Discover 1Q/01

Morgan Stanley Dean Witter & Co. reported net income for its Credit Services/Discover Card division of $142 million for the quarter ended Feb 28. However both charge-offs and delinquency grew during the quarter, reflecting the weakness in the U.S. consumer economy. The credit card net charge-off rate increased to 4.79%, 13 bps higher than last year’s first quarter and 22 bps higher than the previous quarter. The 30+-day delinquency rate was 6.34% compared to 5.58% a year ago and 5.92% for the prior quarter. Managed credit card loans rose to $49.5 billion, an 18% from a year ago. Transaction volume increased 4% from first quarter 2000 to $24.4 billion. Merchant and cardmember fees rose 6% to $629 million. For the quarter, Discover opened almost 1.4 million new cardmember accounts, bringing the total number of cardmember accounts to a record 43.7 million. For complete details on Discover’s latest quarterly results visit CardData (

1Q/00* 2Q/00* 3Q/00* 4Q/00* 1Q/01*
Receivables: $42.0b $43.7b $44.8b $47.1b $49.5b
Volume: $23.5b $21.9b $21.9b $22.8b $24.4b
Accounts: 39.2m 40.4m 41.4m 42.6m 43.7m
Actives: 22.8m 23.1m 23.1m 23.8m 24.0m
Chargeoffs: 4.66% 4.21% 4.18% 4.57% 4.79%
Delinquency: 5.58% 5.11% 5.47% 5.92% 6.34%
Yield: 13.35% 13.69% 14.05% 14.13% 13.66%

*1Q/00 fiscal quarter ended 2/29/00; 2Q/00 fiscal quarter ended 5/31/00; 3Q/00
fiscal quarter ended 8/31/00; 4Q/00 fiscal quarter ended 11/30/00; 1Q/01
fiscal quarter ended 2/28/01. Source: CardData (



Euronet Worldwide, a leading provider of secure electronic financial
solutions, announced it has been selected to
provide ATMs and other value-added ATM services at Alldays convenience store
locations in the United Kingdom.

Euronet is the first independent ATM operator selected by Alldays as an
provider. Euronet will provide Alldays with
ATM site identification, installation, monitoring, dispatch, maintenance,
telecommunications, cash delivery, authorization and
customer support.
Alldays, headquartered in Eastleigh, England, is considered one of the
dynamic convenience store groups in the U.K.
Alldays management is very enthusiastic about providing their customers with
convenience ATMs in their stores, as well as new
ATM services, including prepaid mobile phone airtime “top-up,” vouchering,
advertising, ticketing and coupon issuing. Initially, 40
Euronet ATMs will be installed by the end of April 2001, with an additional 60
to be installed by the end of the year.

“We are very pleased to be selected by Alldays to supply convenience ATMs
for their store locations,” said Michael Brown,
Euronet Worldwide CEO and Chairman. “When Alldays decided to provide
ATM convenience for their customers,
they needed an ATM provider with the requisite experience and total commitment
to customer service and the ability to provide
additional value-added ATM services.

“These machines will offer more services than traditional ATMs — from
mobile phone “top-up” to couponing. This program is
yet another example of the secure financial transaction flexibility our
provides to retail businesses, financial institutions
and mobile operators on a global basis.”

As a global provider of secure financial transactions, Euronet
continues to
expand its geographic and marketplace presence
throughout Europe, the Middle East, Africa, the Americas and Asia/Pacific.
expansion enables our customers to provide
their consumers a wide array of transaction touchpoints and provides Euronet
continued transaction volume growth.

About Euronet Worldwide

Euronet Worldwide is an industry leader in providing secure electronic
financial transaction solutions. The company offers
financial payment middleware, financial network gateways, outsourcing and
consulting services to financial institutions and mobile
operators. These solutions enable their customers to access personal financial
information and perform secure financial
transactions — any time, any place. The company has processing centers
in the United States, Europe and Asia, including
owning and operating the largest independent ATM network in Europe. Euronet
recently ranked number two on the Deloitte
& Touche Technical Fast 500, a ranking of the fastest-growing technology
companies in North America. With corporate
headquarters in Leawood, Kansas, U.S.A., and European headquarters in

Hungary, Euronet serves more than 200
clients in 60 countries.


