Cendant Names Chief Marketing Officer

Cendant Corporation announced yesterday the appointment of John H. Fullmer as Executive Vice President and Chief Marketing Officer.  The newly formed Cendant Corporation is the result of the merger between HFS Incorporated and CUC International Inc. announced on December 18, 1997.  Mr. Fullmer joined CUC International in 1980 and most recently served as its Chief Marketing Officer.

As Executive Vice President and Chief Marketing Officer, Mr. Fullmer will be responsible for assessing new marketing opportunities and channels of distribution as well as overseeing the marketing activities of all of Cendant’s companies and divisions.

Cendant is the world’s premier consumer and business services company with a focus on real estate, travel and membership services and a market capitalization of approximately $32 billion.  The company reported 1997 revenues of $5.3 billion and net income of $872 million, excluding one-time charges related to the merger between HFS Incorporated and CUC International Inc. and other unusual charges.  With more than 37,000 employees operating in over 100 countries, Cendant is headquartered in Stamford, CT and Parsippany, NJ.

Henry R. Silverman, President and Chief Executive Officer of Cendant, said, “John Fullmer is the ideal person to help us maximize the growth potential residing in Cendant’s numerous global brands, 100 million annual consumer contacts and more than 66.5 million memberships.  We are committed to the successful creation and implementation of our business development activities across Cendant business units.  We are very pleased to have such an experienced executive leading these efforts, as well as our marketing activities, as we continue to establish Cendant as one of the world’s leading growth companies.”

Mr. Fullmer began his 18-year career with CUC International following 12 years at R.L. Polk, a Detroit-based direct response firm.  While at CUC, Mr. Fullmer helped establish most of the membership services and market breakthroughs developed by the company.  Among his accomplishments are

— Creating the first affinity bank card with BankOne in 1981, that helped to expand the bank’s portfolio from a regional credit card issuer to the position it holds today as a major national issuer;

— Helping create and launch Travelers Advantage(R) in 1986, a program that today boasts over 4.5 million members worldwide, thereby positioning Cendant as the largest membership travel organization in the United States;

— Creating and launching Privacy Guard(R), the nation’s largest provider of credit information, motor vehicle reports and Social Security benefits; and,

— Most recently, he has collaborated with his counterparts and colleagues at HFS and CUC to conceive and launch TransferPlus, in which customers calling HFS companies were offered value-added services from CUC, resulting in over one million new memberships sold in the first 12 months.

Cendant Corporation is a global provider of consumer and business services.  The Company operates in three principal segments Membership, Travel and Real Estate.  In Membership Services, Cendant provides access to travel, shopping, auto, dining and other services through more than 66.5 million memberships worldwide.  In Travel Services, the Company is the leading franchiser of hotels and rental car agencies worldwide, the premier provider of vacation exchange services and the second largest fleet management company.  In Real Estate Services, Cendant is the world’s premier franchiser of residential real estate brokerage offices, a major provider of mortgage services to consumers and a global leader in corporate employee relocation.


MCI E-Invoicing

MCI is breaking new ground again with its latest online customer service innovation, Electronic Invoicing. Electronic Invoicing allows customers to pay their phone bill automatically online, simply by using their credit card.

“No other telecommunications company — long-distance or local — offers this Electronic Invoicing service,” said David Slovin, director of new media communications at MCI. “MCI’s reputation of quality customer service is unmatched once again.”

In addition to the convenience of paying bills without the aggravation of checks and stamps, MCI online customer service allows customers to get complete control over their accounts. Complete and secure information is available 24 hours a day, seven days a week. Customers can review their bill, get credit for wrong numbers, apply for calling cards, and more, all from the comfort of their own computer.  MCI customers can also interact with customer service representatives online, handling all questions a customer may have right on the Web.

Along with comprehensive Online Customer Service — the MCI Web site allows customers to access other features such as sending numeric and text message pages over the Web. Yet another way MCI is utilizing cutting-edge technology to bring customers the most advanced, affordable and time saving products available today.


