New TRIAD Clients

Fair, Isaac and Company, Inc., the leading provider of customer analytics and decision technology, announced the addition of a wide range of companies to its roster of existing blue-chip clients utilizing two of the company’s most prominent Strategy Machine solutions: Fair, Isaac Decision System software and TRIAD adaptive control system.

IBM, State Auto Insurance and Mutual of Enumclaw have all selected Decision System, a solution that has quickly emerged as the predominant decision engine technology since its introduction in January 2001. Decision System lets companies deploy, manage and improve their unique customer relationship strategies across a wide array of customer touchpoints. Decision engines created using Decision System can be deployed across the enterprise, on mainframe, AS/400, Unix and Windows NT platforms. In this way, an enterprise can house their business strategies in a common architecture regardless of target applications or execution environments. With the addition of IBM, State Auto and Enumclaw, Fair, Isaac now counts a total of 21 Decision System clients in the financial services, insurance and retail industries.

In addition, Fair, Isaac has added four new global TRIAD clients–Hyundai Card, HSBC Bank Middle East, Banco Santander Chile, and Littlewoods Retail Limited. TRIAD helps the world’s leading lenders maximize the profitability of their customer portfolios. The integrated system allows clients to apply Fair, Isaac’s analytics and decision technology as well as business expertise to automate key decision areas within account management, including credit line management, performance-based pricing, authorizations management and delinquent collections.

TRIAD has an 80 percent market share among the top 10 domestic credit card issuers and manages 65 percent of credit cards worldwide.

Fair, Isaac’s CEO Tom Grudnowski said, “It’s a privilege to be working with each of these organizations. In the broad sense, I think these types of multi-million dollar contracts are further evidence of leading companies, across a spectrum of industries, seeking the power of our creative analytics in helping them solve challenging problems in challenging times. Each of these new clients will be utilizing our software to deploy and improve automated customer decisions across their enterprises, and we couldn’t be happier to add them to our client roster.”

About Fair, Isaac

Fair, Isaac and Company is the preeminent provider of creative analytics that unlock value for people, businesses and industries. The company’s predictive modeling, decision analysis, intelligence management and decision engine systems power more than 14 billion decisions a year. Founded in 1956, Fair, Isaac helps thousands of companies in over 60 countries acquire customers more efficiently, increase customer value, reduce risk and credit losses, lower operating expenses and enter new markets more profitably. Most leading banks and credit card issuers rely on Fair, Isaac’s analytic solutions, as do insurers, retailers, telecommunications providers and other customer-oriented companies. Through the Web site, consumers use the company’s FICO(R) scores, the standard measure of credit risk, to manage their financial health. For more information, visit [][1].



ORCC Update

Online Resources Corp., a leading outsourcer of e-financial services, announced that it has extended and restructured its Internet financial services contract with California Federal Bank for another four years. The Company reaffirmed its existing earnings guidance for 2002, and in an unrelated matter, also announced the resignation of its chief financial officer.

Cal Fed, the Company s largest client, signed a new agreement with Online Resources through 2005. Under the new four-year outsourcing agreement, the Company will continue to provide its full set of services through mid to late 2002, and will provide only its electronic bill presentment and payment (EBPP) services through 2005. The approximate effect of Cal Fed bringing the Company s banking and related customer support services under its control would be to reduce the Company s revenue by 7% and its gross profit by 3%, based on reported 2001 year-to-date results adjusted for the new agreement.

Matthew P. Lawlor, chairman and CEO of Online Resources stated, We are pleased to continue this important relationship. The new Cal Fed agreement, however, has no impact on our financial outlook for 2002, as the agreement with Cal Fed was fully anticipated. We expect to reach operating profitability in mid to early 2002, with an operating profit for the full year and revenue increasing between 28 and 32 percent.

Lawlor added, Our EBPP users earn us more than two times the revenue and gross profit of Internet banking only users. The challenge for us is to work closely with Cal Fed using our new integrated marketing and CRM capabilities to expand their EBPP user base. I am confident that we can achieve this if we work closely with Cal Fed and continue our recent successes in improving our conversions of users into EBPP services.

