InternetCash Website

InternetCash Corporation announced the launch of its new web site ([][1]). The new site allows the consumer to easily search for one of the over 6000 physical locations where InternetCash pre-paid cards are sold. The site also provides consumers the ability to purchase an InternetCash Private Pay virtual card to allow anonymous shopping on-line. The InternetCash prepaid product is the leading alternative to credit cards for shopping on the Internet and is available in denominations of $5-$100. InternetCash can be used to purchase products and services from over 220 of the Internet’s leading e-tailers including,,,,,,, and many more.

“We are very excited about the introduction of our InternetCash Private Pay solution for shopping on-line. Our customers can now shop on-line without providing their credit card information to Internet merchants. Unlike other private payment solutions, the InternetCash consumer can use our solution from any PC without the need to download cumbersome software,” said Todd Kahn, President & COO of InternetCash Corporation. “We have also created an easy to use search feature on our home page that will quickly provide the name and location of an InternetCash retailer by city and/ or state. We are committed to improving the on-line shopping experience by enhancing the safety, security and convenience for the consumer.”

InternetCash Corporation is an Internet payment technology company for the 21st century. InternetCash is first to market with a secure system that enables consumers to shop online privately and conveniently, while providing e-merchants added security and non-repudiation through the use of digital signatures. With a single integration, an e-tailer is now able to offer multiple secure payment alternatives to consumers. Headquartered in New York City, the privately owned company’s investors include Silicon Valley venture capital firm El Dorado Ventures, as well as private investors D. James Bidzos, co-founder and chairman of VeriSign, and Daniel Lynch, co-founder and Chairman of CyberCash. Professor Ronald Rivest, Ph.D., who is a co-founder of RSA Data Security, chairs InternetCash’s board of advisors.



Cash Advance Technology

Las Vegas-based Shift4 Corp and Borrego Springs Bank, an Indian-owned, nationally chartered, commercial bank based in San Diego have teamed up to market Shift4’s credit card cash-advance technology, called ‘CashHere’, under the trade name ‘Touch ‘N’ Go Cash’. The partnership is a first for the ‘CashHere’ product line and grants Borrego Springs Bank exclusive rights to sell the solution to Native American gaming establishments in the states of Arizona, California and New Mexico. Equipped with intuitive touch-screen displays and advanced electronic signature capture technology, ‘CashHere’ enables management to use a guest’s digitized signature for immediate identity verification, as well as for future charge-back defense.


Troy Merchant Services

TROY Group, Inc. announced that its TROY Financial Services subsidiary has introduced a full array of merchant bankcard services specifically designed to enable fast, secure e-commerce payments by credit card.

The product line extension, offered through a new sales alliance with HMSBLUE.COM, is designed to complement TROY Financial Services’ eCheck Secure(TM) ([][1]) and ACH (Automated Clearinghouse) capabilities in providing online merchants with high levels of payment security, flexible processing options and powerful risk management tools.

Online merchants report that 20% of online consumers prefer to pay by check, while 80% prefer using credit cards. The addition of Web-based merchant bankcard services provides TROY with a 100% solution for online merchants, allowing them to offer consumers the option to make e-commerce payments either by instant online check or by credit card.

Patrick J. Dirk, Chairman and CEO of TROY Group stated, “We are pleased with this expansion of our electronic payment solutions product portfolio. It demonstrates our commitment to providing a full set of secure payment options to online and physical merchants. Our eCheck Secure and ACH services already offer some of the strongest security, verification and back-office support processes available for online check acceptance. Now, with the enabling of credit card payments, our services will be even more attractive to Web-based companies. We will continue to advance our own products through in-house product development, coupled with appropriate alliances with other leaders, to assure that our clients have access to the tools and services they need to succeed on the Web.”

“This sales alliance between TROY and HMSBLUE.COM enhances the respective core products of both companies,” said Masih Madani, CEO of HMSBLUE.COM. “This relationship will provide TROY customers with the most comprehensive Web-based merchant card services available.”


HMSBLUE.COM is a technology-driven, business-to-business focused provider of comprehensive merchant authorization, settlement and accounting systems. Based in Los Angeles, HMSBLUE.COM offers state-of-the-art merchant bankcard services specifically tailored to help online merchants manage and grow their businesses. HMSBLUE.COM has strategic alliances with established industry leaders, eCash Technologies, Inc., Equifax (NYSE:EFX), Vital Processing Services, a joint venture of Visa U.S.A. and Total System Services, Inc. (NYSE:TSS), HNC Software Inc. (Nasdaq:HNCS), Oracle Corporation (Nasdaq:ORCL), Imperial Bank (NYSE:IMP). Visit its Web site at [][2].