CardSite on Sema

Incurrent Solutions, the leading provider of Internet-based account acquisition and Cardmember Relationship Managementsm solutions for the payment card industry, announced this week it has signed a marketing agreement to cooperatively market Incurrent’s CardSite to Sema’s card-issuing clients. Sema, the word’s largest international provider of credit card processing systems, with over 200 card clients around the globe, has recently launched Essentis, a new card management system. CardSite will be marketed in conjunction with Essentis and to Sema’s existing clients.

CardSite, Incurrent’s comprehensive Cardmember Relationship Management system generates significant card issuer benefits by increasing brand loyalty and enabling cardholders to perform a vast array of account activities 24 hours a day, 7 days a week via Internet, wireless and voice channels. These activities include viewing current or historical statements, paying bills, searching transactions or receiving email alerts of their current account status. “We’re very excited about the opportunity to work with such a well respected partner and expand the market opportunity of CardSite into Europe and Asia, as we fully expect to see the same type of growing demand for Internet-based customer service in these markets that we have experienced here in the US,” said Loren Hulber, Incurrent’s President and CEO. “Sema’s new card management system, Essentis is being extremely well received by major international card operations and we will cooperatively promote the utilization of CardSite in order to address issuers’ growing Internet service and EBPP needs. Additionally, Sema’s service bureau operations can also provide us with an excellent infrastructure for hosting the international operations of our CardSite clients.”

“Incurrent’s knowledge of the card industry and their ability to implement CardSite extremely rapidly provided Sema with an attractive, well established solution that we believe will immediately compliment our existing and new product suites,” said Steve Howe, Sema’s Director of International Payment Systems. “The CardSite platform has been extremely popular with US card issuers and we expect to receive a similar response in our markets. The combination of Essentis and CardSite provides an extremely powerful opportunity for issuers to distinguish their programs in a unique, value-added way”.

About Incurrent

Founded in 1997, Incurrent Solutions ([][1]) provides advanced Internet and wireless services to card issuing banks and transaction processors. Incurrent’s clients include Fiserv, Fleet Credit Card Services, Alliance Data Systems, Sears, and NextCard. Incurrent has seen the volume of its clientele’s total cardmember base swell from15 million to 100 million during the last twelve months.

About CardSite

Incurrent’s flagship CardSite provides a cutting-edge, Internet-based account acquisition and service solution that enhances the cardholder experience and cultivates account loyalty at a cost that is significantly lower than traditional customer interaction methods. Cardholders enjoy real-time access to account information, statements, bill presentment, secure email, reports, searches, interactive sessions and other service-enhancing tools over web, wireless and voice channels. CardSite is delivered under a comprehensive Application Service Provider (ASP) model. Incurrent combines its industry leading CardSite with client-defined operating services, complete creative design and integration services to form a cohesive Internet and wireless cardholder solution.

About Sema

With over 15 years experience, the International Payment Systems division of Sema International Payment Systems specializes in offering card management software, systems integration, business consultancy and managed card services to the payment cards industry. Over 200 customers across Europe, Asia Pacific, the Middle East, Africa and the Americas use their card processing solutions. Sema International Payment Systems has recently launched Essentis, the next generation payment system solution for card issuer and merchant acquirers. For more information visit [][2]. Sema, [][3], is one of the world’s leading IT and business service companies. The Group’s 1999 turnover was £1.41 billion, showing a 20 percent increase when compared with the 1998 full results. Turnover has more than doubled over the past five years. Sema has over 21,000 employees currently working across 160 sites worldwide. The Essentis payment card issuing and merchant management system Essentis manages the core processing functions that are crucial to payment card processing including:

* Card Issuing managing portfolios of cards and the card holder information

* Merchant Acquiring Managing the merchant accounting and settlement process

* Interchange Managing the clearing and settlement between card processing organizations and the major payment networks. Essentis is compliant with Visa®, MasterCard®, Europay and JCB. Connection to domestic payment networks can also be provided

* Authorizations Processing the authorization of transactions between issuers and acquiring banks over the major payment networks

* Applications for managing the payment card application and decision making process

* Collections for effective management of the debt collection process The technical design of Essentis allows easy integration with specialist external systems, which enhance the capabilities of the product. These include:

* Internet and mobile commerce technology

* Fraud Management systems

* Behavioral Scoring systems

* ATM and POS networks

* Other external systems (e.g., a central banking database)

The major benefits that Essentis will bring to card processors include:

* Competitive Advantage – Exploiting the latest technology

* Speed to Market – Essentis allows new card products to be developed and launched quickly

* New Delivery Channels – The ability to facilitate the Internet and mobile devices for transactions and customer service operations

* Chip Cards – Essentis will facilitate the processing of chip and magnetic stripe cards. Essentis has been developed to support multi-application chip cards in line with international standards

* Customer Focus – The powerful relational database at the heart of Essentis provides a single up-to-the-minute view of each customer

* Global Solution With multi-currency, multi-language and multi-institution capability, Essentis is equipped for the international cards business.