In an unrelated matter, the Company also announced that Chief Financial Officer Carl Blandino has resigned to work with a private firm. The date of transition is expected in mid January. A search is being conducted for a replacement.

About Online Resources

Founded in 1989, Online Resources (Nasdaq:ORCC – is a leading outsourcer of e-financial services, with over 500 bank and credit union clients. The company’s comprehensive QuotienSM suite of services provides Internet banking, electronic bill payment-presentment, and other consumer and small business e-finance applications. The company performs 24×7 customer care and consumer marketing services, giving clients the benefit of a single, integrated solution, backed by a unique end-to-end service guarantee and real-time transaction capabilities. Online Resources processes over 60 million transactions annually, including $3 billion in consumer bill payments.


November Rebound

The sharp October contraction in revolving debt was short-lived as consumers returned to more normal credit patterns, piling on more than $5 billion in revolving credit, mostly credit cards, during November. The events of September 11th appear to have been the most significant factor in the dramatic drop in October, while record low interest rates and holiday spending may have been responsible for the rebound in November. According to the monthly figures released by the Federal Reserve yesterday, Americans added $5.4 billion to revolving credit during November, following a $3.7 billion pay down in October. While the rebound reversed a trend that began in July, total revolving credit remains about $6 billion below the record level set in June of this year, when total revolving credit topped $700 billion. According to the Federal Reserve, revolving debt stood at $694.6 billion during November. At the end of November, American consumers were $1.653 trillion in debt, exclusive of home mortgages.

Nov 01 Oct01 Sep01 Aug01 Jul01 Jun01 May01
GRWTH: 9.4% -6.1 0.6 -2.2 -3.7 2.1 4.5
$OWED: $694.6 689.2 692.7 693.5 698.1 700.3 699.0

Apr01 Mar01 Feb01 Jan01 Dec00 Nov00 Oct00
GRWTH: 14.2% 11.9 20.8 11.6 5.0 10.9 4.7
$OWED: $697.6 688.2 681.4 670.3 663.4 660.6 654.8

Source: Federal Reserve; revised figures as of 01/08/02; For complete historical data visit



SchlumbergerSema, a business unit of Schlumberger Limited, announced that it
has signed a contract to supply contactless smart cards to Electronic Data
Systems, a member of the TranSys consortium. The contract is part of the
Transport for London project for a new smart card-based ticketing and revenue
collection system for London Underground and Buses. This is one of the largest
projects of this type in the world, and will improve the overall travel
experience for London’s commuters. The contactless cards will give fast access
to the Underground and buses, while helping Transport for London improve the
efficiency of its network.

Since capital city ticketing projects set the trends and provide a valuable
reference for similar programs in other locations, transport operators
throughout Europe are closely watching London as the TranSys consortium
implements the new paradigm for capital city travel. Starting in 2002,
SchlumbergerSema will supply over two million Easyflow contactless smart cards
over the next two years.

Contactless cards speed the movement of ticket holders, since travel details
can be validated as the holder passes the card over the reader with no
requirement to stop and insert the ticket. The cards have already shown their
capabilities in many smaller scale projects, proving easy to use and extremely
cost-effective. Once issued, cards may also be reloaded for further periods of
travel, cutting down the number of tickets required. Intrinsic smart card
security ensures they are virtually impossible to forge or clone.

“We need a partner who can deliver robust, commuter-friendly contactless
technology today, and also demonstrate a real, practical understanding of the
needs of complex city projects,” said Nicole Carroll, marketing director for
TranSys. “SchlumbergerSema has the products, the proven track record of huge
projects like Paris, and the international presence that we were seeking.”

“Technology is important, but it’s still only part of the story,” stated
Rasmussen, president, Cards, SchlumbergerSema. “Real progress demands
organizations with vision and drive to take key projects forward, and cities
all over Europe are watching as Transys creates a new model for urban
travel in
the 21st century.”

