Hypercom announced this morning it will restate its financial results for the first three quarters of last year due to a lease accounting issue with its U.K. subsidiary. Approximately 3,200 leases, originated by Hypercom EMEA, were incorrectly accounted for as sales-type leases, resulting in an overstatement of net revenue for the first three quarters of 2004. Hypercom estimates that net revenue for the first nine months of 2004 will decrease by up to $4.0 million, and that the operating profit for the same period will decrease by approximately 65 to 75% of the amount of the net revenue reduction. The Company says it is devoting appropriate resources to reviewing its internal controls surrounding accounting for lease contracts and related contract review policies and procedures to prevent this type of accounting error from occurring in the future.Details
Swedbank and Barclays have inked a partnership to issue cards in the Nordic market, according to CardFlash International. The joint venture will tap into a market that has a 10 million card and $5.7 billion outstandings potential. The current credit card market in Sweden and Norway is estimated at two to three million cards. The JV will consist of Swedbank’s Swedish credit cards operations and its subsidiary EnterCard in Norway. It will be jointly owned by Swedbank and Barclays, with Swedbank retaining a 60% share of the votes and Barclays 40%. The JV will be headquartered in Stockholm, Sweden. Sales will be handled by Swedbank’s distribution network in Sweden while EnterCard will serve Norwegian customers. Under terms of the deal, Swedbank will sell its 500,000 account credit card operation to the new JV for approximately $142.7 million.Details
FL-based prepaid specialist Morgan Beaumont has promoted Ted Misiewicz to CFO and Ken Craig to COO, and hired Andrew Neitlich as VP of Operations. Morgan Beaumont, Inc. (OTCBB:MBEU) is a Technology Solutions Company located in Sarasota, Florida. Morgan is one of the premier providers of Stored Value and Debit Card Solutions in the United States.Details
VISA has turned to Marvel’s “Super Heroes” to help communicate the security benefits of the “VISA Check Card.” During the first half of this weekend’s “Super Bowl XXXIX,” VISA will show “Spider-Man,” “Captain America,” “Wolverine,” “Storm,” and “Thor,” plus a surprise guest, come to the rescue of a woman who lost her “VISA Check Card.” The TV spot was created by BBDO NY. VISA has been a “Super Bowl” advertiser since 1994, producing a total of 15 “Super Bowl” commercials. Last year, VISA promoted its “Olympic Games” sponsorship. Marvel Enterprises has a library of over 5,000 proprietary characters. Although VISA does not disclose the cost to air the spot, the going rate this year is $2.4 million for a 30-second spot, compared to $2.3 million last year. In 2004, there were nearly 90 million viewers of “Super Bowl XXXVIII.” (CF Library 1-28-04)Details
The Navy Exchange Service Command is installing NCR’s “RealPOS 80” terminals, peripherals, and bar-code scanners in its 113 Navy Exchange stores in the U.S., Europe and the Pacific. The terminal features a sleek, contemporary exterior and incorporates a power and cable management system that connects multiple peripherals in a neat and orderly way, maximizing valuable counter space. NEXCOM’s mission is to provide authorized customers quality goods and services at a savings and to support quality-of-life programs for active duty military, retirees, reservists and their families. NCR Corporation (NYSE:NCR) is a leading global technology company helping businesses build stronger relationships with their customers.Details
Kate Kristensen, VP of Information Services Product Support at Inovant, a VISA Solutions Company, has been named as the recipient of MicroStrategy’s “Individual Excellence in Business Intelligence” award. Ms. Kristensen was recognized at MicroStrategy World 2005 in Las Vegas, Nevada. MicroStrategy is a worldwide leader in the business intelligence software market. Leading Fortune 2000 companies are increasingly integrating MicroStrategy’s business monitoring, reporting, and analysis software into their operations.Details
PassMark Security announced the first implementation of its “Two-Factor Two-Way Authentication” system by a financial institution. Stanford Federal Credit Union will use the “PassMark” system to fight online fraud such as phishing. With the system, each member gets a secret “PassMark” (a small image and a phrase) which is displayed to the member during log in. Because the “PassMark” is known only to that member and to SFCU, when the member sees his “PassMark,” he instantly knows it’s the real SFCU Web site and it’s safe to enter his password. Financial institutions can also use “PassMarks” to authenticate outgoing email, by inserting a copy of the recipient’s “PassMark” into the email message. In addition, the “PassMark” system provides secure two-factor authentication and anti-fraud filtering by identifying the computers used to access the site. PassMark Security’s two-factor authentication system requires no hardware tokens.Details
Swedbank (ForeningsSparbanken) and Barclays have inked a partnership to issue cards in the Nordic market. The joint venture will tap into a market that has a 10 million card and SEK 40 billion ($US5.7 billion) potential. The current credit card market in Sweden and Norway is estimated at two to three million cards. The JV will consist of ForeningsSparbanken’s Swedish credit cards operations and its subsidiary EnterCard AS in Norway. It will be jointly owned by ForeningsSparbanken and Barclays, with ForeningsSparbanken retaining a 60% share of the votes and Barclays 40%. The JV will be headquartered in Stockholm, Sweden. Sales will be handled by ForeningsSparbanken’s extensive distribution network in Sweden while EnterCard AS will serve Norwegian customers, among them many savings bank customers. Under terms of the deal, ForeningsSparbanken will sell its 500,000 account credit card operation to the new JV for approximately SEK 1.0 billion (US$142.7 million).Details
About 1.4 million “Middle Market” companies, with revenue between $1 million and $1 billion, represent a $287 billion annual spend opportunity for commercial cards. American Express says its “Corporate Card” spend is 1.4 times greater than its overall average spend, but, “Middle Market” cards produce an average spend 1.2 times its “Corporate Card” average spend. AmEx has found that “Middle Market” annual card spending ranges from $15,000 to $10 million. Last year only about one quarter of “Middle Market” companies were on corporate plastic. AmEx says unlike large corporations, which have had corporate card programs for decades, mid-sized companies have been slower to adopt corporate plastic as a form of payment. AmEx estimates that “Middle Market” card spending grew by 16% last year and anticipates it will grow 13% per year. AmEx says the “Middle Market” has been extremely lucrative since it has low capital requirements. Second, AmEx is able to charge card fees, whereas card fees are usually waived for larger corporations. Third, AmEx does not typically pay incentives to mid-sized companies as it does with larger corporations; and finally, there is higher spending per card.Details
Bank of Moscow has purchased 200 “Opteva” ATMs from Diebold. The bank has more than 2 million individual and corporate customers, and 500 locations. Bank of Moscow’s purchase includes two of Diebold’s “Opteva” models, a lobby cash dispenser and a through-the-wall cash dispenser. Russia’s Laboratory of New Information Technologies acted as the
distributor for the sale. LANIT is a Russian third-party distributor for Diebold products and is Diebold’s leading supplier in its EMEA region.
The first “Opteva” sale in Russia took place in April 2003.
WA-based HIMC Corporation, developer of the “PayByCheck” services, has hired software expert Mark Schueler for its product development department. Mr. Schueler comes to the Company after serving for six years as Senior Software Engineer with AT&T Wireless. He brings to HIMC over 15 years of experience in business applications development with an emphasis on structured design and programming with strong customer focus. HIMC Corporation (“HIMC”) through its wholly owned subsidiary ITI Internet Services Inc. (“ITI”), is a leading provider of Payment Services to over 25,000 customers.Details