘iDine’ program, members register up to three major credit cards and automatically receive their dining benefits without the use of coupons or flash cards. Under the fee-based, cash rewards program called iDine Prime, members receive a 20% cash reward at participating restaurants for an annual membership fee of $49. (CF Library 8/4/00; 11/22/00)Details
Drexler Technology contracted to provide one million ‘LaserCard’ optical memory cards to the U.S. Department of State. The ‘Laser Visa’ cards will be used for frequent visitors from Mexico and as INS Permanent Resident ‘Green Cards’. Under terms of the deal, Drexler will receive more than $3 million in revenues and will deliver the cards at an average rate of 143,000 cards per month. This is the second DoS million card order for Drexler. Approximately 8 million U.S. and Mexican residents have received Drexler’s cards since 1997, in the form of either Green Cards or Laser Visas. Currently, the INS and DoS are personalizing and issuing the cards to about 300,000 more people each month under these two programs. (CF Library 3/23/01)Details
The sub-prime credit card segment continues to lead the industry in receivables growth. SD-based First Premier Bank card loans soared by 113% last year compared to 93% for 1999. Providian and Capital One hold the leadership position in the sub-prime market. However Household is emerging as a major player according to CardData ([www.carddata.com]).
SUB-PRIME SAMPLE GROUP
ISSUER 2000 GROWTH AVG BAL AVG VOL
1. Providian +43% $2342 $2307
2. Capital One +45% $1268 $2094
3. Direct Merchants +27% $2067 $1800
4. First Consumers +61% $1222 $1889
5. First Premier +113% $309 $ 405
avg bal- average balance per active account as of 12/31/00; avg vol –
average year-to-date volume per active account as of 12/31/00.
Source: CardData (www.carddata.com)
Intelli-Check, Inc., a developer of advanced documentation verification systems, announced financial results for the year ended Dec. 31, 2000 that include a major increase in sales.
During the year ended Dec. 31, 2000, Intelli-Check contracted total sales of $860,929. In compliance with the Securities and Exchange Commission accounting regulation SAB No.101 which deals with the issue of revenue recognition, the Company has deferred $517,950 of its contracted sales to fiscal 2001 and, accordingly, the reported revenue for the year ended Dec. 31, 2000 was $342,979, a significant increase over revenue of $29,407 in 1999. Under the new accounting regulation, revenue on sales of the Company’s product is recognized upon shipment to the customer. Certain sales require continuing services or post contract customer support and performance by the Company, and accordingly the deferred revenue and related cost of revenues will be recognized ratably over a 12-month period.
Intelli-Check reported a net loss of $3,132,772, or $0.47 per share for 2000, compared with a net loss of $2,299,425, or $0.45 per share, in 1999. Basic and diluted weighted average shares outstanding used in computing per share amounts for each period were 6,648,191 and 5,079,807, respectively.
“We are pleased that the major marketing initiatives launched in late 2000 for our state-of-the-art ID-Check(R) age and document verification units have begun to generate increased sales and we are optimistic that this trend will continue in the current fiscal year,” stated Frank Mandelbaum, Intelli-Check Chairman and Chief Executive Officer. “In the past year, a great deal of the Company’s resources were devoted to building up infrastructure, hiring of new staff, an increase in advertising and marketing efforts and the move into a new headquarters sufficient to meet our operational needs. With that behind us, we can now look forward to an anticipated increase in sales and growth during the current fiscal year.”
Mr. Mandelbaum said that the Company has re-focused its marketing efforts to address the larger mass merchandisers, convenience stores, grocery and pharmacy chains, casinos and banks. “With an enhanced ID-Check unit that has the ability to verify the validity of military IDs, driver licenses and state-issued ID cards containing magnetic stripes or bar codes, Intelli-Check has positioned itself for growth in expanded markets such as major retail outlets which need an effective tool to help combat check cashing and credit card fraud supported by fake ID’s, in addition to the growing problem of ‘identity theft’.” Intelli-Check(R), Inc. designs, develops, and markets an advanced document verification system to enable a retailer to help prevent economic loss through various frauds utilizing fake ID’s to support these transactions and to determine whether purchasers of age restricted products meet the minimum age requirements for the sale. Fake ID’s of the highest quality are easily obtainable and have become a major tool in “identity theft,” the fastest growing crime in the U.S. The ID Check(R) terminal, with its patented software, analyzes and displays information encoded in magnetic stripes and barcodes found on driver licenses, military identification and other forms of government-issued identification.
Consolidated Statement of Operations
Year Ended December 31,
Sales $ 342,979 (a) $ 29,407
Net Loss $ (3,132,772) $ (2,299,425)
Net Loss per Common Share –
Basic and Diluted $ (0.47) $ (0.45)
Common Shares Used in
Computing Per Share Amounts–
Basic and Diluted 6,648,191 5,079,807
(a) Revenue on sales of the Company’s product is recognized upon shipment to the customer in order to meet Securities and Exchange Commission accounting standards. Revenues of $517,950 from sales in the fourth quarter of 2000, as well as cost of revenues of $299,040, were deferred and will be recognized ratably over a 12-month period. Total revenues recorded and deferred for the year ended December 31, 2000 were $860,929.
The Company will hold a conference call with members of the investment community on Friday, March 23, at 8:45 a.m. EST to discuss the year-end results. To participate in the call dial 800-360-9865.Details
First American Payment Systems, L.P., one of the fastest growing merchant credit card processing acquirers, is pleased to announce that Debra Bradford has joined the company as Senior Vice President and Chief Financial Officer. Ms. Bradford comes from Irving, Texas-based ACE Cash Express, Inc. where she served as Senior Vice President and CFO. Prior to that, she maintained a 15-year career with IPS Card Solutions, a division of First Data Corporation, (formerly NTS, Inc.) serving in various positions and leaving in 1999 as the Chief Operations Officer. A graduate of the University of Texas in Austin, Ms. Bradford is a CPA and a member of both the Texas Society of Certified Public Accountants and the Financial Executive Institute.