The security and flexibility of the smart card enables electronic ticketing to
serve as a foundation application for more complex programs – such as projects
which combine transport with parking and e-purse or multi-application city
cards — while the nature of travel requires strong interoperability between
different programs. SchlumbergerSema is involved in major, operational
that leverage the full capabilities of today’s smart cards in Asia, South and
North America, and Europe.

About SchlumbergerSemaSchlumbergerSema is a leading information technology
services company providing consulting, systems integration, managed services
and products to the telecommunications, energy and utilities, finance,
transport and public sector markets. With more than 30,000 employees serving
customers in 65 countries, SchlumbergerSema is one of two business segments of
Schlumberger Limited, a global technology services company. For more
information about SchlumbergerSema, visit

About Transys

The TranSys consortium was awarded the 17-year ‘Prestige’ contract in 1998 to
build, implement and maintain a state of the art new ticketing and revenue
collection system for Transport for London (TfL) across London’s underground
and bus networks. TranSys comprises some of the world’s leading companies in
ticketing technology and innovation: EDS, Cubic Corporation, ICL and WS
At its heart is the introduction of contactless, electronic smartcards and
stored value ticketing (SVT) as well as new ticket machines, new gates and new
validating equipment which together will revolutionise the way people pay for
and access public transport in London.

About EDS

EDS, the leading global services company, provides strategy, implementation
hosting for clients managing the business and technology complexities of the
digital economy. EDS brings together the world’s best technologies to address
critical client business imperatives. It helps clients eliminate boundaries,
collaborate in new ways, establish their customers’ trust and continuously
improvement. EDS, with its management consulting subsidiary, A.T. Kearney,
serves the world’s leading companies and governments in 58 countries. EDS
reported revenues of $19.2 billion in 2000. The company’s stock is traded on
the New York Stock Exchange (NYSE: EDS) and the London Stock Exchange. Learn
more at


US Bank P-Card Deal

FinishMaster, Inc., a leading distributor of industrial and automotive paints and coatings, has contracted with U.S. Bank Corporate Payment Systems for purchasing card services. U.S. Bank will provide 150 cards for the company that will be used for approximately $5 million in annual volume.

FinishMaster is the leading national independent distributor of automotive paints, coatings, and related accessories to the automotive collision repair industry. FinishMaster is headquartered in Indianapolis, Indiana, and operates 158 sales outlets and three major distribution centers in 22 states. The company of 1,600 employees reported $340 million in sales in 2000. For more information on FinishMaster via the Internet, visit [][1].

U.S. Bancorp (NYSE:USB), with assets in excess of $168 billion, is the 8th largest financial services holding company in the United States. The company operates 2,186 banking offices and 4,937 ATMs, and provides a comprehensive line of banking, brokerage, insurance, investment, mortgage, trust and payment services products to consumers, businesses and institutions. U.S. Bancorp is home of the Five Star Service Guarantee which assures customers of certain key banking benefits and services or customers will be paid for their inconvenience. U.S. Bancorp is the parent company of Firstar Bank and U.S. Bank. Visit U.S. Bancorp on the web at and Firstar Bank at [][2].



Fujitsu 8000 Certification

Fujitsu Transaction Solutions Inc. announced today that its Fujitsu Series 8000 family of automated-teller machines has been certified to operate with the Metavante Corp.’s ATM management platform. The certification ensures Metavante clients that Fujitsu Windows 2000-based ATMs seamlessly integrate into the Metavante platform. Milwaukee-based Metavante is the technology subsidiary of Marshall & Ilsley Corp. Fujitsu’s Series 8000 ATMs add a new dimension to self-service banking. ATM owners can realize many new revenue opportunities by offering a variety of services through the ATM, which are made possible by the Series 8000’s Web-enabled, advanced technology. Potential services can include coupon and stamp dispensing, event ticket purchases, phone cards, lottery tickets and more.

