Balt Tech CFO

Baltimore Technologies, a global leader in e-security solutions, announced the appointment of Paul Sanders as Chief Financial Officer of the global operation, to be effective from November.

“I am delighted to welcome Paul to the position of Chief Financial Officer at Baltimore Technologies. Paul brings extensive experience in Corporate Finance and Governance. His excellent track record in strategic investments and acquisitions which includes the US market will ensure Baltimore continues to deliver on its aggressive growth targets,” commented Fran Rooney, Chief Executive Officer at Baltimore Technologies.

Until November, Paul Sanders, aged 36, holds the position of Group Finance Director at SSL International plc, a major global healthcare organisation formed from the merger of Seton Scholl Healthcare plc. and London International Group plc. He joined Seton Healthcare Group as Group Finance Director in 1997. During his time at Seton Healthcare, Sanders has been responsible for all aspects of financial reporting and control and has been involved in strategic acquisitions and developing new business opportunities.

Sanders was extensively involved in the merger of Seton Healthcare Group plc with Scholl plc in 1998 which resulted in the Group doubling in market capitalisation and turnover, moving a predominantly UK based group to a truly global group. In 1999, Sanders was centrally involved in the merger of Seton Scholl Healthcare plc and London International Group plc. The group again doubled market capitalisation to (pound)1.4bn and turnover to approximately (pound)700m per annum.

Sanders executive experience also includes Arthur Andersen where he worked with major clients including SSL International, Airtours plc, Sharp Electronics and United Utilities plc. Sanders is a qualified Chartered Accountant and holds a BSc First Class in Mathematics from Liverpool University and a Doctorate of Mathematics from Oxford University.

About Baltimore Technologies

Baltimore Technologies develops, markets and manages security products and services to enable companies to develop trusted, secure systems for e-business, the Internet and mobile commerce. Its products include a wide range of Public Key Infrastructure (PKI) products and services, wireless e-security solutions, cryptographic tool-kits, security applications and hardware cryptographic devices. Baltimore’s global team of professionals offers a wide variety of consulting, training and deployment support to its customers worldwide. Baltimore Technologies markets and sells its solutions directly and through the TrustedWorld(TM) Channel program. TrustedWorld includes many of the world’s leading technology companies and a wide variety of global, regional and local business alliance partners.

Baltimore Technologies employs over 800 people worldwide and operates from over 28 cities with headquarters in Dublin, Ireland; London, UK; Boston, USA and Sydney, Australia. Baltimore Technologies plc is a public company with dual listings on NASDAQ (BALT) and the London Stock Exchange (BLM).

For further information and press releases on Baltimore Technologies, please visit [][1]



Sub-Prime Segment

The sub-prime and secured card segment of the card industry remains the most vibrant business sector. According to the latest stats prepared by London-based RAM Research Group for Bankcard Update, the sub-prime/secured segment is growing 30% annually in card loans compared to an industry average of 10%. SD-based First Premier Bank remains the top dog with 2Q/00 card loans of $238 million, a 138% surge over 2Q/99. OR-based First Consumers National Bank is now growing at an annual rate of 68%. However the king of growth in the sub-prime/secured card segment is Providian. The San Francisco-based issuer has exploded from $14.4 billion in card loans one year ago to $21.5 billion, to become the nation’s fifth largest issuer of VISA and MasterCards. Adding American Express and Discover, Providian still ranks seventh among the U.S. top bank credit card issuers.

Providian $21.5b vs. $14.4b +49% $2337 $1293
Capital One $16.0b vs. $14.1b +13% $1230 $1223
Direct Merchants $7.8b vs. $6.5b +20% $2000 $ 923
First Consumers $811m vs $482m +68% $1235 $1341
First Premier $283m vs $199m +138% $ 306 $ 204
Averages +30% $1422 $1004

CHNG-Change ADB- average daily balance per active account; VOL- average
year-to-date volume per active account.
Source: RAM Research Group’s Bankcard Update (44-171-917-6778)


Coinstar Board

Coinstar Inc. announced several executive promotions, including the naming of Diane Renihan as chief financial officer and Rich Stillman as chief operating officer.