Most online customer services provided by other telecommunications companies provides little more than a list of FAQs (Frequently Asked Questions) to their customers looking for online assistance. Often, at the bottom of many of these lists, there is little more than a phone number or a mailing address for more information.

With comprehensive billing and account information, as well as the Electronic Invoicing, MCI Online Customer Service has gone above and beyond what any competitors have done on the Web.

“We are providing our customers with what they are looking for — convenience,” said Slovin.

In fact, a study conducted by Forrester Research that asked consumers what they liked best about doing business on the Web showed that the number one answer was “convenience.”


By providing this cutting-edge technology to its customers, MCI also finds itself at the head of a business trend.  The American Management Association predicts that by 1999, the number of U.S. firms relying on the Internet will increase by more than 500 percent.

And according to Vint Cerf, co-founder of the Internet and an MCI senior vice president, the Internet will forever change the relationship between companies and their consumers. “As the Internet takes on a serious infrastructure role, it will become more and more essential that its users be able to rely on it in the normal course of daily life, in the same way they have come to rely on the telephone, electric power and the road system.”

MCI Online Customer Service and Electronic Invoicing can be found on MCI’s Web site at [http//www.mci.com][1].

MCI, headquartered in Washington, D.C., offers the industry’s most comprehensive portfolio of communication services.  With 1996 revenues of $18.5 billion, MCI ranks as one of the world’s largest telecommunications companies.  MCI is also the world’s second largest carrier of international traffic and operates one of the world’s most advanced Internet networks. Since its founding in 1968, MCI has been a leader in bringing the benefits of long distance competition to businesses and consumers and is now leading the charge to open U.S. local calling markets to competition.  On November 10, 1997, MCI announced a definitive merger agreement with WorldCom, Inc. to form a new company called MCI WorldCom. For more information on MCI, visit the company’s Web site at .

[1]: http://www.mci.com


New Card Management Tool

The wide use of credit cards as the preferred method of payment for many consumers is putting increasing pressure on credit card issuers to better understand their cardholders’ buying patterns and level of profitability.

The ability to provide a joint solution to address these needs is the driving force behind the partnership between MicroStrategy, the largest relational on-line analytical processing (ROLAP) vendor, and HNC Software, a world leader in the development and delivery of predictive software solutions in client/server environments.

The two companies are teaming to leverage MicroStrategy’s decision support technology as part of ProfitMax(r), an HNC solution that allows credit card issuers to manage the profitability of card portfolios with intelligent scoring and strategy deployment.

ProfitMax uses neural networks and HNC’s cardholder behavior profiling technology to analyze each cardholder account and predict its future profit. Three neural network-based models-Credit Risk, Revenue, and Attrition Risk-are used along with historical data to give a well-rounded picture of the expected profitability of each account in an issuer’s portfolio. Incorporating MicroStrategy’s technology into ProfitMax will allow HNC to provide its customers with a complete data warehousing solution containing valuable transaction-level information. MicroStrategy’s product suite will enable ProfitMax users to interactively analyze cardholder activity, thereby increasing card portfolio profitability.

By documenting and validating their scoring activity, card issuers can better understand their profitable customer base, design improved promotions, and identify market trends.

According to Patricia Brown, Vice President of Product Development at HNC, credit card issuers typically have warehouses of summary data, which do not include the rich, detailed information contained in the transaction data that ProfitMax automatically warehouses. “That is why we chose to team with MicroStrategy. When integrated into ProfitMax, MicroStrategy’s ROLAP products give credit card issuers the flexibility to report on any aspect of their customer base, enabling card issuers to better understand the drivers of their business and the direction of the market.”

