New Elva Chip

Elva Inc. announced the new chip AT88SC 1608 designed by Elva for Atmel is being used in a revolutionary secure identity card application that merges secure smart card technology with fingerprint verification, card printing biometrics identification, and digital imaging. The encryption/decryption technology developed for Atmel by Elva combined with Polaroid’s’ PFS-100 fingerprint imaging developed by Atmel and Polaroid — compares the cardholders’ actual fingerprint against the fingerprint stored in the smart card or ID card verifying the holders’ identity.

Polaroid ID cards are actually integrated circuits called smart card ICs, acknowledged to be a large part of the most secure designs available in today’s market with the ability to guarantee that sensitive personal information will never leave the card undetected or without authorization. This is only one example of common success that binds Elva to the company’s partnership with Atmel, a worldwide advanced logic mixed signal, nonvolatile memory and RF Semiconductor company.

The new smart card IC provides 17,408 bits of serial EEPROM memory organized into nine zones, eight user zones, and one configuration zone. The device is optimized as a secure memory system for the smart card market. The designed chip includes 64-bit authentication, 8 sets of passwords and both authentication and password attempts counters.

Elva, Inc. creates secure transaction systems for the internet trade sector and exchange transactions between individuals and business structures. Smart card technology, telecommunications, security/cryptology and software engineering are Elva’s areas of expertise.

Please Visit Elva’s Website at: [][1]

Joyce Research Group (“JRG”) prepared this material, for the company discussed herein, based upon information supplied by the client or other sources believed to be reliable. The company’s actual results could differ materially from those described in the forward-looking statement discussed in this press release. This material is for information purposes and should not be construed as an offer or solicitation of an offer to buy or sell the securities. JRG, its affiliates, and/or its officers, directors and employees may from time to time have a position in these securities. JRG has received $15,000 compensation for public relation services.



Greenland 3Q/99

Greenland Corporation announced financial results for the third quarter ending 9/30/99.

Dr. Lou Montulli, CEO of Greenland Corporation, announced that third quarter financial results reflected revenues of $222,758, consisting of revenues from the sale of SmartCash ATM’s and transaction fees from the operation of the machines.

Dr. Montulli stated, “Although the Company showed a loss for the third quarter, of $1,121,482, the fact that the Company generated revenues of $222,758 indicates that the Company is making significant progress in its overall operations and sales of its SmartCash ATM machines. The Company presently has seven machines operating in various locations in California, Nevada and Georgia and expects to ship additional machines shortly.”

“The loss from operations of $1,121,482 was mainly related to budgeted production costs, including engineering and consultant fees, primarily compensated in stock, the building of inventory to meet 1999 sales orders, and ongoing costs in preparing the Greenland facility to house the increased engineering, sales and marketing staff.”

“The Company has recently attended three trades shows, the Convenience Store Trade Show in Chicago, Illinois, World Gaming Show at Las Vegas and National Check Cashing Show in Las Vegas, Nevada. The response was excellent. Collectively, these shows had over 250,000 customers in attendance, giving Greenland and its SmartCash ATM wide exposure to potential customers and the marketplace.”

Greenland has continued to strengthen its leadership by appointing Check Cannon as Vice President of Engineering and Rick Moscatello as Vice President of Operations and Purchasing.

Greenland Corporation is a manufacturing corporation with existing product and product under development. The Company is currently introducing an automated payroll check-cashing machine with full ATM functionality, and money order dispensing services. Future services to be included with the machine are phone cards and advance payday loan services.


One Card

MasterCard and Deloitte & Touche released a study Thursday which shows corporations that consolidate their various corporate card programs into an umbrella “One Card” program save time and money and generally improve the quality of management information and business process control. The study found that using a “One Card” enables centralization of processing and program management. Ninety-two percent of study participants with a “One Card” program administer their programs centrally. Eighty-two percent of study participants report detection of non-compliance to policy is easier within a “One Card” program.


Instant Credit

Instant approval and instant credit is paying off for Internet pioneer NextCard. The San Francisco-based VISA card issuer reported yesterday that revenues for the third quarter were $8.0 million, a 120% increase over revenues of $3.6 million for the second quarter, and over thirty times the revenues of $255,000 for the same period in 1998. Third quarter revenues were also significantly higher than the average analyst expectations. NextCard, which offers a pure Internet-based bank credit card, now has total managed loans of $268 million and approximately 134,000 accounts. Last year the firm has $35.3 million in receivables and 85,000 accounts. During the third quarter NextCard launched its instant credit capability. Using proprietary fraud scoring and risk models developed over the past two years, the company is now able to provide many customers with the instant ability to make purchases by providing them with an active account number at the time the customer is approved. Driving traffic to NextCard’s web site is more than 20,000 affiliates, a 67% increase from the second quarter. For more information on NextCard’s financial’s visit CardData ([][1]).