Oberthur Card Systems has
formed a partnership with Intercede,
a provider of Internet and intranet security solutions and products to
create a
strategic working relationship with Oberthur and
Intercede’s edefice office suite.

Intercede’s partnership with Oberthur, its second since being floated on
the London Stock Exchange’s Alternative Investment
Market, aims at providing a complete end-to-end highly secure solution for
e-commerce transactions.

Marc Bertin, E-Business director for Oberthur, said “Our goal is to
provide globally secure online transactions for both
consumers and businesses in this new electronic age, and our collaboration
Intercede will allow us to build a secure
e-commerce environment and further strengthen our AuthentIC offering. The
partnership will allow us to deliver innovative
technology today upon which future innovations and developments can be built.”
Richard Parris, managing director of Intercede, added “We have chosen to
partner with Oberthur primarily because of its
renowned strength in this field. Our combined expertise — in Oberthur’s
Java-based solutions and our own experience in the
management and deployment of smart cards and Public Key Infrastructure — will
undoubtedly enable us to develop the most
comprehensive, secure e-commerce offering in a single software solution.”
Intercede’s edefice security management software suite is an open platform
that aims to make the deployment and management
of application and network security solutions easier, quicker, more accessible
and scalable for both end-user customers and
network security integrators.

Configurations available with the core Central Security Manager include
Remote & LAN Access Authentication, Single
Sign-On, Web site Security and Data Secure Laptop. edefice suite allows the
of tokens, smart cards and biometrics devices
in any combinations and can administer and manage multiple RAS, RRAS and

Providing the highest levels of security, Oberthur’s AuthentIC smart cards
meet the key requirement for secure access to
information. With security issues varying from country to country, cultures
markets, Oberthur has created a smart card that is
a secure electronic identification system by using electronic keys and

Based in an open environment on Java(TM) or Microsoft(TM) with an
to industry standards (PKCS No. 11,
Microsoft CSP), AuthentIC offers a level of flexibility which allows it to be
adapted to different devices and systems and form
part of a Public Key Infrastructure solution. AuthentIC incorporates all
digital signature protocols and standards and includes a
key-generating function.

Designed to support different cryptographic technologies, such as RSA
algorithms, identification technologies and the latest in
high-secure technology — Elliptic Curves — the AuthentIC range of cards is
designed to meet current and future market

requirements with the capability to support future industry standards.

About Oberthur Card Systems

Oberthur Card Systems (Paris Stock Exchange – Code SICOVAM 12413), a
leader and the innovator in the smart
card industry, is shaping the future by offering the ultimate in SIM, WAP, 3G
(IMT-2000/UMTS), e-wallet technologies and
Internet-based card management services coupled with a firm commitment to open

Championing EMV migration, Oberthur is the world’s No. 1 supplier of
MasterCard and Visa cards; No. 1 in banking,
e-commerce, m-commerce and pay-TV; and Oberthur is also the No. 1 in Java(TM)
and GSM technologies.
Oberthur Card Systems has an international reach ensured by 30 sales
offices and 19 manufacturing sites across the five
continents. Oberthur Card Systems had sales of 451.1 million euros in 2000.

About Intercede Group plc

Intercede Group plc (LSEIGP)(IGP.L) is a leading developer and
supplier of
security management solutions for computers,
networks and software applications. Intercede has successfully raised 2.2
million pounds (net of expenses) by way of a placing
on the Alternative Investment Market (“AIM”) which values the company at
approximately 10 million pounds.

Intercede plc is one of only three quoted security software companies in
the United Kingdom. Intercede’s customers cover a
range of industries and include Barclays Bank, Lloyds TSB, Abbey National, the
Department for Education and Employment, the
NHS, Compaq, ICL, Kingfisher and Pharmacia and Upjohn.