About TROY Group

TROY Group ([][3]) is leveraging its successful core businesses in financial payment and connectivity technology to pioneer solutions in the rapidly growing fields of electronic payments and wireless printing. TROY (Nasdaq:TROY) has established a number of strategic relationships with companies such as Hewlett-Packard (NYSE:HWP), IBM (NYSE:IBM), Standard Register (NYSE:SR) and Equifax (NYSE:EFX) and distributes its solutions in 55 countries. The U.S. Treasury has printed all its checks using TROY payment systems since 1984.



USWD 4Q/00

U.S. Wireless Data, Inc., the leader in wireless payment transaction services, released operating results for the first half of fiscal 2001, ended December 31, 2000.

Quarter Summary

USWD recorded a 3-fold increase in revenue to $333,000, compared with $124,000 in the prior year’s quarter. The results include recurring services revenue of $320,000 and product revenue of $13,000. For the same period last year, recurring services revenue and product revenue accounted for $46,000 and for $78,000, respectively. The company reported a net loss of ($0.36) per share compared with a ($0.39) per share net loss in the same period last year. On a pro forma basis, before amortizations and other non-cash charges, the net loss per share was ($0.28) compared with ($0.35) per share in the same period last year.

Six-month Summary

For the first half, the company reported revenue of $484,000, versus $261,000 in the prior year. Recurring revenues climbed to $460,000 compared to $61,000 for the same period in fiscal year 2000, over a 7-fold increase. The company reported a net loss, of ($0.71) per share compared with an ($0.87) per share net loss in the same period last year. On a pro forma basis, before amortizations and other non-cash charges, the net loss per share was ($0.59) compared with a ($0.79) per share net loss in the same period last year.

The company has made significant progress on its key business objectives. These objectives are intended to establish the company’s Synapse(sm) service as the standard for wireless and other IP-based transaction processing services. Operating highlights include:

— Signed sales channel agreements exceed 115 as of Feb.15

— Wireless point-of-sale terminals using Synapse service exceed 5,000 as of Feb. 1

— CellGate Technologies acquisition completed

— NXT Corporation acquisition completed

— Key additions to the senior management team

— Improved Synapse platform infrastructure

— Continued penetration of new vertical markets

“The last six months have been a period of substantial achievement for us,” said Chairman and CEO Dean M. Leavitt. “We have exceeded expectations on nearly every front. We now have sales channel agreements with almost every significant company in the transaction processing industry. We have also completed acquisitions that expand our business strategy to encompass the full range of IP-based (Internet Protocol) transactions. IP-based transactions are emerging as the standard for the modern, broadband communications network. High-speed services such as our Synapse system use IP switching to relay data over the wireless network. We are now expanding these capabilities across all broadband media, including DSL, satellite, and other types of `always-on’ packet switching networks. We believe this capability offers exciting new possibilities to extend the use of credit card and other data transactions into a wide range of new applications.

“Clearly, the pace of adding new units is expected to accelerate as the year progresses. The first stage of our growth plan has been to deploy our Synapse platform and to add sales channels. This stage is nearly complete. The next step is utilization of our services by merchants. This is where we are now turning our attention. We are working closely with our sales channel partners to build usage among the merchants and other end users.”

USWD’s sales channels include the major credit card processing companies through which almost all card transactions are authorized and settled. They, in turn, incorporate USWD’s Synapse-based solutions into the services used by merchants. Through these arrangements, USWD now serves approximately 50,000 merchants, including 45,000 from the acquisition of NXT. The company expects Synapse-based services to be the primary source of future growth.

Discussing financial results, CFO Rick DeVincenzo said, “USWD has almost $30 million in available cash, therefore we are well positioned from a financial standpoint to capitalize on these opportunities within the fixed and mobile wireless technologies. We will continue to focus our internal investments on the key strategic objectives of integrating and extending the Synapse platform, while closely monitoring these resources and controlling our costs during this execution phase of our strategy.”

About U.S. Wireless Data, Inc.

U.S. Wireless Data, Inc. ([][1]), founded in 1991, markets proprietary technology that brings together three large, rapidly growing industries-transaction processing, wireless data transport and the Internet-to enable wireless payment processing. The company’s Synapse(sm) platform provides a gateway among all of the parties within a wireless point-of-sale (POS) transaction. This enables businesses that require mobility (i.e., not tethered to a telephone line), or fixed-location businesses that seek faster transaction speed, and/or lower cost transactions–to accept wireless point-of-sale payments. By providing a seamless interface among merchants’ POS terminals, wireless carriers and card processors, credit, debit and other payment transactions can be processed as fast as cash, without the cost and inconvenience of a telephone line. In addition, Synapse Internet-based tools offer on-line, real-time transaction monitoring, remote diagnostics and automated terminal activation. The company is headquartered in New York City.

