Household International announced an expansion of its senior leadership team. Bobby Mehta, group executive, credit card services and Canada will now add management of the auto finance business to his current responsibilities. David Schoenholz has been named to the new position of president and COO. Steven McDonald has been named SVP and chief accounting officer. Prior, McDonald served as Household’s managing director-corporate controller. Edgar Ancona, former managing director/treasurer, has been named SVP and treasurer. Thomas Detelich has been named group executive for consumer lending. Sandra Derickson has been named group executive and will add management of the refund lending and insurance services business units to her current responsibilities for retail services. James Kauffman has been named to the new position of vice president-policy and compliance. Ken Harvey has been named to the new position of group executive and CIO.Details
Walldorf-based SAP AG and South Korea-based Samsung Electronics announced the successful implementation of a private exchange based on “MarketSet,” the joint solution from SAP and Commerce One. Samsung’s private exchange, called Worldwide Trading Network, is a single global system that links all Samsung R/3 and legacy systems using one common platform. To date, Samsung has deployed the Worldwide Trading Network across nine major production, sales, and logistics subsidiaries in Asia, Europe, and the Americas. The company plans to complete its efforts to create a digital business platform by rolling out the system to all of its fifty-nine global subsidiaries by the end of this year. The Worldwide Trading Network enables Samsung to achieve significant cost savings by reducing inventory through tight integration between the sales, procurement, and accounting processes of various subsidiaries around the globe.Details
NAREX has introduced “UniScore,” a complete Web-based recovery score package for collection agencies, credit grantors, and debt buyers. UniScore is completely Web-driven. The score, contact effort recommendation, and added services are accessed through a single interface to NAREX. All reports are online.Details
Tokyo-based First Mobile Japan Co., Ltd. has signed a deal with New Jersey-based VocalTec Communications for a calling card solution for pre-paid international service The deployment targets pre-paid calling card consumer services from Japan to China, with subsequent expansion to cover Korea, Taiwan, Singapore, Malaysia and Brazil, and is based on VocalTec’s field-proven multi-service Voice over IP (VoIP) architecture. FMJ plans to expand its service offering to include the provision of global private voice services to multi-national enterprises with globally scattered branch offices.Details
Advanta reported Business Card net income of $9 million, compared to $8.8 million for 2Q/01. Business Card results for the second quarter included growth in managed receivables to $2.2 billion at June 30th compared to $2.0 billion for the first quarter. Over 30 day delinquencies improved to 6.6% from 7.2% at March 31, and charge-offs on an annualized basis improved to 9.0% from 9.6% at March 31, 2002. Delinquency one year ago was 5.79%. Charge-offs for 2Q/01 were 7.44%. Card volume was $1.3 billion for 2Q/02 compared to $1.1 billion one year ago. For complete details on Advanta’s 2Q/02 results visit CardData ([www.carddata.com]).
ICBA Bancard has added two new credit card options for the nation’s community banks including “Participation Plus” and “20/20” to its Total Card Management agent bank program, which is delivered through its wholly owned affiliate, TCM Bank, N.A. Today there are more than 200 community banks that have chosen Total Card Management as a safe harbor for their credit card customers. Total Card Management is now an even more flexible, income producing solution for those community banks that wish to offer their customers credit cards without the traditional risks and expenses.Details
Membership program specialist MemberWorks reported that 2Q/02 revenues decreased 16.8% to $105.2 million. Excluding revenues from iPlace Inc. in the prior year, revenues would have decreased 7.0% from last year’s quarter. Net income reported for the quarter was $2.2 million, versus a net loss of $5.9 million one year ago, and net income of $10.5 million in the prior quarter. The company expects 3Q/02 revenue to be in the range of $105 million to $107 million. As of June 30th, 6.6 million retail members are enrolled in MemberWorks programs. For complete details on MemberWork’s 2Q/02 results visit CardData ([www.carddata.com]).
Euronet Worldwide reported that second quarter revenues increased 16%, from $15.1 million for 2Q/01 to $17.5 million. Quarterly transactions on the company’s ATM network increased 36% from 13.8 million in the second quarter 2001 to 18.7 million in the second quarter 2002. The Company posted consolidated operating income of $953,000 in the second quarter, an improvement of $2.7 million over 2Q/01’s operating loss of $1.7 million and an increase of $807,000 over first quarter 2002 operating income of $146,000. The Processing Services segment posted second quarter revenues of $12.9 million, an 18% increase over revenues of $10.9 million for the same period of 2001. As of June 30th, Euronet owned and/or operated a total of 2,840 ATMs compared to 2,548 ATMs on March 31st. Transactions in the second quarter improved from 15.6 million in first quarter 2002. Euronet owns and/or operates ATMs in Hungary, Poland, Germany, Croatia, the Czech Republic, the U.K., Greece and Egypt.Details
American Express has upgraded it “Cash Rebate Card” to now offer a cash rebate of up to 5%. The annual cash reward for purchases is up to 3% and there is an additional rebate of up to 2% for purchases in months in which the account carries a balance. An account is eligible for a rebate applied to a maximum of $50,000 of annual spending. Additional AmEx card benefits include: Purchase Protection Plan, Buyer’s Assurance, and the ability to check and pay bills online. The APR for purchases for the first six months of cardmembership will be a fixed rate of 0% as long as the account is not in default. The APR for purchases are prime rate based. The current APRs are 9.74%, 11.74%, or 14.74%. The APR for Cash Advances is 17.74% or prime +12.99%.Details
Direct Card Services, LLC, partially-owned Direct Response Financial Services, has signed a deal to handle credit card processing for Fission Group, Ltd clients. Under the agreement with Fission Group, Ltd., Direct Card Services will provide card processing capabilities to Fission Group’s clients. The companies will share in the revenue produced from card processing services, sales of point of sale devices and the sale of small business membership packages.Details
The Smart Card Alliance has launched a searchable Web-based catalog to enable businesses to locate appropriate smart card readers based card reader type, interface type and application environment. Users can browse the entire catalog with the click of a mouse and search for products according to card reader type, interface type and application environment. The catalog also performs keyword searches.Details
Concord EFS reported second quarter net income of $95.6 million on revenues of $538.2 million. Concord EFS also announced an alliance with Certegy, in which each will provide its core processing services to the other company’s retail clients. For 2Q/02, Concord EFS’ net income, including charges for restructuring and litigation settlement, was $63.2 million, an 11% increase over 2Q/01. Concord’s STAR network added 45,000 new merchant locations during the first six months of this year. Consumers may now pay with their STAR ATM/debit card at 895,000 retail locations across the U.S. New STAR network interchange was implemented for STAR point of sale transactions in April. Concord also completed its acquisition of TX-based Core Data Resources during the second quarter. Concord’s business relationship with Certegy goes back to 1999, when Concord first included Certegy in a portfolio of check authorization providers that Concord offered in its check services product line. Under the terms of the new agreement, Concord’s Check Conversion and Warranty Service will be powered by Certegy. The check services will be integrated on Concord’s proprietary STAR Universal Terminal along with credit, debit, electronic benefits transfer, IDLogix age verification, electronic coupons, and customized receipts. Check conversion on the STAR terminal will not involve check image capture because it leverages Certegy’s ability to minimize fraud through its proprietary risk modeling capabilities. For complete details on Concord EFS’ 2Q/02 results visit CardData ([www.carddata.com]).