Ms. Renihan, who joined the company in December 1999, was promoted from controller and chief accounting officer. She brings more than 13 years of accounting and financial management experience to Coinstar. Prior to joining Coinstar, she served as chief financial officer of Seattle Lighting Fixture Company, now a $50 million lighting company with operations in the Pacific Northwest. As chief financial officer, Renihan was responsible for overseeing the finance, accounting, treasury, legal, risk management, human resources and information technology departments. Renihan’s background also includes finance and accounting positions at Amylin Pharmaceuticals and The Price Company, prior to its merger with Costco. Renihan is a certified public accountant.

“We have spent the past several months searching for the right CFO. Our national search included the screening of more than 200 applicants. In the end, we realized we had already found the ideal candidate in Diane,” said Dan Gerrity, president and CEO of Coinstar. “She has the perfect blend of leadership and management experience, as well as a solid financial background.”

Coinstar’s newly appointed chief operating officer, Rich Stillman, was promoted from vice president of marketing, a position he has held since August 1999.

“Rich’s achievements as head of marketing and acting general manager demonstrate his ability to effectively lead and manage Coinstar,” said Gerrity. “He clearly understands all the aspects of Coinstar’s operation and has proven he can deliver results.”

Before joining Coinstar, Stillman served as head of marketing at, a business-to-business e-commerce company. He also co-founded Originet Inc., a provider of digital multimedia interactive systems. Stillman also served in an executive capacity at national advertising agencies, Cole & Weber and The Lord Group, where he helped clients build national and international brands.

The company also announced the promotion of Carol Lewis from vice president to chief administrative officer; Michael Parks, Michael Doran, and Bill Booth from vice president to senior vice president; and John Reilly from director to vice president of coin services.

“These promotions highlight the depth and talent of our executive team. Each of these individuals has contributed to the growth and success of Coinstar. Together, our team is well positioned to take Coinstar to the next level by building retailer relationships, increasing our base of loyal users, and expanding our menu of services,” continued Gerrity.

Coinstar Inc. also announced the appointment of David M. Eskenazy to its board of directors.

Eskenazy is vice president of Seattle-based R.C. Hedreen Company, an independent lodging company that owns and operates premier properties such as the Renaissance Madison Hotel, Seattle Hilton, and The Elliott Hotel.

Eskenazy also sits on the board of directors of Telco Online, a telco circuit procurement company. Eskenazy, in combination with affiliated entities, holds nearly 10 percent of Coinstar common stock.

“Dave is a valuable addition to our board of directors,” said Dan Gerrity, CEO of Coinstar. “His significant business background, investment experience, and knowledge of Coinstar will help us move toward profitability, as we leverage Coinstar’s unique assets.”

Eskenazy fills a seat previously held by Larry Hodges who resigned from Coinstar’s board for personal reasons.

In addition to Eskenazy, the other directors on Coinstar’s board are Robert O. Aders, president emeritus of the Food Marketing Institute; Dan Gerrity, president and CEO of Coinstar; William Ruckelshaus, chairman of the board of Browning-Ferris Industries Inc., and former administrator of the U.S. Environmental Protection Agency (EPA); David E. Stitt, managing partner of Banyan Private Equity Management; and Ronald Weinstein, a former director of QFC Supermarkets. Jens Molbak, founder of Coinstar and CEO of is chairman of the board.

About Coinstar Inc.

Recently ranked the country’s eighteenth fastest growing technology company, Coinstar Inc. (Nasdaq:CSTR) and its subsidiaries, and Coinstar International, use technology to deliver time and money saving services to consumers in their local supermarkets. Coinstar’s 8,000 strong network of machines is currently available to 125 million consumers in 43 states and the District of Columbia, as well as in Canada and the United Kingdom. Consumers can visit [][1] or call 800/928-CASH to find the nearest Coinstar(R) machine.



Visa U.S.A. and Inc. officially launched yesterday. As part of the alliance offers online opportunities for small businesses utilizing Onvia’s comprehensive exchange platform of more than 37,000 business products and services in more than 100 categories. The site also boasts online auctions and other buy/sell opportunities for the small business market. VISA will also offer special programs for VISA Business cardholders. (See CF 8/3/00)


Providian Hires Jones

Providian Financial Corporation announced that banking veteran James G. Jones has joined the Company to lead its International division. Jones leaves his role as president of Direct Banking and Insurance for Bank of America to join Providian, the country’s fifth largest bankcard issuer in the United States, at its San Francisco headquarters.