U.S. Wireless Data Inc.
Statements of Operations

For the Three Months For the Six Months
Ended Dec. 31, Ended Dec. 31,
2000 1999 2000 1999

Revenue $ 333,000 $ 124,000 $ 484,000 $ 261,000
Net loss (3,547,000) (1,914,000) (6,475,000)
Preferred stock
dividend – (135,000) – (985,000)
Net loss available
to common
stockholders (3,547,000) (2,049,000) (6,475,000) (4,331,000)
Basic and diluted
net loss per share
Net loss available to
common stockholders (0.36) (0.39) (0.71) (0.87)
Weighted average common
shares outstanding
basic and diluted 9,129,000 5,207,000 9,910,000 4,965,000

U.s. Wireless Data, Inc.
Consolidated Balance Sheet

Condensed Information

Dec. 31, 2000 June 30, 2000

Cash and cash equivalents $ 29,714,000 $ 39,231,000
Total current assets 32,715,000 39,631,000
Total assets 62,465,891 78,898,707
Total current liabilities 5,863,000 1,512,000
Total liabilities 6,225,000 1,564,000
Contingent consideration
for acquisition 3,055,000 –
Total stockholders’ equity 43,941,000 39,692,000
Total liabilities and
stockholders’ equity 53,221,000 41,256,000
Working Capital $ 26,852,000 $ 38,119,000



NextCard Index

NextCard reported yesterday that its latest ‘eCommerce Index’, based on 770,000 cardholders, showed that consumers shifted the types of Web sites at which they transacted online commerce during January. The hottest e-commerce sites AOL Long Distance, Phone free, BigZoo, and The top five e-commerce sites for credit cardholders for January included:,,, and


Smart Keyboards

PubliCARD’s Infineer subsidiary has launched a new chip that integrates a keyboard controller, a USB hub, and a fully certified smart card interface. The new ‘TSB2750’ chip also offers a swift route to ‘EMV Level 1’ compliance for any device into which it is integrated. This certification will allow a keyboard or other device to be used as a smart card reader for financial transactions. Infineer said yesterday that Dallant Bank, in partnership BTC Korea Co and KDE, is developing a USB keyboard implementing the ‘TSB2750’ solution. The contract involves a rollout of 540,000 units. Infineer’s smart card interface products include ASICs and microcontroller-based solutions which are compliant with PKI technology and TecSec CKM technology, as well as the smart card interoperability standards developed by Europay, MasterCard and VISA.


Providian Board

Providian Financial Corporation announced that Leonard D. Schaeffer, the respected chairman and CEO of WellPoint Health Networks Inc., has joined the Providian Financial Board of Directors. The appointment was confirmed last evening at Providian’s board meeting in San Francisco.

“We are extremely proud to have Mr. Schaeffer join our Board,” said Shailesh Mehta, Providian’s chairman and CEO. “He’s one of the country’s most admired CEOs and will bring a strategic business acumen to our Board that will be of great value to our shareholders, customers and employees.”

Mr. Schaeffer was recently selected by BusinessWeek magazine as one of the “Top 25 Managers of the Year,” and by WORTH magazine as one of the “50 Best CEOs in America” for his leadership of WellPoint, one of the nation’s largest publicly traded health care companies. WellPoint operates in California as Blue Cross of California and as UNICARE Life & Health Insurance Company throughout the rest of the nation.

Before joining WellPoint, Mr. Schaeffer was president of Group Health, Inc., one of the largest health maintenance organizations in the Midwest. He also worked in the banking industry for both Citibank and the Student Loan Marketing Association, and has been a high ranking government official, serving as former administrator of the U.S. Department of Health and Human Services’ Health Care Financing Administration as well as director of the Bureau of the Budget for the State of Illinois.

Mr. Schaeffer is a graduate of Princeton University and also serves on the boards of numerous business, philanthropic and professional associations.

San Francisco-based Providian Financial ([][1]) is a leading provider of lending and deposit products to customers throughout the U.S. and the UK and offers credit cards in Argentina. In 2000, Providian Financial was named one of America’s Most Admired Companies by Fortune magazine, one of the nation’s top financial institutions by U.S. Banker magazine, and one of the most technologically innovative companies by InformationWeek magazine. Providian has adapted its proven customer-focused business model for the Internet, and today offers retail deposit products at the corporate Web site, a financial services marketplace at [][2], and credit cards at [][3]. The Company has more than $31 billion in assets under management and over 16 million customers.



