Fleet MasterCard

TN-based Comdata has inked a final contract with U.S. Fleet Services to provide customer account management services for its 1,400 mobile and on-site fueling customers. U.S. Fleet Services is the largest provider of fleet fuel outsourcing services in the United States. The agreement includes the issuance of a Comdata’s co-branded “Comdata MasterCard Corporate Fleet Card.” Under the Comdata program, information from each fueling transaction is gathered, compiled electronically, and posted online through iConnectData.com. Comdata is a wholly owned subsidiary of Minneapolis-based Ceridian Corporation. Comdata is also the exclusive fuel card supplier for FedEx Express since 2001, and has issued more than 50,000 “Comdata MasterCard Corporate Fleet Cards” to its driver workforce. (CF Library 1/9/03)

Details

STMICROELECTRONICS 1Q/03

Geneva-based STMicroelectronics reported first quarter net revenues of
$1.6 billion, a 19.4% increase over 1Q/02. Gross profit was $566.3 million,
an increase of 25.3% from the 2002 first quarter, but a 14.3% decline from
the $660.6 million reported for the 2002 fourth quarter. In March, STM
announced the acquisition of Proton World International, a smart card
software company that specializes in high-security, payment and
identification smart card systems and has developed an extensive network
throughout the financial services and banking sectors. STM says the
addition of PWI software expertise will fully complement its smart card
chip technology and is in-line with the Company’s long-standing
“System-on-Chip” approach.

Details

Cap One INTL

[![][1]][2] Capital One posted its first profit for its international credit card accounts portfolio during the first quarter, according to this week’s issue of The RAM Report. The issuer posted 1Q/03 net income of $18.1 million, compared to a $6.2 million loss in the fourth quarter, and an $8.5 million loss one year ago. Since the first quarter of 2002, Capital One’s international portfolio outstandings have grown 27.3%, from $4.2 billion to $5.4 billion. Charge-offs for the first quarter of this year was 4.28%, compared to 3.92% in the fourth quarter, and 3.58% one year ago. International delinquency for the first quarter of this year was 4.22%, compared to 4.18% in the fourth quarter, and 4.08% one year ago. Capital One noted that its UK operations became profitable for the first time last year. At the end of 2002, the U.K. Bank had 2.8 million accounts and $3.9 billion in credit card, revolving loan, and installment loan assets.The UK Bank has been operating independently in France since 2000. Besides the UK, the issuer also has operations and activities in Canada, South Africa and France. ([www.ramreport.com][3])

[1]: /logos/ram/ramreport_.jpg
[2]: http://www.ramreport.com
[3]: http://www.ramreport.com

Details

NO-FREE SCOTIAGOLD

Scotiabank has launched the “No-Fee ScotiaGold VISA” card. The
card carries an interest rate of 18.50%, a $5,000 minimum credit line, and
does not offer a rewards program. In addition to the new card, Scotiabank
currently offers the “Scotiabank Classic VISA”; “No-Fee Scotiabank Classic
VISA”; “Scotiabank Value VISA”; “Scotiabank Value VISA”; “No-Fee Scotiabank
Value VISA”; “No-Fee Scotiabank Value VISA”; “ScotiaGold Preferred VISA”;
and, “ScotiaLine VISA.”

Details

MBNA INTL

[![][1]][2] MBNA’s international foreign loans, mostly credit cards, increased 45% in the first quarter to $15.8 billion, according to this week’s The RAM Report. The issuer, which has significant operations in the Canada, UK and Spain, also reported that it opened 620,000 new foreign accounts in the first quarter, compared to 450,000 in 1Q/02. In the first three months of 2003, MBNA signed 41 new foreign affinity credit card deals including National Geographic in the UK, Bell Globemedia (Canada), and Banco Cooperativo Espanol (Spain). In Europe, MBNA reported total managed loans of $13.1 billion, an increase of 47% over the same period one year ago. In Spain, MBNA Espana signed a total of 20 affinity contracts since marketing started in the fourth quarter and now employs 150 people. In Canada, MBNA’s total managed loans reached $2.7 billion, a 35% increase over 1Q/02. During the first quarter, MBNA added 15 affinity deals and 190,000 new accounts in Canada. ([www.ramreport.com][3])