“For years, Fujitsu and Metavante have teamed together to offer ATM operators the most innovative ATM technologies. This certification continues our success,” said Neill Collins, Fujitsu vice president of financial systems sales. “Fujitsu is committed to achieving certification with every major ATM network, thereby enabling financial services providers — both traditional and non-traditional, such as retailers — to expand services and build revenue through new and creative channels.”

Rigorous testing proves successful for Series 8000 ATMs

In order to certify the Fujitsu Series 8000 ATMs, Metavante conducted rigorous testing on a Series 8000 ATM in its Milwaukee-based test lab. Test results showed the Series 8000 could successfully operate within the Metavante ATM platform. Because the ATMs possess the same standard architecture, one model’s certification ensures the entire product series can be installed with “plug and play” ease, using standard ATM emulations.

Achieving competitive advantage with Fujitsu Series 8000 ATMs

Every Series 8000 ATM offers the following benefits:

— World’s highest footprint-to-capacity ratio in an ATM

— Lower cost of ownership (TCO), with large capacity dispensers, fewer moving parts, universal components, low-maintenance thermal printers and color LCD displays

— Handles a wide range of media, including stamps, coupons, event tickets, credit card-sized media and other items of value

— Web-enabled capabilities will eventually allow customers to use ATMs for all the same banking transactions they currently conduct from their PCs, as well as new transaction types such as purchasing phone cards and event tickets

— Windows 2000 operating system supports both traditional financial transactions and future services; Windows XP will be available by mid-2002

— Americans with Disabilities Act (ADA) compliance

“We value our long-standing partnership with Fujitsu,” said Frank D’Angelo, senior vice president and general manager, Metavante EFT and Card solutions group. “The certification of Fujitsu’s newest ATM technology continues this partnership. Metavante is pleased to be able to offer Fujitsu Series 8000 support to our customers.” Metavante is a leading provider of electronic funds transfer (EFT) and card solutions, including account processing, merchant servicing and card personalization services for debit, credit, stored-value, prepaid, and ATM cards to approximately 1,400 clients. Metavante provides EFT services to approximately 1,000 financial services providers in the United States. It is linked with all major electronic funds transfer networks, gateways and processors to route and authorize ATM and debit card transactions for banks, credit unions, Internet banks and independent sales organizations. Metavante manages more than 8,300 ATMs in the United States.

About Metavante Corporation

With more than 3,500 clients, including the largest 20 banks in the United States, Metavante Corporation is a leading financial services enabler, providing virtually all of the technology that an organization needs to offer financial services. Metavante offers customer relationship management, electronic banking, electronic funds transfer and card solutions, electronic presentment and payment, financial technology services, private label banking, and wealth management solutions. Headquartered in Milwaukee, Wis., Metavante is wholly owned by Marshall & Ilsley Corporation (NYSE:MI). Web site: [][1].

About Fujitsu Transaction Solutions Inc.

Fujitsu Transaction Solutions Inc., headquartered in Dallas, is a wholly owned subsidiary of Fujitsu Limited (TSE: 6702). The company is a total lifecycle solutions supplier for North American retailers and financial services providers. Fujitsu optimizes the customer’s technology lifecycle and reduces total cost of ownership with point-of-sale (POS) hardware and software, handheld devices and applications, Web-enabled automated-teller machines (ATMs) and infrastructure services, including asset management. Fujitsu offers world-class customer-service support, call centers, product staging/integration and rapid-response rollouts. It serves customers such as Allfirst Financial, Albertson’s, Recreational Equipment Inc., Safeway, Staples and U.S. Bank, among others. Web site: [][2] For sales and product information call 1-800-340-4425.



