Fitch Affirms Western Union Outlook Stable

Fitch expects revenue to increase in the low single-digits in 2010, limited by a continuing soft global economic environment and job market as well as continued pricing pressure in the U.S. and Mexico markets. EBITDA margins to remain relatively constant near 30% as cost cutting actions taken by the company serve to offset regional pricing pressure. Free cash flow is projected to decline significantly in 2010 reflecting a $250 million refundable deposit against a disputed tax liability, a full year of higher dividend payments (approximately $160 million per year versus $41 million in 2009) and modestly higher capital spending. Fitch does expect free cash flow to return to historical levels in 2011 of approximately $800 million to $900 million. Working for WU is its extensive domestic and growing international agent network with a strong worldwide brand and revenue stability from strong global diversification and consumer exposure.

Details

MONEYGRAM EXPANDS

MoneyGram International has signed three new agents in Morocco that will offer money transfer services under the MoneyGram name. These agents are Credit Immobilier et Hotelier (CIH), MEA Finance / Canal M and WafaCash. Credit Immobilier et Hotelier, a mortgage lender, will broaden it services to offer money transfer in 150 locations and will introduce MoneyGram to a new set of customers. MEA Finance / Canal M, an experienced money transfer service provider with branches in immigrant neighborhoods, brings 100 locations to the network and WafaCash, a local bank, will strengthen MoneyGram’s network by adding 400 new agent locations across the country. With these new additions, MoneyGram has 2,022 agent locations in Morocco.

Details

73% of Consumers Use Debit for Everyday Spending

Debit card use is on the rise while credit card use is on the decline for spending, with 69% of consumers in the Northeast, 72% in Washington, D.C., and 83% in Florida using theirs for daily purchases. This, according to a recent TD Bank poll, also shows 34% of consumers in the Northeast say that convenience is the number one advantage they receive from their primary bank followed by customer service and products/services, compared to respondents in Washington, D.C., who report that convenience is equally as important as products/services; 27% of respondents in the Northeast would consider switching from their primary bank to open up a new checking account if they were offered better fees; Floridians are more debit focused than those in the Northeast; 83% use their debit cards on daily spending versus 69% in the Northeast, and 75% of Florida respondents use their debit cards on gas and clothing too.

Details

MICRO$ALE POS

The Precidia Technologies Transnet payment engine application has been certified with “Micro$ale POS” POS system for the food service industry. The IP payment and networking is now certified to offer its users an alternative to existing integrated payment options with a flexible processor choice, security and complete control of the payment function. Micro$ale POS is a full featured, yet simple POS system ideal for food service locations such as quick and full service restaurants, bars, and delis. The system delivers a wide range of features and tools, from forecasting to reservations to customizable menu programming. In order to process payments from credit, debit, gift and loyalty cards, Micro$ale must be teamed with an integrated payment application. The TransNet payment engine from Precidia Technologies meets this requirement with new features and benefits not available with competing solutions.

Details

Allpoint Network Expands in New York City

Allpoint Network, a Cardtronics affiliate and the operator of the largest surcharge-free ATM network, has entered into a long term agreement with Actors Federal Credit Union to provide branded surcharge-free access to 215 New York ATM locations including 200 McDonalds stores throughout the New York City metro area. With the addition of the Actors ATMs, Allpoint will have more than 2,500 surcharge-free locations in New York. Allpoint surcharge-free ATM network has 37,000 ATMs in leading national and regional merchant locations across the United States and the United Kingdom.

Details

GLOBALCOLLECT

BODUM coffee and tea making products has chosen to partner with GlobalCollect, consolidating its payment processing needs. With this, GlobalCollect will provide the Campany a one-stop-shop facilitating credit card payments for its next generation of e-commerce platforms across the world. In doing so, it will be implementing GlobalCollect’s “Hosted Merchant Link,” ensuring compliance regulations regarding sensitive customer data; plus, the fully automated data exchange between GlobalCollect and BODUM results in lowering the cost-per-order substantially.

Details

Urban Outfitters & Starmount Launch mPOS App

Starmount connected commerce solutions has entered into an agreement with Urban Outfitters to develop an in-store mobile POS application. Deployed on the Apple iPod touch to deliver an easy-to-use interface, the application is aimed at improving personalized customer service, increasing floor efficiency and reducing transaction time and costs. The mPOS solution will provide store associates a tool to complete transactions where the point-of-decision is occurring. It will include full functionality of a fixed-base POS system as well as integration with in-store databases.

Details

SMARTPAY

Barclaycard is set to launch its “SmartPay” payment processing system this summer to help e-commerce customers manage cross-border payments. The system has been piloted throughout 2010 and will give organisations access to one single payment processing system to use across markets that can be tailored to provide a range of language and currency settings dependent on where the customer is paying from. The “SmartPay” solution will protect customers with a wide range of built-in fraud and risk tools, be PCI DSS compliant, and will appeal to merchants in key online sectors such as gaming, retail and travel.

Details

Discover Small Business Index Drops to 86.1

The two-month consecutive increase in small business owner confidence came to an end in June, having dipped to 86.1 on the Discover Small Business Watch. This is down from 87.4 in May as concerns grow over temporary cash flow issues, offsetting some improvement in the way small business owners see the climate for their own operations. Small business owners reporting temporary cash flow issues jumped to 51% in June, the highest since January, up from 45% in May; 45% reported no cash flow issues, down from 48% in May; and 4% were unsure. Additionally, 30% say economic conditions for their businesses are improving, up from 28% in May; 43% said conditions are getting worse in June, down from 44% in May; 34% said things are staying the same, up from 24% in May; 29% believe the overall economy is getting better, falling from 35% in May; 51% say the economy is getting worse, steady from the previous month; and 16% see the economy as the same, up from 12% in May.

Details

Guardian Credit Union Implements VSoft’s ASP Platform

The Guardian Credit Union has selected the VSoft “VServe” ASP platform to handle branch item capture, image exchange and research/archiving of its images. Guardian was previously creating and delivering costly paper cash letters for clearing and settlement, but now can eliminate paper cash letters and their associated daily courier runs and improved collection times. The credit union plans to add a series of remote deposit capture solutions to further reduce costs and maximize efficiencies, including home office, ATM and merchant capture. Additional benefits the credit union realized include; increased functionality for its branch tellers; the ability to capture, key, balance and handle reject/repair items with ease; and duplicate detection technology.

Details

Alliance Data Closes $1.5 Billion in Liquidity Facilities

Alliance Data Systems loyalty and marketing solutions has closed $1.5 billion in conduit liquidity facilities, resulting in an increase of $175 million in overall conduit capacity. It has renewed a $275 million conduit facility for its Utah industrial bank subsidiary, “World Financial Capital Bank,” while its private label credit card banking subsidiary, “World Financial Network National Bank,” has completed the renewal of its $1.2 billion conduit facility. The facilities fund both existing and new private label credit card programs, currently only finance less than $750 million in card assets, providing a large source of untapped liquidity to fund growth and/or portfolio acquisitions.

Details

APR DEBT

Credit card gross dollar volume remains flat sequentially, while credit card outstandings edged up by a mere 0.6 basis points year-on-year in April. According to the Reserve Bank of Australia credit card balances posted at A$47.1 billion for April versus A$44.1 billion one-year ago. Credit card volume came in at A$18.0 billion for April and and $21.0 billion for March, compared to A$17.4 billion in April 2009.

Details