Online Wars

NextCard and Providian continue to dominate the online credit card marketing channel. In the January Internet ratings compiled by Nielsen//NetRatings, NextCard ranked #8, GetSmart #14, and Providian ranked #20 among the top advertisers reaching the at-home Internet audience. GetSmart is an online loan search service and a division of Providian. Reportedly Providian will migrate its online ‘Aria’ card brand to the ‘GetSmart’ brand over the next few months. Among at-work Internet surfers, NextCard ranked #11 with 275 million ad impressions reaching 44.5% of the total audience. GetSmart and Providian ranked #15 and #19 respectively, reaching more than three quarters of the at-work audience by delivering about 345 million ad impressions. GetSmart ads also ranked among the most viewed banner ads for both the at-home and at-work audience. Nielsen/NetRatings reports there were 106 million active Internet surfers in January from a current Internet universe estimated at 168 million.


RPM Tax Refunds

Cendant’s Jackson Hewitt tax preparation service has deployed InnoVentry’s ‘RPM’ in select locations to deliver instant cash for tax refund proceeds during the 2001 tax season. The ‘RPM’ machines are touch-screen activated and include a multimedia second screen that can deliver customized promotional messages in English and Spanish. The machines are targeted at the 40 million Americans who do not regularly use traditional bank accounts. To-date the InnoVentry cash management machines have served more than 1 million customers, cashing more than $1 billion worth of checks. Jackson Hewitt has installed the ‘RPMs’ at locations in Texas, Florida, North Carolina, Louisiana, Virginia and Nevada.


iE Execs

iE, a provider of integrated e-business applications to the financial services industry, has made three senior appointments that further strengthen its hand in the rapidly growing card solutions sector.

Caroline Vander Galien joins the company as VP Sales and Marketing for the US operation, bringing 13 years’ experience in e-commerce and transaction processing – most recently at Cybercash Inc, where she was VP sales. She will be responsible for the continuing success of the iE NetFinance application suite and iE ScreenSurfer web-to-host gateway in the North American market.

Also new to the US operation is Michael Danziger, Product Director, who comes to iE with 15 years’ e-business and credit-card industry experience behind him. His role is to refine iE’s market strategy and product direction for iE NetFinance in the US. Before joining iE, Michael was Vice President of Strategic Alliances for Computer Associates International and prior to this was Vice President of Electronic Commerce for MasterCard International. Michael managed MasterCard’s Digital Certificate program and was a member of the MasterCard team which earned the 1999 ComputerWorld Smithsonian Award for their work in Global Secure Electronic Commerce. Michael was also Director of Business Development for the MasterCard Automated Point-of-Sale Program (MAPP).

In Europe, Helen Clulow has joined iE from NatWest where she gained several years’ experience of e-business and corporate and commercial banking, and rose to become head of product strategy and marketing for commercial cards. Helen joins iE as E-Business Manager for Europe with responsibility for refining product strategy for iE NetFinance in the European cards and banking services marketplaces. She joins iE’s E-Business Group headed by Jerry Mulle, who also joined iE last year from NatWest to lead this group of finance industry specialists responsible for identifying and defining the e-business solutions which iE takes to banks, insurers and investment fund organisations.

Roger Willcocks, chief executive, iE, said: “It is fast becoming a cliche to say that knowledge of the business is at least as important as expertise in the technology. With these latest appointments, iE now has tremendous depth of knowledge of the cards sector in the US and Europe to complement their market-leading and award-winning iE NetFinance e-business solution. I’m delighted to welcome Caroline, Michael and Helen to the team.”



Comerica Bank launched a new prepaid MasterCard product that aims to replace traditional paper checks issued for employee compensation or reimbursements. The ‘Comerica CompCard’ is a prepaid account which can be funded in real time via the ACH. The card is accepted at all MasterCard merchant locations including ATMs that accept MasterCard. Comerica says the new prepaid card can be utilized by businesses for their regular payment needs such as reimbursements, benefits, for incentive or bonus payments, advances to accommodate business travel or vacation needs, for project/grant funding as well as another option for payroll. The Detroit-based bank also noted the ‘Comerica CompCard’ can be developed to serve multiple other purposes, including employee identification and security access.


The RAM Report

The second issue of The RAM Report, a new weekly international payment card news service, will be released later today from London. Today’s issue will cover payment card developments in South Africa, Sweden, New Zealand, Japan, France, Germany, Korea, China, and the UK. The new service from RAM Research Group Ltd is being distributed on a free limited trial basis to CardFlash’s 20,000+ users worldwide for the next few weeks. Full details for each news items summarized in The RAM Report are available via