Global Payments 1Q/01

Global Payments Inc. completed its spin off from National Data Corporation and began trading on the New York Stock Exchange on February 1, 2001. Today, Global announced its third fiscal quarter financial results. These results are stated on a normalized basis, which excludes the impact of divested businesses and other non-recurring items, and includes certain pro forma costs assuming the spin off occurred on June 1, 1999.

For the third fiscal quarter ended February 28, 2001, normalized revenue was $80.7 million, net income was $5.8 million, and basic earnings per share was $0.22. These results compare to prior year third fiscal quarter normalized revenue of $79.6 million, net income of $6.3 million, and basic earnings per share of $0.24.

For the nine months ended February 28, 2001, normalized revenue was $247.6 million, net income was $22.2 million, and basic earnings per share was $0.84. These results compare to prior year same period normalized revenue of $245.3 million, net income of $23.6 million, and basic earnings per share of $0.88.

The year-over-year results reflect growth of direct card transactions in the mid-teens offset by declines in the funds transfer and indirect businesses. Global continues to be a strong generator of cash, with EBITDA of $17.0 million for the quarter.

On March 20, 2001 Global closed its transaction with Canadian Imperial Bank of Commerce (CIBC) to acquire certain net assets of CIBC’s merchant acquiring business and to form a ten year marketing alliance to offer credit and debit card payment products and services to merchants in Canada. Global issued 9,764,623 shares of unregistered common stock to CIBC, valued at $133.6 million on the closing date, providing CIBC with a 26.25% ownership position in Global Payments. Global’s results for its fourth quarter ending May 31, 2001 will include a partial period of CIBC results.

In commenting on third quarter results, Paul R. Garcia, chief executive officer, said, “We are pleased with the progress we have made to date in our core business and are encouraged by these results. With the completion of the spin-off from NDC, we are now operating as a stand alone public company focused on providing electronic payment processing services. The acquisition of CIBC’s merchant acquiring business is an important element in the continued expansion of our business in North America.”

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. 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.

For more information on Global’s latest quarter visit CardData ([][1]).




Leapfrog Smart Products, Inc., an emerging leader in Smart card software
development, and ORGA Card Systems, a global pioneer of integrated Smart card
systems, announced they have agreed to develop and jointly promote Smart
card and biometric solutions for the global healthcare community.
Under the terms of the agreement, both companies will play key roles in
the joint marketing, development, integration and implementation of Smart card
and biometric healthcare solutions. In order to better leverage each other’s
areas of expertise, Leapfrog and ORGA will provide each other with preferred
pricing and share/exchange select technologies. Leapfrog’s role will be
primarily as an application developer and manager of installed solutions,
while ORGA will mostly handle manufacturing duties, such as supplying Smart
cards, readers and personalization equipment and providing management support.
Dr. Les Bromwell, Chief Executive Officer of Leapfrog, stated, “This
agreement with such a high profile, elite company is a major achievement for
Leapfrog, and a recognition of our outstanding capabilities in software
development for healthcare applications. ORGA is a multi-national company
that offers multiple complementary solutions to build upon our products
targeted to the highly coveted Smart card and biometric markets. We believe
this partnership further demonstrates our commitment to developing leading
Smart card software applications and products and confirms that our
management team is carrying forward a strong dedication to increase
shareholder value by expanding product lines and increasing customer service.”
ORGA, founded near Frankfurt, Germany, in 1972, is a pioneer in the Smart
card industry. The Company’s many breakthroughs include manufacturing the
first multi-function chip-based card, the first chip-based telephone card in
the UK and the first chip-based bank card in Germany. As the leading provider
of Smart card solutions within the healthcare industry, ORGA has successfully
implemented the national rollout of 80 million healthcare cards in Germany and
is a technology provider for the French national healthcare card project,
SESAM-Vitale. ORGA is a true global leader in the Smart card market, with
solutions for telecommunications, banking, health, retail, Internet,
identification systems, e-commerce and m-commerce applications. The Company
maintains offices in 13 countries, and agents in more than 50 countries.

About Leapfrog Smart Products, Inc.

Leapfrog Smart Products, Inc. is a world-class leader in Smart card
software development, biometrics and system solutions integration. Located in
Maitland, Florida, Leapfrog is dedicated to creating innovative software
applications for Smart cards and biometrics. Smart cards are credit card-
sized pieces of plastic with a computer microprocessor embedded within.
Current applications of Smart card software include personal identification,
e-purse transactions, loyalty point storage, physical and logical access, as

well as portable storage of medical records. Leapfrog, through its General
Services Administration (GSA) master contract, is also certified as a
contractor with the United States Federal government.


e2Procure MC Purchasing Card

e2Procure Solutions Group, formerly, a cost-saving web-based procurement platform for the K-12 education market, and GE Capital Financial Inc. have signed an agreement that creates the e2Procure MasterCard Purchasing Card.