Concord EFS 3Q/99

Concord EFS, Inc. reported yesterday record financial results for the third quarter of 1999. Third quarter revenue increased 29% to $216.1 million when compared to the same period of the prior year. Net income for the third quarter was $35.6 million or $0.17 diluted earnings per share, increases of 50% and 42%, respectively, over same period of the prior year.

Historical results include the results of Electronic Payment Services, Inc. which was acquired by Concord EFS, Inc. on February 26, 1999 and accounted for as a pooling of interests. Additionally, during the third quarter of 1999 the Board of Directors approved a three for two stock split which was distributed on September 22, 1999. Earnings per share and related per share data have been restated to reflect the stock split.

For the nine months ended September 30, 1999, revenue increased 27% to $580.1 million. Excluding acquisition and restructuring charges incurred in the first quarter of 1999, nine month net income was $88.9 million or $0.44 diluted earnings per share, up 42% and 38%, respectively, when compared to the same period of the prior year. The charges, which were incurred in association with the merger of Concord EFS, Inc. and Electronic Payment Services, Inc., totaled $26.9 million, net of taxes, or $0.13 diluted earnings per share. Including the charges, net income was $62.0 million or $0.30 diluted earnings per share for the nine months ended September 30, 1999.

Concord is a vertically integrated electronic transaction processor, providing transaction authorization, data capture, settlement and funds transfer services to selected markets. Concord’s primary activities include providing credit, debit, check authorization and electronic benefits transfer (EBT) processing services to supermarket, petroleum, convenience store and other retailers; and providing gateway processing, ATM driving and MAC(R) network access to the financial services industry. Concord also provides electronic payment and payroll services to trucking companies, truck stops and other niches of the market.

For more information on Concord EFS 3Q/99 visit CardData ([][1]).



Wachovia 5 Min Loans

Wachovia’s Internet web site at [][1] now offers one of the most extensive online resources for consumers seeking answers to their credit needs.

Four new online application processes were added to the site this month. Consumers can apply online in approximately five minutes for a home equity line of credit, personal line of credit, home equity loan or personal installment loan.

After submitting an application, the consumer receives a username and password for privacy protection and is sent an e-mail verification that the application has been received. Normally within one business day, a second e- mail is received that directs the consumer back to the site. By visiting the Web address provided and entering the username and password, the applicant then can learn whether the loan has been approved and receive additional information.

“Delivering Wachovia’s credit services online provides a quick and efficient channel for customers,” said Thomas W. Trotter, head of Wachovia’s Consumer Credit Services. “The web site brings the bank to customers in a convenient way, 24 hours a day, seven days a week, from any physical location with a computer connected to the Internet.”

The web site also provides a six-question worksheet to help consumers determine the right credit product for their borrowing needs and preferences. Additional information is provided on each type of credit product, including a product summary and the most common uses. Additional calculators are provided to help answer related credit questions.

The four new online applications join application forms and information previously available on the web site for mortgage loans, auto loans and credit cards.

“We believe the web site is one of the most extensive resources for assisting consumers with financial needs that is available today among banking sites, including the new Internet banks that provide services exclusively online,” said Lawrence G. Baxter, head of Wachovia’s Digital Financial Services.

Wachovia Corporation is a leading bank holding company with Wachovia Bank, N.A. its principal subsidiary. At Sept. 30, 1999, Wachovia had assets of $65.8 billion. Wachovia Bank, N.A. has more than 700 offices and 1,300 ATMs in Florida, Georgia, North Carolina, South Carolina and Virginia.



Credit Drives Profits

Credit card revenues continue to drive profits at Sears even as retail sales and gross margin continue to soften. Sears, Roebuck and Co. reported Thursday third-quarter total operating income of $429 million, a decline of more than 10% from 3Q/98. However operating income from Sears’ credit card business rose 5.7% to $316 million. International operating income rose about 56%, but all other categories declined significantly. Retail operating income declined more than 51%, services operating income declined nearly 19% and operating income from corporate activities declined more than 30%, compared to 3Q/98. Even though credit operating income increased, Sears average managed credit card receivables have declined significantly over the past twelve months, from $27.6 billion to $26.0 billion. But credit quality continues to improve as chargeoffs declined to 6.39% for 3Q/99 compared to 7.20% for 3Q/98. However delinquency (30+day) inched up from 7.29% for 3Q/98 to 7.57% for 3Q/99. Sears net interest margin also declined from 14.17% for 3Q/98 to 13.52% for 3Q/99. For complete details on Sears’ 3Q/99 visit CardData ([][1]).