“We are very excited about our partnership with HNC Software and the impact we will have on the financial industry,” said Sanju K. Bansal, Chief Operating Officer at MicroStrategy. “Our product suite is uniquely suited for performing sophisticated analysis against the full depth and breadth of the data warehouse. By combining our OLAP technology with HNC’s transaction-based neural network and predictive modeling capabilities, we are arming credit card issuers with information to better understand their customers’ current behavior and anticipate future trends. Such knowledge is critical for companies to effectively serve their customers and remain profitable in such a competitive industry.”

About MicroStrategy, Inc.

MicroStrategy is the leading provider of industrial-strength decision support products for developing and accessing data warehouses. As the Relational OLAP (ROLAP) industry pioneer, MicroStrategy has delivered a series of technology breakthroughs including high-performance, multidimensional OLAP analysis directly from relational databases; VLDB drivers for terabyte-range scalability; a multipass SQL generation engine; fully functional OLAP and decision support over the World Wide Web; and the first management and monitoring tool for administering VLDB and web-based DSS applications.

MicroStrategy’s worldwide customer base includes hundreds of Fortune 1000 companies such as Wal-Mart, Kmart, MCI, CVS, Glaxo Wellcome, Sprint, AT&T, American Express, USAA, Victoria’s Secret, United Airlines, and Hallmark. In addition, MicroStrategy has developed strategic partnerships with value-added resellers and leading software and hardware companies. More information about MicroStrategy can be found on the World Wide Web at or by calling 1-800-927-1868.

About HNC

Headquartered in San Diego, California, HNC Software Inc. (NASDAQ HNCS) is a world leader in the development and delivery of predictive software solutions in client/server environments. HNC provides innovative predictive software systems in the financial services, retail, insurance information, and electronic commerce markets. For more information, contact Patsy Campbell, Director of Marketing, HNC Software Inc., 5930 Cornerstone Court West, San Diego, CA 92121, (619) 546-8877, . For investor relations hotline, call (800) 396-8052.

MicroStrategy is a registered trademark of MicroStrategy Incorporated. ProfitMax is a registered trademark of HNC Software Inc. Other product and company names mentioned herein may be the trademarks of their respective owners and should be treated as such.


Belco Patent

Belco System Technologies filed for patents in Canada, Mexico and Europe yesterday for its ‘Personal Reader Contact Technology’. Belco currently holds a U.S. patent on the ‘PRCT’ product which is a remote card reader that connects directly to a consumer’s telephone, utilizing the same voice line to transmit data to the merchant simultaneously with voice interaction. Belco says its technology will eliminate the fraud problem of stolen credit card numbers overheard verbally.


Associates Buys Beneficial Canada

Beneficial Corporation announced Tuesday afternoon a definitive agreement to sell its Canadian subsidiary, Beneficial Canada Holdings Inc., to Associates First Capital Corporation. The sale is subject to corporate and regulatory approvals. Terms of the agreement were not disclosed, although Beneficial expects to record a net aftertax gain of more than $100 million in the first quarter.

Beneficial Canada has 105 offices and C$1.1 billion in net receivables.

In October, Beneficial Corporation announced that, as a result of a recent strategic review, it would sell its Canadian and German consumer finance subsidiaries and focus on its core U.S. consumer financial services businesses, including consumer finance, related credit insurance, private-label credit card, and its highly profitable United Kingdom and Irish operations. The company also plans to sell certain real estate holdings in New Jersey and Florida. A contract for sale of 580 acres of land in Peapack Gladstone and Bedminister, N.J., was announced on Jan. 30.

Proceeds from the sale will be reinvested in the core business, which is currently in the midst of a major reengineering project designed to improve loan growth, increase efficiency and significantly improve profitability. The proceeds will also effectively finance the company’s current 3 million-share equity repurchase program.

Beneficial Corporation is a $17 billion, New York Stock Exchange-listed financial services holding company. Subsidiaries of the Company provide financial services through their various consumer finance, credit- card, banking and insurance operations located throughout the United States, the United Kingdom, Ireland, and Germany.