Card Bonds 2002

Credit card asset-backed securities issuance may top $75 billion this year, despite current economic conditions. Standard & Poor’s said yesterday it expects modest loan growth and a heavier reliance on securitization and refinancings to set the stage for a record year for card-backed securities. Issuance for 2001 hit $68 billion. Even though loan growth may slow down as card holders cut back usage and issuers tighten underwriting standards, S&P believes the close to $50 billion in outstanding ABS will mature and the revolving portfolios will need refinancing. Refinancing of receivable portfolios backing maturing securities should provide about $45 billion of the issuance, while portfolio growth and an increased reliance on securitization as a funding source could add another $30 billion.



Further discussions are moving to the possibility of one standard so that individual state databases would be in a position to validate the identification of the individual based on biometric features, such as a fingerprint or an iris scan during the enrollment process.

“If a person with a valid smart card driver’s license from one state travels to another,” stated Frank Barbalace, Senior Business Development Manager for ORGA USA, “and seeks to obtain a driver’s license in that state under a different name, the system will red flag them. This same system could work in the United States as well.”

Gujarat was the first state in India to implement a smart card-based driver’s license. The project, which began in early 1999, was coordinated by ORGA in association with Smart Chip Limited in New Delhi. The driver’s license, which contains an embedded chip, stores the cardholder’s fingerprint, digital signature, and personal information.

Smart Card Issuance stations provide a one-stop location that allows for the entire process to be completed in one trip. The issuance stations consist of smart card personalization equipment (including a PC, smart card printer, video camera, fingerprint capture device and a signature tablet), as well as customized software.

To date, nearly two million people have received smart card driver’s licenses, with nearly 1,500 cards issued daily. At the project’s end, more than 25 million smart cards will be issued.

Smart Card driver’s licenses are produced under high security standards that help prevent identity fraud. The information on the chip is stored safely in a forgery proof manner.

When smart cards are presented for identification purposes, the individual’s fingerprint is compared against the fingerprint in the card on a 1 to 1 basis. This alone improves the chances of increased positive identification. Other uses include storing voting registration, access control, and emergency medical and contact information.

ORGA Card Systems, Inc, part of the authentos group of companies, is one of the market leaders in the smart card industry. ORGA offers a full range of smart cards, hardware, software, systems, system integration and solutions for the telecommunications, banking, retail, healthcare and Internet sectors.

ORGA is headquartered in Paderborn, Germany, and operates its Smart Card Center in Flintbek, in one of the world’s most modern production facilities for smart cards. ORGA is jointly held by Bundesdruckerei GmbH (89.96%), which in turn is fully owned by APAX Fonds, and DETECON GmbH (10.04%).

With a workforce currently numbering over 1,600 employees worldwide, the ORGA Group posted record sales of EURO 282 million in fiscal 2000. Subsidiaries, sales offices and joint ventures give ORGA a strong presence in Great Britain, the U.S., France, Singapore, Russia, South Africa, the United Arab Emirates, Denmark, China, Brazil, Hong Kong, Italy, Portugal, Austria and Lithuania.


PayStar Acquires Kiosks

PayStar Corporation, the nation’s leader in providing content based Internet Kiosks, Cashless ATM devices, Prepaid Telecom and Wireless Banking Services is pleased to announce the acquisition of Get2Net’s nearly 200 Internet kiosks in 32 locations including JFK, LaGuardia, Newark, Denver Airports and 24 other airport locations. PayStar will convert the kiosks to pay-for-use utilizing PayStar’s revenue generating proprietary Gold Sprocket(TM) Software.

“PayStar has completed the acquisition of Get2Net assets including kiosk equipment, locations and contracts,” stated W.D. Yotty, chairman and CEO, PayStar Corporation. “This purchase will increase annual revenues up to $3 million and provide PayStar with strategic placements in high-traffic locations across the U.S. and affords PayStar global opportunities through Get2Net’s international operations.”

Get2Net’s state-of-the-art stations include a Pentium II 450 MHz computer, 15″ LCD flat panel display and shock-resistant, spill-proof keyboard. Get2Net began installing public Internet access NetStations in U.S. airports and other venues in August 1998 and was regarded as the leader in providing public Internet access in airports and travel facilities.

