MASTERCARD 2Q/06

Growth in MasterCard International’s gross dollar volume and purchase volume remained solidly in double digits during the second quarter. Gross dollar volume of $485 billion was up 16.4% year-on-year while purchase volume increased 17.5% to $351 billion. Purchase transactions for the second quarter hit 5.1 billion, an 18% increase, compared to 2Q/05. Globally, MasterCard has 796 million cards-in-force linked to 692 million accounts. The number of acceptance locations worldwide as of June 30th was 24.9 million. For complete details on MasterCard’s second quarter results, visit CardData (www.carddata.com).

Details

Intersections’ Q2 Revenue Climbs 11%

VA-based Intersections reported that revenue for second quarter was $45.4 million, an increase of 11.3%. Net income for the quarter was $2.7 million, a decrease of 13.4%. The Company had total subscribers of 3.74 million at mid-year. Subscriber additions in the second quarter were approximately 843,000. Subscription revenue was $26.2 million for the second quarter compared to $29.5 million for the first quarter. The decline was due to the reallocation of marketing efforts toward its investment in consumer direct and the decline of American Express revenue. During the quarter the Company completed the acquisition of Chartered Marketing Services in July for $50 million. For complete details on Intersections’ latest results visit CardData ([www.carddata.com][1]).

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

Details

Fifth Third Certifies Hypercom’s T4100

Fifth Third Processing Solutions has “Class A” certified Hypercom’s 32-bit “Optimum T4100” payment terminal for single-lane retailers. The T4100 for the first time gives the bank the flexibility to deliver one or more payment processing solutions on the same high-performance terminal platform. The terminal’s multiapplication architecture and configuration abilities allow Fifth Third Processing Solutions to deploy the bank’s credit/debit, electronic check, electronic benefits transfer (EBT) and gift card services singly or in any combination, enabling sales to merchants who do not want the complete package or cannot commit to the full suite because they are locked into contracts for select services with other providers. Fifth Third Processing Solutions is one of the nation’s largest providers of credit, debit, EBT, ACH and check acceptance services. Hypercom Corp. delivers a full suite of high-security, end-to-end electronic payment products and services.

Details

BankAtlantic Expands ATMs on Cruise Ships

FL-based BankAtlantic is deploying ATMS on the world’s largest cruise ship, Royal Caribbean International’s Freedom of the Seas, bringing its total ATMs deployed on cruise ships to nearly 100. Identical to BankAtlantic’s land based ATMs; the offshore fleet of ATMs offers the convenience of cash withdrawals, transfer of funds, and instant access to account balances. Check Cards and/or ATM Cards are accepted from STAR, VISA, PLUS, AFFN, MasterCard, Maestro, CIRRUS, American Express, DISCOVER/NOVUS, and QUEST Networks. BankAtlantic, “Florida’s Most Convenient Bank”, is one of the largest financial institutions headquartered in Florida and provides a comprehensive offering of banking services and products via its broad network of community stores and its online banking division – BankAtlantic.com. Royal Caribbean Cruises Ltd. is a global cruise vacation company that operates Royal Caribbean International and Celebrity Cruises, with a combined total of 29 ships in service and six under construction.

Details

JUNE DEBT

Credit card outstandings declined by GBP 300 million in June after hitting a record level in May. Overall, the increase in consumer credit was lower than in May. The Bank of England says after considering revisions to its reporting, credit card lending was flat in June. The BOE says the increase in total net lending to individuals in June of GBP 9.8 billion was lower than the increase in May and the previous six month average. The twelve-month growth rate has been unchanged at 10.3% since March. The three month annualized growth rate was unchanged from May, at 10.4%.

Details

Fujitsu Transaction Hires a Sales Exec

TX-based Fujitsu Transaction Solutions hired Danny Westheimer, previously with NCR, as regional VP/Sales. Westheimer will be based in Atlanta, overseeing several new business initiatives. Prior to joining Fujitsu, Westheimer was previously area director, retail sales for the northeast region at NCR and also held a similar position for the Midwest region. Fujitsu Transaction Solutions Inc., a wholly owned subsidiary of Fujitsu Limited (TSE: 6702), collaborates with retailing companies to relentlessly reduce their costs and facilitate consumer interactions that improve their profitability.

Details

TNS Lands Robles for Latin America

VA-based Transaction Network Services has hired Edward Robles, a 20-year payment systems expert, as VP/GM for Latin America. Prior to joining TNS, Mr. Robles served for five years as an independent consultant in the financial services industry, where he worked with small-to-medium-sized organizations primarily in the areas of ATM, PoS, EFT and wire transfer solutions. He has a BS in business administration and a BA in management from the University of Phoenix and an MBA in international business from the American Intercontinental University. Transaction Network Services is one of the leading providers of business-critical, cost-effective data communications services for transaction-oriented applications.

Details

Triton Opens a New Memphis Facility

ATM manufacturer Triton, the largest provider of off-premise ATMs and ATM management software in North America, recently opened its new Memphis facility. The new facility and additional staff is part of Triton’s implementation of plans to provide back up capabilities as part of its disaster preparedness. It houses the company’s technical training department, along with additional staff for technical support, customer service, parts and repair operations. Triton is the largest provider of off-premise ATMs and ATM management software in North America and has more than 145,000 installations in over 23 countries worldwide.

Details

US Airway Offers Alternative Financing

US Airways is now offering the “Bill Me Later” service which offers alternative financing such as no payments for 90 days. The service, part of I4 Commerce’s “PayCapture” system, offers promotional financing, private label and integrated marketing programs. US Airways is offering the 90-day option on tickets booked through November 30th. US Airways and America West recent merged creating the fifth largest domestic airline. I4 Commerce says its service is available to more than 1.5 million consumers.

Details

2006 Average Monthly Payment Rates Top 20%

Monthly payment rates, the amount that cardholders pay on their credit card debt, resumed its upward climb during June. Year to date, the monthly payment rate has averaged 20.30%, running well over 250 basis points from one-year ago. Driven by higher minimum payments, payment rates hit 21.00% in June, an increase of 186 basis points from May and 271 basis points above year-ago levels. According to FitchRatings, the payment rate averaged 19.97% during the first quarter and averaged 18.60% for 2005. Five years ago the monthly payment rate hovered around 15%.

Monthly Payment Rate
Dec 05: 18.90%
Jan 06: 19.97%
Feb 06: 20.85%
Mar 06: 19.10%
Apr 06: 21.74%
May 06: 19.14%
Jun 06: 21.00%
Source: FitchRatings

Details