[1]: /logos/ram/ramreport_.jpg
[2]: http://www.ramreport.com
[3]: http://www.ramreport.com

Details

MBNA INTERNATIONAL

MBNA reported that its international foreign loans, mostly credit cards,
increased 45% in the first quarter to $15.8 billion. The issuer, which has
significant operations in the Canada, UK and Spain, also reported that it
opened 620,000 new foreign accounts in the first quarter, compared to
450,000 in 1Q/02. In the first three months of 2003, MBNA signed 41 new
foreign affinity credit card deals including National Geographic in the UK,
Bell Globemedia (Canada), and Banco Cooperativo Espanol (Spain). In Europe,
MBNA reported total managed loans of $13.1 billion, an increase of 47% over
the same period one year ago. In Spain, MBNA Espana signed a total of 20
affinity contracts since marketing started in the fourth quarter and now
employs 150 people. In Canada, MBNA’s total managed loans reached $2.7
billion, a 35% increase over 1Q/02. During the first quarter, MBNA added 15
affinity deals and 190,000 new accounts.

Details

USB IntelliPIN

MagTek, Inc. released a USB-compatible version of its IntelliPIN encrypting PINpad/swipe reader, ensuring that the security and convenience benefits of IntelliPIN technology will continue to be available as PC manufacturers fully embrace the USB standard. IntelliPIN is a secure PINpad/swipe reader that is already changing the way of doing business at financial institution branches and other consumer financial points of service.

Details

Certegy 1Q/03

Certegy this morning reported first quarter profits of $12.2 million on revenues of $240.2 million. Excluding special charges net income would have been $20.1 million, a 25% increase over 1Q/02. Card Services’ revenues of $157.2 million in the first quarter were flat compared to 1Q/02. Certegy says growth of 13.7% in North American card issuing revenue was largely offset by a 16.8% decline in merchant processing revenue. Check Services generated revenue of $83.0 million in the first quarter, a 7% increase over 1Q/02. During the first quarter, domestic card issuing transaction volumes increased by 10.6%, driven primarily by 22% growth in debit card transactions. For complete details on Certegy’s 1Q/03 performance visit CardData ([www.carddata.com][1]).

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

Details

Smart MARTA

San Diego-based Cubic Transportation Systems and Atlanta’s Metropolitan Atlanta Rapid Transit Authority have begun negotiations on a $100 million contract to upgrade the city’s fare collection system with smart card technology. Cubic says the proposed upgraded MARTA system could eventually be linked to other Atlanta-area transit agencies, as well as toll roads and airport parking facilities, providing “intermodal” fare collection in the area. Cubic is already creating such a regional system in the Washington, D.C. area, where smart cards are used for rail, bus and parking, and some employers credit their employees’ transit benefits directly on the transit cards. Cubic is linking the smart card system to 16 other bus and rail agencies in Virginia and Maryland. Under recently awarded contracts, the company is also creating regional smart card systems in Los Angeles and San Diego. Cubic expects negotiations with MARTA to be completed by the end of the summer.

Details

Viad 1Q/03

Viad Corp reported this morning 1Q/03 net income of $22.7 million on revenue of $415.4 million. Payment Services’ revenue for the first quarter grew 1.6% to $190.0 million but operating income was down 33.5% to $21.2 million. MoneyGram’s transaction volume grew by 34% as compared to first quarter 2002. MoneyGram’s agents increased by 10% in comparison to the prior year quarter to over 60,000. Viad says it expects its Payment Services segment revenue to grow at a mid single-digit rate compared to 2Q/02 while operating income is expected to be flat. For complete details on Viad’s 1Q/03 performance visit CardData ([www.carddata.com][1]).

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

Details