Associates First Capital Corporation announced that it has signed a definitive agreement to purchase Beneficial Canada Holdings Incorporated, the Canadian consumer finance subsidiary of Beneficial Corporation.  The acquisition is subject to regulatory and corporate approvals.  Terms were not disclosed.

Beneficial Canada has 105 offices and C$1.1 billion in net receivables. The acquisition will significantly expand The Associates consumer finance network across Canada, according to Keith W. Hughes, the company’s chairman and chief executive officer.

“Beneficial has a branch distribution network that serves consumers in all 10 provinces.  Its diverse portfolio and emphasis on quality customer service fit well with our existing consumer and commercial finance operations in Canada,” Mr. Hughes said.  “Beneficial has experienced management and an excellent employee base that we are pleased to welcome to our organization.”

The Beneficial portfolio includes mortgage loans, personal loans, private label credit card and sales finance receivables.

The Associates has had lending operations in Canada for more than 20 years.  It currently provides consumer and commercial financing in Canada, including the financing and leasing of trucks, heavy equipment and telecommunications equipment.  In 1997, The Associates acquired Superior Acceptance Corporation, which added 91 offices to the consumer branch network.

With the acquisition of Beneficial Canada, The Associates will have 635,000 customers and total net receivables of C$2.8 billion in Canada.  It will be the largest foreign-owned diversified finance company in Canada.

Associates First Capital Corporation is the largest publicly traded finance company in the United States, providing consumer and commercial finance, leasing and related services through 2,265 offices in the U.S. and internationally.  Based in Dallas, it is a majority-owned subsidiary of Ford Motor Company.


New Prepaid Terminal

Atlanta-based LDC Direct announced it has begun shipments of the new ‘LDC 384’ POS terminal – a system for delivering prepaid telecommunications services at the retail level. Using the ‘LDC 384’, retailers can simultaneously offer long distance cards, prepaid cellular and PCS service, prepaid paging and more from a single device with unprecedented levels of security. The LDC system consists of a credit-card style terminal with an integrated printer that is capable of printing a prepaid card in multiple languages and activating the card’s PIN number within 3 seconds at the time of sale. Because the cards have no value until they are activated, they are able to be displayed in high traffic impulse areas such as countertops and aisle displays without any fear of theft.  This same level of security enables the retailer to have an unlimited inventory of PIN numbers yet only pay for what they sell. The LDC Direct system can process cards for a variety of prepaid services and because it doesn’t require a phone call to activate the card, the transaction takes only a few seconds saving time at the checkout stand.  New services such as transit tickets, prepaid gasoline and overnight package delivery are easily added and prices can be changed almost instantly to adapt to specific market conditions.


Prepaid Debit Network

Siemens Telecom Network is launching a new prepaid debit card service platform for telephone service providers. Unlike current add-on solutions, the Siemens prepaid debit card service is a network-wide solution, hosted on a single integrated platform that is industry standard AIN 0.1/0.2-based and can be connected to any switch with AIN capability, and can accommodate massive debit card volumes. Siemens’ ‘Prepaid Debit Card’ service will be available in March.


Free Personal Websites for I-Banking

Marshall & Ilsley Corporation announced the launch of its new Internet Banking service and free personal web site promotion. M&I Internet Banking gives customers access to their account information on the Internet using a secure connection from the M&I Bank home page.

M&I Internet Banking allows customers to perform a variety of transactions including reviewing account balances, transferring funds between accounts and paying bills from the comfort of their home or office.  M&I Internet Banking offers instant free access to account information 24 hours a day.  When customers use the convenient automatic bill pay feature, they are charged only .35 per bill, just over the price of a postage stamp.

M&I Internet Banking users will connect to the Internet through their Internet Service Provider (ISP).  They will then need a four-digit user name and a password to access their account information.  Additional security is provided by the user’s browser (such as Netscape Navigator or Microsoft Explorer) and a state-of-the-art virtual vault system supplied by M&I Data Services.

Free Personal Web Sites on MiWeb!

