E-Tailer Fraud

A new study says online retailers in the USA will lose nearly $500 million to fraud this holiday shopping season. The Gartner report estimates $160 million will be lost to fraud and approximately $315 million will be lost in sales due to suspect transactions. The research also showed that major online merchants are highly skeptical that new initiatives by VISA and MasterCard to address fraud through the “Verified by VISA” and “MasterCard SecureCode” programs will markedly reduce their fraud losses. The study is based on a survey of more than 50 other leading online merchants in June.

Details

PULSE Gold

KS-based Gold Bank has joined PULSE EFT adding 45 bank locations, 50 ATMs, and 30,000 cardholders throughout Kansas, Missouri and Oklahoma to the “PULSE” network. Gold Bank of Kansas is Gold Banc Corporation’s flagship institution, and is the fourth largest bank domiciled in that state. It has 27 locations strategically positioned throughout Kansas and in Missouri. Gold Bank of Oklahoma features locations in Oklahoma City and Tulsa, as well as 14 other communities.

Details

CITIZEN CARDS

Saudi Arabia’s National Information Centre, a division of the Ministry of
Information in Riyadh, has signed a contract with Digimarc ID Systems for
“Citizen Cards.” Up to 500,000 cards will be issued for the country. Under
the contract Digimarc ID Systems provides secure imaging and card materials
including secure laminates with magnetic stripes and its proprietary
optical-variable, ultraviolet and other security features. The Citizen
Cards will be issued over the counter at more than 250 NIC locations across
Saudi Arabia. The contract was the result of a partnership between Digimarc
ID Systems and Arabian Business Machines, a part of the Olayan Group of
Companies.

Details

Cubic 3Q/02

San Diego-based Cubic Corp. reported that earnings for the quarter ending September 30th were up 73%, and sales for the period were up 14% from last year. Earnings for the quarter were $10.2 million, compared to $5.9 million for 2001. Sales for the quarter were $149.0 million, compared to $131.2 million for the same period last year. Transportation sales increased 13% to $231 million in fiscal 2002 (ending 9/30/02) from $205 million last year. Operating profits for the transportation segment increased by 8% to $23.3 million for 2002, compared to $21.6 million in 2001. The increase came despite severance costs from closing an outdated U.K. facility and legal costs from a dispute of an Australian contract tender. For complete details on Cubic’s 3Q/02 report visit CardData ([www.carddata.com][1]).

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

Details

CUSCAL & DIEBOLD

Sydney-based CUSCAL, which represents 175 credit unions across Australia,
has signed an agreement with Diebold for ATM solutions. Under the two-year
agreement, Diebold will provide second level maintenance and support to the
“Rediteller” ATM network. CUSCAL’s affiliated credit unions have more than
1,300 ATMs across the country. Diebold is Australia’s largest ATM service
provider, maintaining approximately 7,000 ATMs nationwide. CUSCAL credit
unions have around $25 billion in assets and 3.6 million members.

Details

CYBERNET

CyberNet Inc, the Korean POS manufacturer, and its Surrey,
England-based subsidiary, CyberNet EMEA Ltd, have created a new
subsidiary in Poland. The new company, CyberNet Poland Ltd, is based in
Warsaw, is 100% owned by CyberNet, and will provide consulting, sales,
marketing, application development and customer support services to its
clients within the country. The new Managing Director of CyberNet Poland
Ltd is Wladyslaw Slebodzinski. CyberNet Poland estimates over 6 million
cards per year will be issued and 380,000 POS terminals deployed in
Poland in the next 5 years.

Details

Providian TRIAD

Providian has selected Fair Isaac’s “TRIAD” adaptive control system at TSYS to manage the risk exposure of its portfolio of 12 million consumer cards. TRIAD adaptive control system enables the world’s leading lenders to automate and improve credit account management. It facilitates the process of developing and implementing different credit and marketing strategies, using predictive analytics to forecast future performance in decision areas such as credit line management, delinquent collections, authorizations management, and performance pricing.

Details

VLSI TEST SYSTEM

Munich-based Giesecke & Devrient has selected Teradyne’s “J750k VLSI Test
System” for design verification and electrical qualification of contacted
smart cards. The small footprint of the “J750k” enables G&D to perform
design verification and qualification test up to 32 sites in parallel in an
engineering laboratory. The “J750k” features IG-XL test software. The basic
configuration starts with 64 pins at 50MHz and can be expanded up to 256
pins at 100MHz.

Details

Big Mac Processing

TN-based Concord EFS has landed the McDonald’s credit and debit card processing contract. The world’s largest QSR chain recently announced plans to begin selectively rolling out card-based payments by mid-2003. Under terms of the deal, Concord will provide transaction routing, authorization, and settlement for all credit and debit cards. McDonald’s says it select Concord after the company offered several options to improve the speed of the transaction, a critical factor for quick service restaurants. McDonald’s has more than 30,000 local restaurants serving 46 million people daily. Two weeks ago McDonald’s announced it will broaden card acceptance next year, and may top 10,000 locations by the end of 2003. KFC introduced card acceptance last year in most of its outlets. Burger King and Wendy’s have pilot programs underway with decisions on full-scale deployment set for early next year. Jack in the Box was the first fast-food firm in the USA to take credit cards. A recent VISA study found the average transaction for credit customers was 20% to 30% higher than for cash customers. (CF Library 11/13/02)

Details