This co-branding agreement augments the e2Procure “procure-to-pay” solution, enabling end-to-end order to settlement between school districts and their educational vendors through Internet payment management tools. e2Procure’s InstaBuy(tm) and InstaBid(tm) suites for school procurement, compress the purchasing process from weeks, via the traditional procurement model, to days. Procurement is streamlined with a paperless purchase order system, including GE Capital’s MasterCard solution. In addition, through its agreement with GE Capital Financial Inc., e2Procure can now capture on-line and off-line spending, reporting it directly to a school district’s general ledger electronically.

“e2Procure is delighted to enter an agreement of this significance with GE Capital Financial Inc.,” said e2Procure co-founder and president, Shankar Balan. “We view this alliance both as a validation of the education procurement industry and an extension of the customer benefits of the e2Procure ‘procure-to-pay’ solution.” “The e2Procure model for delivering a $25 procure-to-pay cost to the K-12 market is in line with results we have seen with Fortune 1000 and higher education purchasing card customers,” said Jeffery R. Dye, president of GE Capital Financial Inc., the corporate card unit of GE Card Services. “With the e2Procure Purchasing Card, school districts can take advantage of on-line tools, and the wide acceptance of MasterCard, to drive cost and time out of their buying processes.”

The e2Procure platform is a web-based, open standards trading network, requiring only a traditional browser for access. School districts log on to the system and have access to a variety of vertical markets, third-party sites and e-procurement proprietary products. Schools can either create a bid for a future purchase or make purchases by visiting contract supplier catalogs or searching content provider’s generic catalogs. All desired items are placed on requisitions, forwarded through the appropriate approvals, converted to a Purchase Order and forwarded to the vendor. The Purchase Order includes payment details, including the Purchasing Card information.

The Department of Education estimates that a single requisition costs a school district between $100 and $175 to process, plus another $50 in costs related to issuing vendor payments. With more than 16,000 school districts in the U.S. writing 25 million requisitions annually at a cost of $225 to process each requisition through to payment, adopting the e2Procure system could save school districts billions.

Vendors serving the U.S. K-12 education market, which annually spends approximately $335 billion, or the equivalent of 6 percent of the gross domestic product, can benefit from the e2Procure solution by receiving payment within two days of order delivery. “Delivering value to the K-12 education market means meeting the needs not only of the schools themselves, but also those of the businesses that supply schools,” said e2Procure Solutions Group co-founder and president, Shankar Balan. “Our technology was developed to provide a streamlined process and encourage the evolution of a competitive procurement community. The deployment of an e2Procure Purchasing Card supports our core business strategy of enhancing the symbiotic relationship between schools and their suppliers.”

About GE Capital

GE Capital Financial Inc. is a unit of GE Card Services. It develops and markets corporate bankcards designed for medium- and large-sized, multinational companies and organizations. GE Card Services is a GE Capital company. GE Capital, with assets of more than US$370 billion, is a global, diversified financial services company grouped into six key operating segments comprised of 24 businesses. A wholly-owned subsidiary of General Electric Company, GE Capital, based in Stamford, Connecticut, provides a variety of consumer services, such as credit cards and life and auto insurance; mid-market financing; specialized financing; specialty insurance; equipment management, and specialized services, to businesses and individuals in 47 countries around the world. GE is a diversified services, technology and manufacturing company with operations worldwide.

About e2Procure Solutions Group

e2Procure Solutions Group has developed an end-to-end “procure-to-pay” e-procurement solution for the K-12 education market. e2Procure Solutions Group is committed to simplifying the education procurement cycle, enabling both school districts and their local vendors to realize the financial advantages of an e-commerce procurement model.