Metris & Priceline

Metris Companies Inc. said today that it has signed a marketing agreement with Under the agreement Metris will offer its DirectAlert credit monitoring service to customers in return for helping them save money on leisure airline tickets and hotel rooms purchased through the popular name-your-own-price Internet service.

DirectAlert enables consumers to monitor changes in their credit bureau report through the automatic delivery of quarterly activity reports. DirectAlert is one of several consumer products and services marketed by Metris Direct Services Inc., a Metris subsidiary.

Under the agreement, Metris is joining’s “sponsor dollars” adaptive marketing program designed to help customers get leisure airline tickets and hotel rooms at their price through Each time a customer applies for a DirectAlert membership, up to $20 in sponsor dollars is added to the customer’s ticket or hotel room price request. Adding sponsor dollars increases the total amount of a price request at no cost to the customer, increasing the likelihood that a major airline or hotel will accept the customer’s price.

“Our agreement with is an exciting opportunity for Metris,” said Metris President and CEO Ronald Zebeck. “We believe the Internet is an excellent delivery medium for our fee-based products and services. Our DirectAlert service is ideal for security-minded consumers who want to keep close watch on their credit records.”

Metris Companies is an information-based direct marketer of consumer credit products and fee-based services, primarily to moderate-income consumers. Metris Direct has sold its products and services to more than 4 million consumers holding credit cards, including credit cards issued by five of the top 10 card issuers.

Based in St. Louis Park, Minn., Metris also has operations in Phoenix, Ariz.; Jacksonville, Fla.; Champaign, Ill.; Baltimore, Md.; and Tulsa, Okla. Metris employs more than 3,000 people.

Visit Metris on the Internet at [][1] and [][2].



Explosive Western Union

First Data Corp. said yesterday that explosive growth in its international Western Union business contributed significantly to the company’s overall 3Q/99 earnings. FDC’s international money transfer revenues soared by more than 50%. The global network of Western Union agent locations grew to approximately 78,000, up 48% over the prior year, and now serves 176 countries. Most significantly, for the first time in the company’s history, the number of international agent locations (39,800) now exceeds the number of North American agent locations (38,100). Card Issuer Services worldwide revenues increased 11% in the quarter to $360 million. Total card accounts on file, including credit, debit, and retail cards, were up 24% over the prior year to more than 260 million. Merchant Processing Services continued to perform well with revenues up 12% in the quarter to $388 million and operating profits up 37%. Total merchant card dollar volume for the quarter grew 36%, including the results of Paymentech, First Data’s share of which was acquired July 27th and combined with the Bank One Alliance, creating one of the nation’s largest merchant processors. Excluding Paymentech, merchant dollar volume processed was up 19%. For more details on FDC’s current and past earnings please visit CardData ([][1]).



Irrational Pricing

While CT-based People’s Bank posted a significant 3Q/99 increase in the bottom-line profitability of their credit card business, the bank says “irrational pricing by some competitors” continues to challenge their ability to grow the portfolio at double-digit rates. Indeed many top issuers are widely offering 0% intro rates and 9.99% go-to rates for the current pre-holiday season. People’s average managed credit card portfolio increased $410 million or 12% compared to the third quarter of 1998 and was essentially unchanged from the second quarter of 1999. Managed credit card yield increased 11 basis points compared to 3Q98 and 17 basis points compared to 2Q99. Managed credit card fees increased $5.0 million, or 18%. Credit card net charge-offs (as a percentage of average managed receivables) equaled 4.12%, increasing 17 basis points compared to 3Q98 and 12 basis points compared to 2Q99. Delinquencies as a percentage of quarter-end managed receivables (2.88%) declined 15 basis points from 3Q98 and increased 30 basis points from 2Q99. FDC is holding a news conference this morning to review 3Q/99 results. For current and historical data on People’s Bank visit CardData ([][1]).



ID Fraud Settlements

The Federal Trade Commission reported yesterday that sixteen defendants targeted in a law enforcement crackdown on illegal credit repair services have agreed to settle federal charges that the file segregation advice and products violated federal law. The defendants used the Internet and other media to claim they could help consumers obtain new credit histories by obtaining new identification numbers through a practice known as file segregation. The firms sold instructions about how consumers could substitute federally-issued, nine-digit employee identification numbers or taxpayer identification numbers for social security numbers and use them illegally to build new credit profiles that would allow them to get credit they may be denied based on their real credit histories.