“I am very excited about the prospects of working with the venues and advertisers that Get2Net has developed over the years,” said John Shin, President, PayStar InfoStations. “Get2Net has done a fine job in landing great contracts and locations, we believe it is the quality of the location that makes kiosks profitable.”

About PayStar

PayStar Corporation, a premier global distributor of telephony and financial services, provides its customers with an array of enabling devices. PayStar is comprised of three fully integrated divisions: Commercial Telephony Switch Services, Consumer Internet and Telephony Products including prepaid cards, and Consumer Services providing service and maintenance of Cashless Teller Machines (CTMs), pay phones and Internet enabled kiosks. PayStar is the location services provider (LSP) to retail merchants and is considered a “carriers carrier” for wholesale telecom services worldwide. Success is driven by internal sales as well as mergers and acquisitions. PayStar’s global strategy centers on expanding its network of thousands of locations that utilize state-of-the-art enabling devices.


Thales CypherCell

Thales e-Security, the global industry leader in wide area network data encryption have partnered with CTAM, supplier of the world’s most advanced Asynchronous Transfer Mode (ATM) encryption security products. The partnership will provide Thales e-Security, Inc. with access to ATM cryptographic solutions based on CTAM’s CypherCell technology. This partnership significantly enhances Thales e-Security’s encryption technology and broadens the current offering of Thales e-Security’s Datacryptor family of products.

The partnership announced last week that the National Institute of Standards and Technology (NIST) certified the CypherCell ATM encryptor is compliant with FIPS 140-1, Level 2. Further information on the certification can be found at .

FIPS 140-1 certification is the standard applicable to all U.S. Government agencies that use cryptographic-based security systems to protect sensitive information within computer and telecommunications systems. This standard is recognized in global, financial and business markets as well.

CypherCell is the only FIPS certified ATM encryptor to also be accredited to the internationally recognized Common Criteria security standard. It also supports the new AES algorithm standard. Both these standards will become mandatory requirements for the U.S. Government in 2002 for security products.

“Our customers require a wide array of security products to protect their communication networks against unauthorized access,” said Cindy Provin, President for Thales e-Security, Inc. Americas. “The new partnership with CTAM complements the high end of our product family and efficiently meets the security requirements of our customers, predominately federal government, for protection of data over ATM networks,” she concluded.

Fritz Kerr, CTAM, Inc. COO, said, “We are very pleased to partner with Thales e-Security, Inc. CTAM’s advanced standards based high-speed cryptographic systems are a natural extension of Thales’ offerings. Our leading-edge purpose built products, coupled with Thales e-Security world-class line of security solutions and sales channels, will effectively meet the increasing demand for high bandwidth security applications.”

About Thales e-Security

Thales e-Security provides e-business security solutions to several thousand customers worldwide. Over half of the world’s banks, together with the majority of the busiest exchanges, currently use Thales e-Security technology. Operating in three main markets covering e-security, card payment and network security, Thales e-Security addresses the business security needs of corporates and governments alike. For more than 20 years the company has been at the forefront of security and payment technology, co-operating and contributing to set the industry standards used for financial transactions and e-commerce globally.

About CTAM

CTAM is the provider of the world’s most advanced ATM encryption product CypherCell. CTAM designs and builds all its products based on experience and expert knowledge of both high speed networks and security technologies to ensure end users are protected by the most advanced security solution available without compromise. CTAM’s user friendly products are standards based, purpose built solutions that meet the most rigorous international security accreditation requirements.


GraphiCard Client

Visible Results USA reported yesterday that a chainwide rollout of a program using its loyalty card technology has initially produced more than 30,000 consumer users. VA-based Miller’s Neighborhood Market has launched a chainwide rollout of ‘Miller’s Rewards’, a new loyalty program based on Visible’s ‘GraphiCard’ loyalty card technology and CRM system. The re-writeable card, which can be used for convenience store and gasoline purchases, is being implemented in all 52 of Miller’s corporate-owned stores in Virginia. Current vendor partners include Pepsi-Cola, the Coca-Cola Company, Red Bull, Tropicana, Gatorade, Hershey, Jack Link meat snacks, and Bon Apetit. The card uses a thermo-chromic process which enables the front of the card to display points accrued through the most recent purchase, along with other personalized data designed to pique consumers’ interest.