Neil Randel, President and Chief Executive Officer, said that Ms. Bradford is a valuable addition to the company. “Her background and experience will help First American to continue its aggressive growth plans for 2001 and beyond. Having a person with Debra’s operational and public sector experience will be a great benefit. I am pleased to welcome her to the First American Payment Systems team.” he said.
“I am very excited about joining the First American team, and I look forward to the continued growth of the company,” Ms. Bradford said.
About First American
First American Payment Systems, L.P., a privately owned company founded in 1990, provides full-service electronic credit card authorization and payment systems to retail, restaurant, mail order, telephone order, Internet and home-based merchants throughout the United States. The company also offers electronic gift certificates and electronic check conversion. First American’s divisions include national ATM deployment, Secur-Chex(TM) check guarantee, FirstPay.Net(TM) e-commerce payment gateway and Merimac Capital point-of-sale equipment and ATM leasing. First American provides services for 20,000 merchants and operates 270 ATMs nationally. For more information on First American Payment Systems, visit the company’s website at [www.first-american.net].
MasterCard International elected Lance Weaver as chairman of its Global Board of Directors. Mr. Weaver is a senior vice chairman and chief administrative officer of MBNA America. He joined the Board of Directors of MasterCard International in July of 1997. Weaver succeeds Donald Boudreau, recently retired vice chairman of The Chase Manhattan Bank, as chairman. MasterCard International has 22,000 member financial organizations in 210 countries and has issued 700 million cards worldwide. Combined with Europay, MasterCard has more than one billion credit, charge and debit cards in circulation, 19 million acceptance locations, and annual gross dollar volume of about $833 billion according to RAM Research Group ([www.ramresearch.com]).
USA Technologies Inc. announced it will equip Pre-Paid Express cellular phone and pager vending machines worldwide with its e-Port technology, giving customers the ability to purchase Pre-Paid Express offerings with a credit card.
The first e-Port equipped, Pre-Paid Express kiosk orders will appear shortly in Alamo and National rent-a-car offices, nationwide.
Pre-Paid Express, which revolutionized the purchase and servicing of pre-paid wireless is owned by Global Opportunities, Inc. of Fort Lauderdale, FL. Its fully automated kiosk offers everything from cellular phones and pagers, to pre-paid telephone calling cards. USA Technologies is a leader in cashless transaction and interactive media technology and associated financial services. Its revolutionary e-Port technology provides consumers the ability to make vending purchases with the swipe of a major credit card or bank debit card. The e-Port device also offers interactive media services.
Kuba Farbiarz, Business Development Managing Director, Global Opportunities, said he expected USA Technologies’ e-Port swipe card technology to increase Pre-paid Express revenue by up to 40 percent annually.
“We see e-Port providing enormous benefits — everything from providing credit, added convenience of ease of use, and remote audit capability. We already have deployed Pre-Paid Express kiosks into various countries; and our objective is to have them located wherever consumers most frequent, such as: airports, hotels, colleges, supermarkets, and malls,” Mr. Farbiarz said.
“Pre-Paid express is an innovator in the vending industry and it’s USA Technologies’ objective to help them bring the latest technologies that will add value and consumer satisfaction to their offerings,” said Stephen P. Herbert, President and Chief Operating Officer of USA Technologies. “e-Port, with its ability to collect supply chain — or — “route” data, allow consumers to make purchases with a credit card, and to view interactive media such as news, sports and weather, will not only improve the value we help Pre-Paid Express bring to their customers, but will help generate greater revenue for our partner through increased sales and placements of kiosks and vending machines.”
Surveys show that the pre-paid telephone calling card industry alone would be a $10 billion opportunity by the close of 2001. “There is growing demand for pre-paid services such as that offered by Global Opportunities, and when combined with our e-Port technology, we see the demand for Pre-Paid Express vending machines growing rapidly worldwide,” said Mr. Herbert. “Furthermore, the worldwide wireless and cellular phone market is in a period of explosive growth and USA Technologies is delighted to partner with Pre-Paid Express to bring this services to consumers on the go,” he said.
The contract with Global Opportunities for the first time moves e-Port into the non-traditional vending marketplace. Mr. Herbert said it was further evidence of e-Port fundamentally changing the vending industry, from one offering largely beverages and snacks, to almost any commodity and service, and the ability to conduct e-business. “We’re moving into entirely new vending opportunities,” he said.
“The British Postal Service has signed an initial contract for 1000 Pre-Paid Express kiosks with e-Port technology, to be deployed into this nation’s top locations,” Mr. Farbiarz said.
e-Port is the world’s first non-PC e-commerce device that can be embedded into vending machines, gas pumps, office equipment and almost any kind of point-of-sale terminal. It comes fitted with an interactive, video screen that features rotating banner advertisements, giving vending machine owners the ability to operate electronic “storefronts” and provide free access to media such as news, sports and weather.
About USA Technologies
USA Technologies is recognized as a leader in cashless transaction and interactive media technology and associated financial services. USA Technologies provides credit card-activated and other cashless systems, allowing end users, ranging from consumers to business professionals, to communicate, conduct business or make ordinary commerce transactions, outside the home or workplace. USA Technologies is an IBM (NYSE: IBM) Business Partner and an inaugural member of the Sprint Enabling Application Service Provider Program for e-commerce. It also has established relationships with a number of global IT, multimedia and telecommunications companies, including RadiSys Corporation, Double Click, Inc., and Xerox Corporation. Visit the USA Technologies home page at [http://www.usatech.com].