The e2Procure solution features include a multi-user interface that supports administrative process requirements, and SmartMatch(tm), which supports criteria-based vendor selection. The InstaBid(tm) QualityInspector(tm) feature groups bids by their adherence to RFQ specifications. InstaBuy(tm) allows purchase order consolidation for multiple purchases of the same item, and on-line vendor payment via the e2Procure Purchasing Card (MasterCard)(tm) or other accepted forms of electronic payment. In addition, e2Procure is committed to identifying procurement-related problems and creating solutions such as a Surplus Equipment & Text Book Exchange. e2Procure Solutions Group can be contacted by calling 706.738.6999, or by writing to 710 Broad Street, Augusta, GA, 30901, or by visiting [][1]




Giesecke &
Devrient (G&D), an internationally operating technology group announced
the official launch of their expanded website to meet the needs
and interests of their North American corporate customers.
The extensive section devoted to Cards & Card Systems provides
comprehensive information on leading-edge solutions and also demonstrates
G&D’s focused commitment to building a smart future for its Canadian, U.S. and
Mexican business partners.

“We are committed to growth, innovation, technology and people. The
release of this expanded website is a first step as G&D embarks on a new
“frontier” for strategic growth and innovation that will strengthen and
reinforce that commitment,” says Jim Frye, President of Card Systems, United
States and Canada. “I am excited with this new unified front, as it will offer
customers advantages in service and support that extend throughout the United
States and Canada and into the global marketplace.
This is a time of substantial growth for G&D, as we lead the way in the
areas of Magnetic Stripe, Smart Cards, Fulfillment and eBanking solutions for
North America,” adds Mr. Frye.

Special website highlights include; G&D’s Products & Service from Design
Concepts to Manufacturing through to Card Issuance, Forms Management and
Statement Processing, The G&D website clearly demonstrates the organization’s
full in house end-to-end business solutions. For those interested in
developments in Mexico, the G&D Mexico website can be accessed via the Mexican
Flag on the home page. Visitors are also able to view Munich headquarters and
worldwide subsidiaries on G&D’s Munich site through a direct link in Profile.

Another area that is expected to draw a lot of attention is the Consumer
Showcase where consumers and customers can view How a Card is Produced, and
are invited to submit their ideas on what they would like to see in card
technology. Additionally, they can view G&D’s first phase Gallery of Cards
including two cards in which G&D won finalist awards for Best Secure and Best
Non-Secure Card Design from the International Card Manufacturers Association
in 2000.

Finally, if viewers would like further information, they can readily
download G&D’s On-line brochures or request a copy of the bi-annual color
publication G&D Report Magazine which highlights G&D worldwide with cover
stories, new innovations, current applications, markets and the latest
technology research.

Giesecke & Devrient (G&D) is an internationally operating technology
group. With nearly 150 years of history, the Giesecke & Devrient of today
upholds their tradition as a trusted leading supplier of banknotes and
security documents, banknote and security paper and currency automation
systems as well as cards, components and complete multifunctional Smart Card

systems for electronic payments and telecommunications. The group also offers
end-to-end solutions for security in e-business. G&D is on the leading edge of
Smart Card technology in the areas of PKI, Biometrics, e-Commerce, m-Commerce,
Internet Banking Solutions, Telecommunications, Transportation, Health Care,
Secure Identification and Systems Consulting.



TSYS announced a five-year agreement with Amicus FSB, a subsidiary of Canadian
Imperial Bank of Commerce (CIBC) and a part of the Amicus division of CIBC, to
process a new Visa consumer credit card it will issue. This agreement
broadens a relationship TSYS and CIBC have shared since 1994 when TSYS began
processing CIBC’s commercial credit cards. Furthermore, the agreement
supports TSYS’ three-year strategic plan to extend its core processing

Amicus partners with leading brand retailers to provide electronic
financial services, including Marketplace Bank, Safeway SELECT Bank and Yahoo!
PayDirect in the U.S. and President’s Choice Financial in Canada. Amicus has
547,000 e-banking customers and is acquiring approximately 30,000 more each

Under the agreement, TSYS will provide a complete range of services to
include processing on its TS2 platform; various elements of customer contact;
and remittance processing through Synovus Financial Corp.(R)
“TSYS offers the full range of services needed to help us aggressively
enter new markets,” said Amicus spokesperson, Robert Almeida. “The retail
market requires a tremendous amount of flexibility for changes and promotions
to be offered on demand. TS2 allows us the freedom to adapt our products to
this market. The partnership with TSYS will allow us to deliver the value and
convenience of one-stop shopping to our customers that has become so important
in their busy lives.”

“TSYS has a strong track record of helping financial institutions and
retailers prosper. The expertise we bring to Amicus will enable them to
pursue new retail relationships and launch new credit card programs quickly,”
said TSYS President, Philip W. Tomlinson.