SCM Microsystems, Inc., a leading provider of
solutions that open the Digital World, announced it has signed an
agreement with Switzerland’s City Card Systems AG to deliver 10,000 terminals
designed for merchant loyalty programs using smart cards. Initial shipments of
the SCM retail terminals began in Q1. The use of smart cards in the retail
environment and programs aimed at rewarding loyal customers are both fast
growing trends. With this contract, SCM broadens and strengthens its position
as a leading supplier of the end user infrastructure that enables smart cards

City Card Systems AG, based in Basel, Switzerland, provides small and
midsize retail businesses a low-cost and easy-to-customize solution to
implement their own professional customer loyalty programs. City Card provides
merchants everything they need to make the program successful, including:

— loyalty cards for distribution to business patrons;
— software applications that award and track loyalty points;
— marketing material to promote individual loyalty programs and
redemption schemes; and
— SCM’s retail card terminals that provide the mechanism for consumers to
collect, review and redeem points they have earned through the program.

Merchants can customize all aspects of the loyalty card, from graphical
design to the features the card will enable, such as reward value and
redemption. Information collected through the program can be used by merchants
to build customer databases, forecast orders and plan promotional campaigns,
much like a Customer Relation Management (CRM) system. City Card will market
its program worldwide through regional franchise opportunities.

“City Card provides small and midsize businesses with a professional and
affordable solution to launch their own loyalty programs, allowing them to
compete in more innovative ways,” said Robert Schneider, founder and chief
executive officer of SCM Microsystems. “For SCM, the cooperation with City
Card is very important because it allows us to work with an innovative company
to develop and deliver new solutions that address emerging applications for
smart cards.”

“We have put together a package that provides the resources, expertise and
support needed to create successful loyalty schemes, and SCM’s terminals are
important part of our solution,” said Andreas Wilk, General Manager of City
Card Systems AG. “Besides being very reliable and cost-effective, SCM’s
terminals address all the technology requirements the retail environment
needs. In particular, we like the fact that SCM’s terminals provide a flexible
platform that allows us to easily port our loyalty applications, and to
upgrade those applications in the field.”

The terminal that SCM will supply to City Card was designed specifically
to enable and leverage multifunctional smart cards applications in a retail
environment. It is programmable and can be connected through a modem to a
telephone or through a serial port to the cash register or PC or can be used
in standalone mode. The terminal’s design facilitates rapid transactions for
management of bonus points awarded through merchant loyalty programs as well
as downloading of new applications and programs. In addition, SCM is also
providing a Software Development Kit that allows City Card and their franchise
partners to easily port, further develop and extend their application on SCM’s

About City Card Systems AG

The company, based in Basel, Switzerland, was founded in 2001 and is
focused on developing and implementing the “City Card” loyalty system for
small and midsize retail companies. Based on a franchise model, the City Card
system will be marketed throughout Switzerland and the German speaking
countries within Europe. City Card Systems AG is responsible for settlement,
marketing and communication for its franchises. Further information is
available at

About SCM Microsystems

SCM Microsystems is a leading supplier of solutions that open the Digital
World by enabling people to conveniently access digital content and services.
SCM’s advanced silicon solutions, hardware and software enable secure exchange
of electronic information for digital applications from e-commerce to
broadband content delivery by providing controlled access points to platforms
such as PCs, digital cameras, and digital television set-top boxes. Known as a
premier supplier to OEM companies around the world, SCM also serves the retail
market through its Dazzle and Microtech product brands. Global headquarters
are in Fremont, Calif., with European headquarters in Munich, Germany. For
additional information, visit the SCM Microsystems Website at