“Jim brings a wealth of banking and credit card experience to Providian,” said Shailesh J. Mehta, chairman and CEO of Providian. “At a time when international expansion presents such outstanding opportunities for the Company, I couldn’t be happier to have Jim join Providian to lead our global initiatives.”

In his most recent role at Bank of America, Jones was responsible for telephone banking, interactive banking, military banking, student lending, associate banking and insurance. He previously served Bank of America as group executive vice president and head of consumer credit.

Prior to joining Bank of America, Jones was executive vice president and head of consumer credit at Wells Fargo Bank, a company he served for 14 years. He began his banking career in 1974 with a variety of assignments at Citicorp in marketing, consumer lending and branch banking.

Jones is a director of Merchant eSolutions and previously a director of Visa USA, BA Merchant Services and Signio. He also has served on the advisory boards of MasterCard, Fannie Mae, Xpede, the Credit Research Council at Purdue University, and as a member of the Housing Roundtable and the International Cards Council.

“I am very excited to be joining a management team at Providian that clearly believes that success is achieved by developing a business model focused on the consumer experience,” said Jones. “When you have an excellent product and the dedication to make the customer satisfied, you have a formula that will work both in the United States and internationally.”

San Francisco-based Providian Financial ([][1]) is a leading provider of lending and deposit products to customers throughout the United States and offers credit cards in the United Kingdom and Argentina. Providian Financial was recently named one of America’s Most Admired Companies by Fortune magazine, and the nation’s top financial institution by US Banker magazine. With a commitment to 100% customer satisfaction, Providian helps customers build, protect and responsibly use credit. The Company has more than $27 billion in assets under management and over 14 million customers.



FDC Board

First Data Corp. announced that Arthur F. Weinbach, 57, has been named to its board of directors. Weinbach is chairman and chief executive officer of Automatic Data Processing Inc..

Weinbach has been chairman and chief executive officer of ADP since 1998. He had been elected president and chief operating officer in 1996. He joined ADP in 1980 as a corporate vice president after having been a partner with Deloitte & Touche. He became chief financial officer in 1982 and joined the board in 1989. In 1992 he became executive vice president and in 1994 was named president and chief operating officer.

“Not only has Art demonstrated outstanding financial and operating leadership during his tenure at ADP, he has successfully introduced a world class service initiative and continues to boost ADP’s range of Web-based services. Art’s broad knowledge and experience will be a great asset to First Data,” said Ric Duques, chairman and chief executive officer of First Data Corp.

Weinbach holds a master’s degree in accounting from the Wharton Graduate School and a bachelor’s degree in economics from the Wharton School at the University of Pennsylvania. In addition to serving on the board of directors of ADP, he is a director of HealthPlan Services and Schering-Plough Corp. Weinbach is active in a number of professional and community organizations and serves on the board of directors of Boys Hope, New Jersey Seeds and the United Way of Tri-State, among others.

Atlanta-based First Data Corp. helps move the world’s money. As the leader in electronic commerce and payment services, First Data serves more than two million merchant locations, 1,400 card issuers and millions of consumers, making it easier, faster and more secure for people and businesses to buy goods and services using virtually any form of payment. With more than 30,000 employees worldwide, the company provides credit, debit and stored- value card issuing and merchant transaction processing services; Internet commerce solutions; money transfers and money orders; and check processing and verification services throughout the United States, United Kingdom, Australia, Mexico, Spain and Germany. In addition, its Western Union(R) network includes approximately 90,000 agent locations with operations in 182 countries and territories. For more information, please visit the company’s Web site at [][1].



Brodia Hires Guthrie

Brodia, a market leader in Web-enabled payment cards for financial institutions, announced the additions of a former Visa executive and a 30-year financial management veteran to its executive team. Paul Guthrie, until recently Visa’s vice president of technology research, and Richard Gelhaus, former chief financial officer of Re: Solutions Group Inc., now serve as Brodia’s vice president of global systems and chief financial officer, respectively.

These appointments expand Brodia’s existing leadership team and support continued growth as the company works with a growing list of leading financial institutions to deliver the online form of the payment card, enabling simplified purchasing, payment and personal commerce on any Internet-connected device. The company announced recently an alliance with MasterCard International and the rollout of MasterCard’s e-wallet service, provided by Brodia and supported with a national advertising campaign. The company’s existing partnerships with five of the largest U.S. financial institutions, along with this alliance, establish Brodia as a clear leader in this emerging category.