To promote the release of this new product, M&I is offering a free personal web site for anyone regardless of whether they are a current M&I customer.  MiWeb is the first Internet community sponsored by a bank.

When current customers or non customers access MiWeb, on the Internet, they can set up their own personal home page and use it for 60 days. After this free trial period, people who sign up for either M&I’s free Internet Banking or PC Banking services will continue to enjoy the use of their free personal web site.

Signing up for a free, do-it-yourself web page is a simple web connection away!  MiWeb gives Internet users the opportunity to set up their own personal web site quickly and easily.  MiWeb users have complete control over how their web site looks.  By using the edit feature, users will personalize their site to fit their needs.  MiWeb contains a 12-image photo bank or users can download photos from their computer or the Internet.  From their personal web site they can receive e-mails or post personal news and other information they want to communicate to their family and friends.  They can also feature photos of their children, pets or family events to keep loved ones up to date and post important events such as birthdays and anniversaries on their web calendar.  Additionally, they can take the opportunity to have a “chat” with other members of the MiWeb Community through the chat room feature.  This capability to communicate on a real-time basis is of tremendous value to families and friends who are scattered throughout the world.

Features also include ease of use, ISP independence, and one megabyte of storage.  MiWeb home pages are licensed for private use and entertainment. All MiWeb web sites are periodically scanned for inappropriate material.

Both M&I Internet Banking and MiWeb are designed to be very user-friendly products, with on-line help and easy-to-follow instructions.  Additional technical support is also available by e-mailing M&I Bank or by calling M&I Direct, M&I’s 24-hour call service center at 888-464-5463 (press 9, then press 5).

PC Banking Charges Eliminated

In addition to the roll out of Internet Banking, M&I is no longer charging monthly access fees for its recently upgraded personal PC Banking product. Customers will only be charged .35 per bill when using the bill-paying feature.  PC Banking offers the same features as Internet Banking through software installed on the user’s personal computer.

For more information on these products, access , , or call 888-464-5463.

Marshall & Ilsley Corporation, headquartered in Milwaukee, Wis., has $19.5 billion in assets.  The Corporation has 26 affiliate banks in Wisconsin with more than 225 offices, and a bank in Phoenix, Arizona with 12 offices. Marshall & Ilsley Corporation stock is traded on Nasdaq under the symbol “MRIS.”



Computer Sciences Corporation rolled out its new integrated ‘Card and Merchant System’ or  ‘CAMS II’ yesterday.  The first release of the software has been delivered to three major financial institutions.  ‘CAMS II’ allows account holders to access a single cardholder account using multiple types of cards.  Customers can have international network branded credit and debit cards as well as cards that access regional ATM/POS networks managed from the same account. The system is a 24 x 7 real time DB2 application with a processing design that allows high-volume transaction throughput. The CSC system supports an unlimited range of pricing and fee options, with automatic management of rate reductions and adjustments.  Multiple balances, and promotional and transaction level pricing are supported.  The system also supports multiple loyalty and customer reward programs. CAMS II is also a multinational, multicurrency system that provides separate language options for financial services organizations and their customers. International compliance with the VISA, MasterCard and Europay network regulation is guaranteed.


VISA & VF Sponsor Biz Conf

Ariba Technologies Inc., announced the second Operating Resource Management Supplier Summit, to be held on March 24, 1998 in Santa Clara California.  The invitation-only event, co-sponsored by Federal Express Corp., VeriFone, and Visa, promises suppliers a lively and interactive venue to discuss requirements with the technology and logistics companies that link them to users of operating resources.

“We have found that suppliers as well as buyers benefit when buying organizations adopt systems for managing operating resources,” said Keith Krach, President and CEO at Ariba.  “Operating Resource Management Systems increase a supplier’s revenue by enabling buyers to concentrate purchasing, while simultaneously lowering overall transaction costs.”