About Amicus FSB

Amicus FSB is a wholly owned subsidiary of CIBC and is part of the Amicus
division of CIBC. Amicus FSB is headquartered in Cicero, Ill., with branch
offices in Fairfield, Calif., and Maitland, Fla. CIBC is a leading North
American financial institution offering more than eight million personal
banking and business customers a full range of products and services through
its comprehensive electronic banking network, branches and offices across
Canada, in the United States and around the world. CIBC is a leader in
electronic banking, with more than three million e-banking customers accessing
telephone and Internet banking, and brings extensive e-banking experience and
capability to the U.S. market.

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 nearly 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 anytime, 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.



MasterCard’s ‘Remote Payment and Presentment Service’ has added an enhancement that enables its payments system to carry information linking electronic payments to electronically-presented ‘Open Financial Exchange’ bills. The new capability allows a biller service provider to match a payment received from a customer service provider via the ‘RPPS’ system to a previously presented ‘OFX’ bill. The new feature includes complete settlement. Linkage is enabled whether or not the bill was originally presented via the RPPS presentment switch.



The European Region of Visa International
(Visa EU) reported another year of exceptional results, with
double-digit growth across all key performance measures. During 2000, total
cardholder spending increased by 20 per cent to nearly Euro 600 billion
(377 billion* pounds sterling), while card numbers were up by 14 per cent to
over 177 million. The number of transactions on Visa cards totalled
8.6 billion – some 275 transactions per second.

All Visa products showed strong growth. Cardholder expenditure at Point of
Sale grew by 23 per cent, year on year, significantly better than the

Visa Debit cards are used for an average of 65 transactions in a year,
with 43 of these at Point of Sale — 150 per cent more than the nearest
competitor product. Expenditure on Visa Debit totalled Euro 232 billion
(146 billion* pounds) with year on year growth of 23 per cent.
“Visa EU is growing faster than the competition in terms of cardholder
expenditure at Point of Sale,” said Hans van der Velde, President of Visa EU.
“Nearly three quarters of Visa transactions are at the Point of Sale and, in
this all important measure, no other bank card payment system comes close.
This is a significant vote of confidence in Visa products and the Visa brand
— importantly, made by the consumers themselves.”

Card issuance showed healthy increases in individual markets and several
milestones were passed UK (12 per cent increase in card numbers, over
61 million cards in circulation); Spain (13 per cent, 26 million); France (14
per cent, 19.4 million); Italy (17 per cent, 11.4 million); Germany (19.5 per
cent, 8.1 million); Sweden (12 per cent, 4 million); and Norway (15 percent,
2.7 million). The average increase in Point of Sale spend for these seven
markets topped 22 per cent.

Visa Commercial products — which provide travel and entertainment, and
procurement solutions for European companies — also showed sharp increases.
Total transactions were up 38 per cent, with associated Point of Sale volumes
increasing by more than 47 percent.

Technology development during 2000 focused on increasing security of
payments. Mr. van der Velde said, “We recognise there is increasing concern
about fraud. Chip is the solution to much of it. Visa EU is leading the
industry in the migration to a chip-enabled environment through our incentive
package, totalling Euro 168 million. We are serious about eliminating fraud
and this investment demonstrates our commitment.”

And referring to security of e-commerce transactions, where over 50 per
cent of all internet transactions are made using a Visa card, Mr. van der
Velde added, “I am delighted that consumers’ preference for Visa extends to
the internet. In the ‘virtual’ world it’s essential that consumers feel as
confident as in the ‘physical’ world when making a purchase. We are making
real progress with our Secure E-Commerce initiatives (based on 3D SET).
Internet merchants and shoppers must be able to count on the Visa brand.”
“We are going from strength to strength in Europe,” Mr. van der Velde
continued. “We remain the most efficient operator in Europe, providing real
value for money for our European Members, whilst positioning Visa as a leader
in virtual payments.”

About Visa International

Visa is one of the world’s leading payment brands and one of the largest
payments system worldwide. Visa-branded cards generate more than US$1.8
trillion in annual volume and are accepted at over 21 million locations around
the world. The Visa organization plays a pivotal role in advancing new
payment products and technologies to benefit its 21,000 member financial
institutions and their cardholders. Visa is a leader in Internet based
payments and is pioneering the creation of u-commerce, or universal commerce –
the ability to conduct commerce anytime, anywhere, over any type of device.
Visa’s Internet Address is .