“We have tapped two seasoned leaders in technology development and technology finance, whose combined talents significantly enhance our ability to meet the growing ecommerce infrastructure needs of our partners,” said Brodia Chief Executive Officer Ron Martinez.

During his tenure as Visa’s vice president of technology research, Mr. Guthrie developed strategies to utilize emerging technologies within the company’s payment systems. In addition, he briefed the executive management team and member banks about technology-related issues affecting emerging technologies, including smart cards, payments, key public infrastructures, electronic cash, and checks.

In his new role, Mr. Guthrie spearheads one of Brodia’s key initiatives — the global development of wireless and payment services. “Paul’s ability to implement cutting-edge technology will drive our effort to provide our partners with a comprehensive ecommerce platform for any Internet-connected device,” said Brodia President Marc Metcalf. Mr. Metcalf, a veteran of GE Capital, McKinsey & Company, and The Chase Manhattan Bank, is also a recent addition to the Brodia management team, having joined the company earlier this year.

As chief financial officer, Mr. Gelhaus will guide Brodia’s financial strategies and financial management as the company moves from the development stage to consolidating market share, building revenue and establishing profitability. “Dick’s track record for providing financial leadership helps to ensure that our efforts remain focused,” said Metcalf. “He completely understands our market, our business plan, and our growth potential.”

Mr. Gelhaus has dedicated the past nine years of his career to the financial leadership of innovative technology companies, successfully completing public and private financing initiatives for Re: Solutions Group, Centura Software, Spectrum Holobyte, and Sierra Online. At Spectrum Holobyte and Sierra Online, Dick was responsible for numerous acquisitions and new ventures, including Sierra’s startup of the first multiplayer online gaming operation.

About Brodia

Brodia ([][1]) provides financial institutions with the platform and core applications for the online form of the payment card, enabling simplified purchasing, payment, and personal commerce on any Internet-connected device. These applications include password management, product research, price comparison, and merchant evaluation, as well as automatic form-filling, enhanced payment security, transaction record-keeping, privacy protection, and rewards programs. Based in San Francisco, the company is funded by Draper Fisher Jurvetson and Capital Z.



Web ATMs

Bank of America confirmed this morning it is moving forward with plans to deploy Web-enabled ATMs. The new technology will enable customers to view copies of cancelled checks, buy or trade stocks, or receive messages from the bank at the ATM. BofA says it will install 22 of the special ATMs by year end. The first group of the Web-enabled ATMs will be placed in 12 locations in Charlotte, NC and 10 locations in Atlanta. Following the pilot, the bank expects a wider rollout of Web-enabled ATMs in 2001. The Web-enabled ATMs are part of the bank’s recently announced banking center strategy, which will involve a major overhaul of the company’s 4,500 banking centers. The new Web ATMs can be reprogrammed from a centralized delivery point as functions are added or deleted, cutting down the time and effort needed to change ATM screens nationwide. Web technology also enables BofA to offer full-motion color video with sound during transaction sequences, high-quality color photos and touch-screen capabilities.


Cardservice Climbs SalesMountain

SalesMountain and Cardservice International Inc. announced this week a joint sales and marketing program that will provide Cardservice International’s 185,000 existing merchants — as well as the 10,000 who join each month — access to the SalesMountain networks.

SalesMountain’s sales-posting services will be offered to merchants that seek unique and cost-effective advertising for their sales and specials. SalesMountain disseminates sales and specials information through a growing number of Web sites and wireless hand-held devices, including personal digital assistants, cell phones and alphanumeric pagers.

Cardservice merchants will be contacted primarily by Cardservice International’s 250 agent offices and 2,500 sales representatives. In addition, merchants will be notified of the SalesMountain services through promotional mailings and telesales channels that will answer merchants’ questions and enable them to sign up for the service. Via extensive wireless and wireline networks, SalesMountain provides more than 3.9 million unique visitors monthly (Source: PC Data, July 2000) with retailers’ individual product sales, discounts, coupons, rebates, free offers and other value-added advertising opportunities more effectively than any other advertising medium and for a fraction of the cost.

Commenting on the sales efforts and rollout, John Burtzloff, Cardservice International’s senior vice president of sales stated, “SalesMountain’s leadership in wireless and wireline advertising distribution provides a unique and cost-effective way for advertisers to communicate with consumers on a national, local and mobile basis.”

