The TJX Companies reported that it took an after-tax cash charge of approximately $118 million for its recent computer intrusion events. The charge includes $11 million (after tax), for costs incurred during the quarter, as well as a reserve of $107 million (after tax), for the Company’s exposure to potential losses. This reserve reflects the Company’s estimation of probable losses, in accordance with generally accepted accounting principles, based on the information available to the Company as of August 14th, and includes an estimation of total, potential cash liabilities from pending litigation, proceedings, investigations and other claims, as well as legal and other costs and expenses, arising from the intrusions. In addition, TJX expects to incur future non-cash charges of approximately $21 million (after tax), that are not included in this reserve and could be recorded in fiscal year 2009. TJX Companies reported earlier this year that the 2006 security breach opened millions of cardholder personal data to outsiders may also have been intruded upon in July 2005 and on various subsequent dates in 2005. (CF Library 2/21/07)Details
Zentraler Kreditausschuss (ZKA) has awarded Giesecke & Devrient
(G&D) with certification for “SECCOS 6.1” smartcards, allowing banks
and financial institution to launch pilot projects with the new solution.
“SECCOS 6.1” is SEPA compliant and, therefore, can be used in all
SEPA compliant countries. The solution also supports the implementation
of MasterCard’s MAESTRO and VISA’s V-PAY credit card applications,
GeldKarte and an optional digital signature function. There are currently
90 million debit cards and 23 million credit cards in circulation in
G&D develops financial solutions, employs nearly 8,300 people and
generated revenue of almost EUR 1.3 billion in 2006.
Bank of America and Verizon Wireless announced the latest redesign of Verizon Wireless’ “Mobile Web 2.0” service to enable customers to have quicker access. Verizon Wireless customers can find BofA in the new “Money” category under “More in Mobile Web 2.0.” BofA on “Mobile Web 2.0” enables customers to check account balances, view transactions, pay bills, and transfer money between accounts and to other BofA customers. “Mobile Web 2.0” is available for a $5 monthly access fee, plus airtime, if purchased as a standalone service from the phone. NJ-based Verizon Wireless serves 62.1 million customers nationwide.Details
Oversea-Chinese Banking Corporation(OCBC) has reported a 2Q07
net profit of S$532 million and a core net profit of S$518 million
thanks to a 28% increase in interest income for the period. The 2Q07
had a net profit 2% higher than that of 1Q07 and, for the entire 1H07, net
profit rose 63% to S$1,028 million. Net interest income for the half grew
28% to and non-interest income rose 47%. Non-interest income
accounted for 48.4% of the Group’s total income for the half, up from
44.9% in 1H06. OCBC Bank has assets of S$164 billion with a
network of over 390 branches in 15 countries.
American Express and American Airlines have partnered to permit consumer, small business and corporate “Platinum Card” and “Centurion Card” members to have access to 44 Admirals Club lounges worldwide. The “Airport Club Access Program” allows cardholders access to Continental Airlines Presidents Club, Delta Crown Room Club, and Northwest Airlines WorldClubs. The AA relationship expands the AmEx airport club access program for “Platinum” and “Centurion” cards, which now provides cardholders with complimentary access to more than 125 participating partner clubs when traveling on the partner airline. American Airlines, the world’s largest airline has more than 4,000 daily flights.Details
The International Card Manufacturers Association’s (ICMA) EXPO,
to be held in October of 2007, will conduct seminars addressing ID
technologies, contactless technology, personalization trends and will
focus on issues affecting the card manufacturing industry. Also
featured at the event will be the association’s annual “ÃÂÃÂlan Awards for
Card Manufacturing Excellence”, to recognize multiple categories for
outstanding card design, and the “Spiritus Award,” to one company
for the implementation of a noteworthy, community-based program
for the betterment of society. Experts predict a record high-turnout for
this year. The ICMA has over 200 members globally and acts as a
clearinghouse for production, technology, application, security and
environmental issues of plastic cards.
Pay Linx has moved its production platform and technical capabilities
reflecting business growth. This development will upgrade production and
delivery capacity to serve larger-volume clients. The change also includes
a scaleable, fault tolerant production platform for customers. Pay Linx
provides clients with contemporary payment processing that integrates
with financial systems and is 25% owned by Royal Bank of Canada.
Chordiant Software announced that it is working with First Data International to develop a card servicing contact center solution as a service for First Data’s global issuing customers. The new value added service will deliver an enhanced user and customer experience to First Data’s strategic “VisionPLUS” processing solution by facilitating natural-style conversation, flexible business process automation, an intelligent full view of the customer, and a highly intuitive user interface. VisionPLUS is used by financial services companies around the world, and today processes approximately 380 million card and loan accounts. The offering will utilize Chordiant’s “Enterprise Platform”, “Decision Management Suite” and “Contact Center Advisor”. Chordiant Customer Experience solutions blend insight with predictive desktop decisioning to understand the customer’s behavior.Details
Abu Dhabi Commercial Bank has launched a contactless MasterCard. The new “ADCB Flash MasterCard” offers “PayPass” technology. The new card allows cardholders to simply “Tap & Go” for purchases under AED100.
Customers will discover queues are shorter, making fast food
even faster at Burger King, shopping at Choithram will be quicker, and
coffee breaks can be maximized at Cinnabon. Several other shopping and
entertainment locations across the UAE also accept the “ADCB Flash
MasterCard Credit Card” with “PayPass.” The new card also has the extra security of being a “MasterCard OneSmart” card, complete with chip technology that makes it difficult to counterfeit.
Global Technologies Investment will incorporate and operate
Payment By Cell Inc. Payment By Cell was designed to develop
business with banks, credit cards, and other financial products and
institutions in the Latin American region. This is based on the
and direct collaboration with local operations, which allows cash flow in
promotion and generation of market share.
GreatCanadianRebates.ca member number has reached over 10,000,
providing users with cash back rebates when they sign in and make purchases
on shopper websites. The average member earns $35.18 over a 6 month
period from over 300 possible retailers. Each retailer offers a specific
in cash back rebates, mostly in the 3% to 10% range, but can be as high as
50%. Cash back savings are paid to members through PayPal or cheque, 48%
of whom are from Ontario, 13% from B.C., 10.9% from Alberta and 7.8%
from Quebec. The site is free to consumers and is 100% Canadian owned.
Moneris Solutions announced that Optimal Payments Corporation has signed an agreement for BIN Sponsorship through Moneris. Under the multi-year agreement, Optimal Payments will look to expand their merchant acquiring programs by leveraging BIN sponsorship through Moneris. Optimal Payments processes credit card payments for Internet businesses, mail-order/telephone-order and retail point-of-sale merchants, and processes electronic checks and direct debits online and by phone. Moneris provides transaction-processing services nationwide through numerous agent banks and serves the small to medium-sized business market through direct sales and strategic partnerships.Details