The sponsors of the ORM Supplier Summit, Ariba, Federal Express (NYSE FDX), VeriFone (NYSE VFI), and Visa each support a different part of the operating resource supply chain

— Ariba’s ORMS enables buying organizations to manage the acquisition of        operating resources and concentrate purchases with approved suppliers,

— FedEx offers business solutions that combine the power of the leading        global transportation network with world-wide information systems,        express logistics capabilities and Internet commerce,

— VeriFone, an industry leader in payment system solutions, provides        merchants with the technology to facilitate SET based Internet payment        transactions, which offer the highest available level of security and        reliability,

— Visa, through its Purchasing Card, enables buyers and sellers to        conclude financial transactions with unprecedented efficiency.

Together, these vendors can connect buyers and sellers of operating resources in an efficient and completely closed-loop system.

“The electronic commerce solutions offered by FedEx are focused on helping customers find optimum methods for managing inventory and distribution,” said Rohan Champion, Vice-President, Strategy & Alliances, Federal Express.  “Ariba Supplier Summits are an excellent venue for suppliers to examine leading-edge technologies that can link them to users of operating resources management systems.”

“VeriFone’s participation in Ariba’s supplier summit is an opportunity to educate key suppliers on emerging business-to-business Internet payment solutions,” said George Hoyem, VeriFone V.P. and General Manager of the Internet Commerce Division.  “As one of the key components of Internet payment, VeriFone’s SET based vPOS merchant software allows businesses to conduct Internet transactions securely and reliably.”

“With the resources of the Visa Purchasing Card and Ariba’s software solutions, buyers and sellers can reliably and securely connect and conduct business online,” said Ryan Ross, vice president of commercial commerce for Visa U.S.A.  “These summits will help suppliers discover new ways to maximize the value they receive from operating resource management solutions.”

The ORM Supplier Summit is held three times a year.  The purpose of the meeting is to exchange information on requirements and the state of the industry.  Although the event is an invitation-only meeting, companies and parties that have a vested interest in the topic should contact Ariba via e-mail at summit_info@ariba.com.

Federal Express Corp.

Federal Express connects areas that generate 90% of the world’s gross domestic product in 24-48 hours with door-to-door, customs-cleared service and a money-back guarantee.  The company’s unmatched air route authorities and infrastructure make it the world’s largest express transportation company, providing fast, reliable, and time-definite transportation of 3 million items to 211 countries each working day.

FedEx employs approximately 140,000 people and has more than 43,000 drop-off locations, 600 aircraft and 39,500 vehicles in its integrated global network.  The company maintains electronic connections with more than 850,000 customers via FedEx Powership(R), FedEx Ship(R) and FedEx interNetShip(SM).  Federal Express reported revenues of $11.5 billion for its fiscal year ended May 31, 1997.  The FedEx Internet address is .


VeriFone, Inc., a wholly owned subsidiary of Hewlett-Packard Company (NYSE HWP), is the leading global provider of secure electronic payment solutions for financial institutions, merchants and consumers.  VeriFone has shipped more than six million electronic payment systems, which are used in over 100 countries.  The VeriFone Internet address is .


Visa is the preferred payment brand and the largest consumer payment system worldwide.  It plays a pivotal role in advancing new payment products and technologies to benefit its 21,000 member financial institutions, their cardholders, and the global economy.  Visa is the only consumer payment system to facilitate $1 trillion worth of purchases of goods and services in a fiscal year.  Visa’s nearly 600 million cards are accepted at more than 14 million worldwide locations, including 380,000 ATMs in the Visa/PLUS Global ATM Network.  The Visa Internet address is .


Ariba is the leader in Operating Resource Management (ORM) solutions for Global 2000 corporations.  The company’s products deliver a high Return on Investment through reduced ORM transaction costs and improved management of the acquisition of the goods and services required to operate a company.  The products leverage the Internet and intranets to connect buyers to suppliers and thin-client network computing to make deployment to every desktop possible.  The Ariba Internet address is .