“We are very pleased that Cardservice International merchants will have the opportunity to advertise their Sales and specials to millions of SalesMountain shoppers,” added Lee Weinberg, SalesMountain’s managing director of business development and sales.

“Getting Cardservice International’s sales force and other resources mobilized behind SalesMountain’s Sales and specials advertising services will help us get our message to advertisers in a big way,” Weinberg concluded.

SalesMountain can help all advertisers, including national, regional and local brick-and-mortar retail stores and service providers in shoppers’ local neighborhoods and online stores. A recent study showed that 78% of those who visit a business’s location after seeing an ad on SalesMountain actually bought the product they had searched for; in addition, 87% of shoppers actually purchased regularly priced items instead of and in addition to the sale item. These results substantiate the marketing ability of SalesMountain’s wireless and wireline advertising distribution networks.

About SalesMountain

SalesMountain is the world’s leading wireless and wireline distributor of sales advertising and promotional content. Via the world’s most visited sales-site and its wireless and wireline networks, SalesMountain delivers in the U.S. alone over 60,000 active sales from more than 16,500 offline and online retailers and service providers in more than 800 departments covering over 16,000 brands available in more than 200,000 store locations. The company is privately held and has headquarters in Los Angeles, and has offices in the U.K. and Germany in addition to its North American operations. For more information, visit SalesMountain’s Web site at [ .htm][1] or contact SalesMountain by email at

About Cardservice International

Cardservice International Inc., is a global leader in providing real-time secure credit card transactions to merchants. Cardservice offers merchants a cost-effective service tailored to their businesses, enabling them to provide credit card processing over the Internet as well as to the traditional marketplace. More than 185,000 merchants have contracted with Cardservice International. Of those, 55,000 are actively using Cardservice as their Internet solution. For more information about Cardservice International, go to .



Smart Strategy

VISA said yesterday it expects to extend the ‘smart VISA’ brand to its debit and business card products. VISA also indicated that the Internet authentication offered by the new smart card, coupled with other to-be-announced initiatives, may lead to lower merchant chargeback and acceptance costs. While VISA does not require issuers to offer any additional applications other than chip payment on ‘smart VISA’, the most likely applications will be access and loyalty functions. VISA will launch its ‘smart VISA’ advertising campaign during the Olympics. In a related announcement, VISA announced it will be setting ten new security rules for transactions done over the Internet. The new requirements include keeping security systems up to date, encrypting stored data accessible from the Internet, encrypting data sent across networks, and using and regularly updating anti-virus software. The rules will not go into effect immediately but will be phased in over the course of a year, starting in the fourth quarter.


CardBASE Software Center

CardBASE Technologies is set to invest over £2 million to establish a software development centre in Belfast employing up to 100 highly skilled software engineers over the next twelve months.

The establishment of the CardBASE Belfast Office is being driven by the rapid growth of the smart card industry, and the demand for secure e-commerce payment systems for the Internet and mobile commerce markets. CardBASE are seeking software engineers with experience in C++, Java, Oracle, PKI, Corba and TCP/IP. This development centre will offer ambitious individuals the opportunity to work in a high-tech environment developing leading edge, secure, smart card based products.

Conor White, Development Manager at CardBASE Technologies said, “CardBASE offers experienced, forward thinking developers the opportunity to join a fast paced company using state of the art technology to develop next generation e-business payment solutions. Northern Ireland has a highly skilled workforce and this move into Belfast demonstrates the company’s commitment to working with the best people in order to retain our market position”.


Trintech Acquisition

Trintech Group signed a definitive agreement to purchase the assets of Sursoft, a privately held Latin American card management software company, for US$10.7 million. Sursoft specializes in payment card management software for credit, debit or smart cards and has over 10 years of secure payment software experience. Sursoft’s expertise in payment card management products allows them to develop customized solutions for international brands such as VISA, with a focus on the Latin American market; Technicard, a leading financial processor of MasterCard member banks and Group Credit Agricole Uruguay. They also implement private cards or loyalty systems for companies such as Libertad Argentina. The consideration will be effected through the issuance of ordinary shares with a value of US$3.5 million, US$5.0 million in cash and a five-year performance earn-out of at least US$2.2 million. Trintech intends to merge the assets from the purchase with its newly formed subsidiary, Trintech S.A. The deal is expected to close within 60days.